GreenPower
If setting up your own electricity-generating system doesn’t appeal, you can still support renewable energy production by purchasing accredited GreenPower. Available from almost every electricity retailer in the country, Accredited GreenPower is electricity generated from clean, renewable energy sources, such as wind, solar and hydro plants, as well as landfill gas, biomass and wave energy.
Choose accredited GreenPower
Accredited GreenPower products are individually assessed to verify they comply with high environmental standards and that the electricity retailer purchases energy from new —built after 1997— renewable sources. By buying new renewable energy you are helping to support the development of the renewable energy industry and reducing the demand for electricity from the burning of fossil fuels. For every kilowatt hour of GreenPower-accredited electricity you purchase, one extra kilowatt hour of electricity must be fed into the grid.
History
GreenPower was first introduced in NSW by the Sustainable Energy Development Authority in 1997, and has gradually expanded nationwide. The program is administered by the National GreenPower Accreditation Steering Group (NGPASG) comprising representatives from each of the relevant state government authorities. The steering group accredits and audits all GreenPower generators and retailers to ensure that they deliver on their marketing promises.
New versus old generation
Accredited GreenPower is sourced from new sources while most non-accredited products are sourced from old renewable generators such as large-scale hydro-electricity systems. Some 8% of Australia’s electricity currently comes from renewable energy, mainly from hydro-electricity schemes built several decades ago in the Snowy Mountains and Tasmania. The construction of these hydro-electricity facilities were capital intensive and largely funded by public investment. Hence, they now compete on the wholesale market with fossil fuel generated electricity, which is why electricity from these sources costs no more than normal fossil fuel generated electricity.
A number of electricity retailers offer products that are not GreenPower accredited. These products often claim to provide consumers with 100% renewable energy, for no additional cost. However, as these products are sourced from old renewable energy sources built prior to 1997 the electricity would have been entering the pool of electricity fed into the national electricity grid anyway, and hence there is no net increase in renewable energy – and no reduction of greenhouse gas emissions.
Why it costs more
GreenPower does come at a price premium to your current electricity as it costs more to produce. Renewable energy, as an emerging technology, is clearly at a cost disadvantage compared to its established, environmentally damaging competitors. Existing electricity is primarily generated from the burning of fossil fuels, which has benefited from the legacy of government ownership and continues to enjoy generous government subsidy and support.
GreenPower acknowledges that not everyone can afford the premium for 100% GreenPower (approximately $5-$8 per week). Hence, retailers offer a variety of blended products. This means that you can choose what percentage of your electricity you wish to be sourced from new renewable electricity—the GreenPower accredited component. The remainder—known as backfill—may be sourced from old renewable energy or fossil fuel sources.
Choosing a GreenPower supplier
Once you are ready to make this commitment and have decided what blend of GreenPower product you are willing to purchase, you need to contact a retailer that provides GreenPower products. Do your homework and be clear on the product you are purchasing because some customer service staff may be unfamiliar with the details of GreenPower products.
