Paying Extra for Green Power, and Getting Ads Instead

[XemaSab]

The solicitations have been flooding people’s mailboxes lately: pay a bit more on your electricity bill for 100 percent clean wind power. Or, the fliers say, buy “green power certificates” to offset your global warming emissions.

Close to a million electricity customers have signed up for such payments voluntarily, and the amount of electricity sold in this way has nearly tripled since 2005, amid rising concern about climate change and energy security. But the participants are in a distinct minority, with a sign-up rate of only about 2 percent in programs run by utilities.

The low sign-up rate raises a question: If large majorities of Americans favor increased government support for clean energy, as polls suggest, why are so many people reluctant to back such programs when it comes to paying extra themselves?

One reason might be that they think the added expense is too high. Solar and wind power generally cost more than power generated with fossil fuels. While many people support alternative energy in principle, they personally may not want to spend hundreds of dollars more for electricity, especially in the current economic environment.

http://www.nytimes.com/2009/11/17/business/energy-environment/17power.html

[Cronus Protagonist]

1. In my case, I don't trust the enegy compannies to actually do what they say

I know I'm not alone. And in any case, the source of my electricity is a grid where the source at any given time is seldom known.

[kristopher]

2. These programs are better than the article portrays.

Note the example (that was shut down) spent nearly 80% of the money collected on bullshit. But right after they admit that the national AVERAGE is 19% on overhead - which isn't great but as an average including the 79% example provided isn't that bad either.

I suggest participating in these programs and if you are worried about waste, check out with the utility what is happening with your money.

You do know the most important climate/energy bill we've ever tackled is now in the making right? The fossil fuel polluters are pulling out all the stops and trying to discredit green energy in every way they can think of.

[dixiegrrrrl]

3. Same here.

Not after living in Ca. during the power rip-off.
When companies are regulated and regulations are enforced, I will *think* about trusting
those who profit off me.

[kristopher]

4. Hate to quote Reagan, but it fits...

Trust but verify. You can often order power from specific projects and your money makes it possible to build more renewables. It is the best single thing the average individual can do, bar no options, but if that isn't important to you then it isn't important to you.

[pscot]

5. I've been suspicious of these offers

I don't trust the corporations. Since money and electricity are equally fungible, there's no way of knowing what you're buying. The utility that serves me was just sold to a predatory, international conglomerate. If it follows form, it will load up on debt and hollow out its new acquisition, paying its principals huge bonuses in the process.

[kristopher]

6. That isn't true. You can check what you are buying

Call the utility and find out specifically what they are buying in terms of green energy. Checking up on them is great and I strongly encourage it, but dismissing the entire program because you're scared you'll get ripped of is like cutting off your nose to spite your face.

You can also check with the local PIRG or a similar non-profit to get an independent assessment of what is offered in your area.

[kristopher]

7. Website for State's "Public Interest Research Group"

This group can either tell you about the quality of your local green energy program or direct you to someone who can.

http://www.uspirg.org/about-us/the-state-pirgs

The State PIRGs

U.S. PIRG, the federation of state Public Interest Research Groups (PIRGs), takes on powerful interests on behalf of the American public, working to win concrete results for our health and our well-being. The state PIRGs are independent, state-based, citizen-funded organizations that advocate for the public interest. Since 1970, we have been delivering results-oriented citizen activism to protect our environment, encourage a fair and sustainable economy, and foster a responsive democratic government. We uncover threats to public health and well-being and fight to end them, using the time-tested tools of investigative research, media exposés, grassroots organizing, advocacy and litigation.

At each state PIRG, the staff works to achieve concrete, practical changes on issues ranging from air and water pollution to campaign finance reform, from genetic engineering to consumer privacy.

The state PIRGs employ close to 400 organizers, policy analysts, scientists and attorneys, and are active in 47 states and Washington, D.C.

Read more about the work of individual state PIRGs at their Web sites:

AkPIRG / Arizona PIRG / CALPIRG / CoPIRG / ConnPIRG / Florida PIRG / Georgia PIRG / Illinois PIRG / INPIRG / Iowa PIRG / Maryland PIRG / MASSPIRG / PIRGIM (PIRG in Michigan) / MoPIRG / NCPIRG / NHPIRG / NJPIRG / NMPIRG / NYPIRG / Ohio PIRG / OSPIRG / PennPIRG / RIPIRG / TexPIRG / WashPIRG / WISPIRG

[joshcryer]

8. An ad expense median of 18.8%, a growth median of 1.2%.

Approximately 12% median growth from 2007 to 2008 on ad expenditures.

[joshcryer]

9. Here in Colorado if you can produce 250 MW of power, you can be put on the grid.

It makes a bit of sense why the smaller startups do more marketing because they don't have as much wiggle room as the larger corporations.

(Note the 250 MW power figure does not necessarily mean continuous.)

[excess_3]

10. what happens to unsold electricity?

assume the green power company has more
electricity than their subscribers need

[joshcryer]

11. It flows into the grid as usual.

I might get 10 volts of power from the 1GW of wind here in Colorado, that's assuming it even reaches me, I can go to my light bill and ask to pay for "clean energy only." They'll hike my rates, but I'll still be technically getting electricity from the coal and natural gas plants.

What this does is allow you to essentially incentivize those power companies that produce clean electricity, so that they can go on and install more turbines or install more solar collectors.

(Note, here in Colorado we have several dozen power providers, but the state utility still controls things, so it's really a mix of competitive regulatory policies, it works well.)