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Green Electricity

So you want to buy green?

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"The ability to purchase electricity from renewable energy sources is one of the top three incentives to switch power suppliers in the United Kingdom. 55% of households are willing to pay a premium for green power, and 250,000 expect to purchase green power within five years, according to Datamonitor. Consumers are increasingly more educated and selective, and green options now are commonplace within the retail environment, it says. The vast majority are willing to spend up to 2% more for a green tariff."

For many people, the idea of buying their electricity from renewable resources is an attractive one - although it can be slightly more costly than electricity from conventional sources. However, an online survey at the Friends of the Earth website shows that almost 90% of people would be willing to pay more for green energy.

Since May 1999, consumers have been able to choose whether to go green or stick with dirty 'brown' electricity, generated from fossil fuels. The power to choose has lead to the development of the green energy market in the domestic as well as global arena. The clear conclusion of this emerging green market is that where there is a choice and the price is right, many prefer the green option.

Most green tariffs currently available involve payment of an additional premium, typically £3-£10 every three months on top of the normal electricity bill. Generally speaking, two types of green tariff are available: 'renewable tariffs', where for every unit of electricity used by a customer, the supplier will buy a unit of electricity from a renewable source; and 'eco funds' where the payment goes into a fund to help develop new renewable energy projects.

Almost all electricity suppliers in the UK now offer green electricity in addition to conventional 'brown' power. A handful of independent companies have also joined in, among them BWEA members Good Energy and Ecotricity.

Member companies that offer green energy to consumers are listed below

 

The UK Government has established an accreditation scheme through the Energy Savings Trust. Future Energy checks on the claims made by companies and rates them accordingly. Phone 020 7222 0101 for a list of accredited suppliers of green energy.

The introduction of new government policy means that electricity suppliers are obliged to source increasing proportions of their supply from renewable energy sources or face financial penalties. Along with the Climate Change Levy, green electricity could become the cheaper option - just as it is now less expensive to buy non-polluting unleaded petrol. Already electricity from a large wind farm is cheaper to generate than its 'brown' alternative. Now we can all do our bit to help the environment!