Harness the Power of Green Energy

By Lisa J. Chadderdon

Why Green Power Matters

Americans are huge consumers of electricity - and that appetite shows no sign of deceleration. Electric consumption in the United States rose by 148% between 1970 and 2000 - to a total of 3.6 trillion kilowatt hours (kWh). Moreover, projections suggest that by the year 2020, Americans will use 42% more electricity than in 2000.

That's a lot of electricity! And the vast majority of it is not coming from Earth-friendly sources. In fact, more than half of the electricity produced in the United States is generated by coal (that's nearly 1 billion short tons of coal). Another 20% of U.S. electricity generation comes from nuclear sources, 18% from gas and petroleum, and 7% from large-scale hydroelectric sources.

That leaves a mere 2% of U.S. electricity that's produced by renewable energy sources like wind and solar power. Yep, that's it - only 2%.

Although much of America's electricity consumption is industrial, residential households are responsible for 35% of electricity usage. If that doesn't sound like much, take a quick look at the numbers: in the eleven months from January to November 2002, a total of 1.158 trillion kWh of electricity were used by households alone.

So what can you as a residential consumer do to help reduce the massive footprint of conventional electricity production on the environment? Thanks to huge advances in the green power industry over the past decade, a lot!

What is Green Power?

Green power is electricity generated from renewable energy sources - sources that have a minimal impact on the environment. Solar, wind, low-impact hydro-power, geothermal, and biomass are among the most common renewable energy sources used to generate green power.

Although the majority of homes across the U.S. are still supplied primarily by coal-burning conventional electric power utilities, an increasing number of customers have greener options available to them. In fact, according to the Green Power Network, approximately 40% of retail customers today have the option of purchasing green power directly from their local utility or from a competitive electricity marketer.

The generation of conventional electric power depends on the use of fossil fuels, such as oil, coal, and natural gas. This kind of electric power is relatively inexpensive, but is also produced at a dramatic cost to the environment. According to the Environmental Protection Agency, the generation of conventional electric power is the single largest industrial source of air pollution in the United States. Which is precisely why green power is so important: if increasing numbers of customers purchase green power, then renewable energy technologies will be developed and installed more rapidly. This, in turn, will reduce the amount of fossil fuels used, thereby significantly decreasing the burden borne Mother Earth. (Not to mention that it could increase in the security of our national energy resources, and simultaneously reduce our dependence on foreign energy sources.)

How Can I Help?

You can purchase green power in four primary forms. The availability of each depends on your geographic location.

1. Direct purchase of green power from your electricity supplier If your state allows competition among electricity suppliers, you may be able to simply call up a local supplier and switch to electricity that contains anywhere from 2%-100% of energy obtained from renewable sources. If the electricity you buy is derived from less than 100% renewable sources, then it may be called a "blended product."

   For a state-by-state listing of utilities that offer green power products to retail customers, click here

   Additional information about companies that sell green power products in competitive markets is available here

2. Green pricing (a.k.a. "block products") If the energy market where you live is not competitive, you still may be able to purchase "blocks" of green power from your local monopoly utility. This is commonly known as "green pricing."

   The idea is that customers can buy a certain number of standard units of energy (e.g., a certain number of kWh) at a fixed price. This price is then converted to a premium, and added to your monthly electric bill. This premium encourages utilities' investment in renewable energy by helping them cover the above-market costs of generating power via those renewable energy sources.

   All but 18 states (most of those 18 are in the Northeast and Mid-Atlantic) have utilities that offer some form of green pricing to customers. To find out if any utilities in your state offer green pricing, click here.

   In total, there are more than 300 regulated utilities in the country that have implemented green pricing plans. For a state-by-state listing of utilities that offer such green pricing programs, click here.

3. Green tags (a.k.a. green energy certificates) If none of your local utilities allow you to purchase green power through one of the above two methods, don't fret! You can still support green power initiatives by purchasing "green tags", also known as "green certificates". Green tags provide a means by which you can invest in the environmental benefits of renewable energy, regardless of whether you live in an area where green power is available.

   It works like this: you purchase a green tag directly from a renewable energy company, and that purchase goes directly to supporting the generation of electricity from renewable energy sources.

   "Buying green tags has the same effect as buying green power," according to the Bonneville Environmental Foundation. "Both replace fossil fuel generators with clean renewables, and both have exactly the same environmental benefits."

   At greenfeet.com, for example, we support green power by purchasing green certificates from 3 Phases Energy. The certificates from 3 Phases represent power that is 100% generated by renewable wind energy. The purchase of these certificates will prevent 10,814 pound of carbon dioxide emissions from polluting the atmosphere. (According to 3 Phases energy, that's the equivalent of 12,160 miles not driven. It's also the equivalent of planting 612 trees, and burning 3.2 tons of coal.)

   Quite a few organizations sell green tags, including 3 Phases Energy in California, and New Wind Energy in Pennsylvania.

   Warning: Before you purchase green certificates, make sure you're getting what you pay for. One way to ensure that your purchase is indeed benefiting the environment is by looking for companies that participate in the "Green-e" verification program. Alternately, you can check whether a company has been certified by the Center for Resource Solutions, or for those certified by the Renew 2000 program (in the Pacific Northwest).

4. On-site renewable generation Another effective way to make use of green power is to install power-generating equipment on your own property. You can, for example, set up photovoltaic (PV) cells for solar electricity, or install a wind tower.

   Although this can cost more in terms of time and money spent up-front, there are numerous benefits in the long run - including independence from traditional utilities and the ability to sell back any excess power that you generate to your local power company.

   Many states also offer rebates to those homeowners who decide to install their own on-site systems -- particularly to those who decide to install solar grids. To find out about any incentive programs offered where you live, check your local power company's Web site. (The Web site URL should be listed on your monthly power bill.) Utility companies' Web sites frequently provide more reliable information than the info you'll receive by calling the company, since company employees may not be fully armed with the latest information.

   You can also get information about rebate and incentive programs by contacting your state's department of energy. Again, you may be able to track this information down more quickly by perusing your local state energy department's Web site, rather than by calling.

   Before you make a significant investment in your own power-generating equipment, make sure to check into local regulations. Many locales, for example, have laws that restrict the erection of tall towers (including wind turbines). A good place to start learning about these types of regulations is your local zoning office or town clerk.

Today, the green power movement continues to gain momentum nationwide. Thousands of households are helping to spread the message that we can power the planet without trashing the environment. And investing in renewable energy today may just be a better bargain than ever: with the cost of fossil fuels rapidly rising, investing in green energy may actually be more of a bargain than at any time in the past.