What is renewable electricity and what benefits does it provide?
Generally “renewable electricity” is generated from renewable resources such as solar, wind, biomass (plant and animal waste), hydro, and geothermal. These sources of renewable energy, as the name implies, can for the most part regenerate indefinitely. Fossil fuels such as natural gas, coal and oil have a finite and declining supply. Moreover, fossil fuels produce significant quantities of green house gases. Fossil fuel power plant emissions include substantial quantities of carbon dioxide, a major green house gas.
How can consumers access renewable electricity?
A consumer can generate renewable electricity on-site; for example, install an on-site photovoltaic (solar panel) array with ancillary distribution system. Another option is to purchase renewable energy certificate (REC) from an electricity supplier like Strategic Energy. Since all electricity sources are commingled on the electricity grid, what the consumer is really buying is a renewable energy certificate or REC, which evidences a consumer’s purchase of a specific renewable energy attribute.
What is a renewable energy certificate or REC?
A renewable generator produces electricity and the associated renewable and environmental attribute. The electricity is typically sold into the grid at some market value for electricity. The REC is sold separately and has its own market value. For example, solar RECs are more valuable than wind RECs. The RECs can be counted only once and retired by the retail consumer of the RECs. The purchase of RECs ultimately results in an added cash flow and an important financial incentive for the developer/owner of the renewable generation facility. The purchase of RECs promotes the continued development of renewable energy resources and the displacement of electricity generated from fossil fuels.
How much do RECs cost?
RECs are defined in many ways: by source (solar, wind, blend, etc.), by geographic origin (New England, California, New York, national, etc.) and by vintage (the year in which the renewable electricity is generated). Prices can range from a national renewable blend product (lowest cost) to a specific region or technology product (highest cost). Vintage, or the year the energy is produced, will also impact price. Strategic Energy can accommodate consumers and offer RECs tailored to minimize cost or to achieve a specific geographic or technological source. The total cost of RECs will also be affected by the usage as well as the percentage of renewables purchased. Some customers go 100% green, while others may choose a smaller amount such as 10% green.
How do I get a proposal for renewable energy?
Discuss what renewable energy products you wish to purchase with your Strategic Energy Business Development Manager. We can tailor a product to suit your needs.
What percentage of renewable energy do/can/should I buy?
There is no “right” answer as the choice is up to the company’s commitment to purchasing renewable energy. Through the RECs, customers can tailor their renewable energy purchases up to 100%.
I’m already under contract, but want to go green, can it be done?
Yes, RECs can be purchased outside of your electric service, so, you can “green” any portion of your present service. Later, if you prefer, your Strategic Energy representative can assist you with integrating a specific amount of green energy into your product mix.
How long is my commitment?
RECs can be purchased for as little as one event (for example, a kickoff meeting) to a percentage of annual (or contractual) consumption.
Will I see any change in the quality of my electricity?
No. RECs support the purchase renewable electricity being uploaded to the grid as well as new renewable projects. The present level of service you’ve come to expect will continue.
Besides the environmental and energy security benefits associated with renewable energy resources, what other benefits can be achieved through the purchase of renewable energy?
Several added objectives can be achieved by purchasing renewable energy:
- Demonstrating civic leadership by purchasing and supporting renewable energy.
- Meeting organizational environmental and energy objectives.
- Generating positive publicity concerning environmental stewardship and energy security.
For example, the U.S. Environmental Protection Agency (EPA) recognizes businesses that establish voluntary renewable purchases through its GreenPower Partners (GPP) Program. The minimum amount of renewable purchase commitment to become a GPP will vary with quantity of electricity consumed.
How do I become an EPA Green Power Partner?
Businesses and organizations wishing to become an EPA GPP must:
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Green Power Purchase Requirements
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Your Organization’s Baseload
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Green Power Partner Requirements
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Green Power Leadership Club Requirements
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If your annual electricity use in kilowatt-hours is…
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You must, at a minimum, purchase this much green power within one year of joining the Partnership
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You must, at a minimum, purchase this much green power
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≥ 100,000,001 kWh
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2% of your use
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20% of your use
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10,000,001-100,000,000 kWh
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3% of your use
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30% of your use
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1,000,001 - 10,000,000 kWh
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6% of your use
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60% of your use
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≤ 1,000,000 kWh
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10% of your use
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Not Applicable
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For example, if you are enrolling three facilities that have a combined total electricity use of 8,000,000 kWh, then the minimum green power purchase requirement to join the Partnership would be 6% or 480,000 kWh.
What is certified and Green-e® certified renewable energy?
Green-e® is the energy industry’s symbol for renewable energy (similar to the “Good Housekeeping” seal of approval), guaranteeing that the energy is, in fact, produced from a renewable source. Green-e certification is administered by Center for Resource Solutions. Your Strategic Energy representative can assist you with questions about Green-e and other certified renewable energy products.
How green do I have to go to use the Green-e logo at my business?
Businesses and organizations wishing to use the Green-e logo must:
- Purchase Green-e certified renewable energy or generate a qualifying amount of electricity from an eligible1 on-site generation facility;
- Meet all of the requirements outlined in the Logo Use Agreement and Referenced Documents;
- Sign and submit the Agreement to Center for Resource Solutions;
- Annually attest that the organization has met its Eligible Renewable Energy Commitment by submitting the appropriate Attestation Form(s). First year program participants must submit their Attestation Form(s) with the Logo Use Agreement;
- Pay an annual licensing fee.
Qualifying Customers have the flexibility to choose whether their entire organization or a part of it will be granted rights to use the Green-e Logo. The organization must attest that they have met the minimum renewable purchase, or % of load, as indicated in the table below for the choice they make in the Logo Use Agreement.
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Minimum Commitment Requirements for General Usage Claims
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Annual Company/Facility Electric Load
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Minimum Renewables Purchase
(% of Load)
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Above 100,000 MWh
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2%
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10,001 - 100,000 MWh
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3%
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1,001 - 10,000 MWh
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6%
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Below 1,000 MWh
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10%
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In order to be eligible for use of the Green e logo to promote an event’s renewable energy use, the Customer must purchase Green e certified energy equivalent to at least 50% of the expected event electricity usage.
Green-e standards for organizations’ use of the Green-e logo are consistent with the Green-e Program’s consumer protection goals and reputation for environmental excellence. All organizations using the Green-e logo sign a Logo Use Agreement and agree to abide by the labeling standards outlined above. |
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Green-e Energy is the nation’s leading independent certification and verification program for renewable energy. This voluntary consumer protection program verifies superior, certified renewable energy options offered by retail electricity providers, like Strategic Energy, in the retail market.
When you see the Green-e Energy logo, it means:
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The renewable energy option contains only new renewable resources;
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The sources of energy supplying the renewable options are independently verified by Green-e Energy, operated by the non-profit Center for Resource Solutions;
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The purchaser of a Green-e Energy Certified renewable energy option is the sole “owner” of the environmental attributes of a specific megawatt hour (MWh) of energy added to the grid. Independent verification ensures that no MWh are double counted; and
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The company offering the certified renewable energy option agrees to abide by the Green-e Code of Conduct and Customer Disclosure Requirements governing its ethical treatment of customers. |
For more information on Green-e certification requirements, call 1-888-63-GREEN or log on to www.green-e.org.
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 Make Me Green
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