Welcome to the FAQ
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- What are Renewable Energy Certificates?
- What are Carbon Offsets?
- What is the difference between RECs and Carbon Offsets?
- Can I buy RECs from any state?
- Does the REC show up on my utility bill?
- Do I still buy electricity?
- What if my landlord pays for my utilities?
- Is it guaranteed that my household/business is powered by renewable energy with a REC from Village Green Energy?
- How often do I need to purchase RECs?
- How much does a REC cost?
- What is a kilowatt-hour?
- What does it take to generate a kilowatt-hour?
- Why is Village Green Energy different?
- What is the importance of "Additionality"?
- How do RECs decrease pollution? Do they make a difference?
- What are the advantages of purchasing RECs?
- Who made that awesome animation?
What are Renewable Energy Certificates?
A Renewable Energy Certificate (aka Renewable Energy Credit) represents 1 Megawatt-hour of power produced by a renewable resource such as wind or solar. The owner of the REC is the legal owner of the power, and only the owner of a REC can claim to be renewably powered.
What are Carbon Offsets?
A Carbon Offset represents the decrease of one metric ton (2.205 lbs) of carbon dioxide emissions. The reduction is caused by projects developed to reduce the emissions, and by purchasing offsets, you help finance these projects. These offsets can be bought, traded, and sold.
What is the difference between RECs and Carbon Offsets?
RECs help the environment by producing energy from renewable resources rather than polluting resources. Carbon Offsets help offset carbon
emissions, a main contributor to global warming.
For instance, a company may issue a Carbon Offset in the form of trees planted, which suck up carbon from the atmosphere, offsetting earlier emissions.
RECs replace carbon-emitting energy with clean energy, whereas Carbon Offsets address carbon already emitted, only a symptom of the problem.
Can I buy RECs from any state?
Yes. Not all states have a Renewable Portfolio Standard, which requires a certain percentage of a state's energy to be produced from renewable resources,
but if you buy a REC, that REC represents 1 Megawatt-hour of clean energy produced from somewhere, even out of state.
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Does the REC show up on my utility bill?
When you buy RECs from Village Green, they do not show up on your utility bill.
How can RECs be "non-additional"
Yes. Your utility still provides your electricity, but you buy a REC that represents electricity produced from clean resources.
Electricity from your utility + Renewable Energy Certificates = Green Power.
What if my landlord pays for my utilities?
You can still buy RECs to account for the average home's energy usage.
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Is it guaranteed that my household/business is powered by renewable energy with a REC from Village Green Energy?
Yes, Village Green Energy is certified by Green-e, guaranteeing that your REC is only counted once and comes from a reliable renewable energy generator.
How often do I need to purchase RECs?
You should buy RECs according to how much electricity you use during a given amount of time. Many homes and businesses buy RECs to account for electricity used in a month or year.
How much does a REC cost?
The price varies depending on the size of the contract, but residential prices are about 2 cents per kilowatt-hour.
The average American uses 385 kilowatt-hours per month, amounting to about $8/month to purchase enough RECs for the energy they use.
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What is a kilowatt-hour?
A kilowatt-hour is 1 kilowatt of power produced (or used) for 1 hour. For instance, if you have an appliance that demands 1 kilowatt of power to run, then a kilowatt-hour is enough electricity to run that appliance for 1 hour.
What does it take to generate a kilowatt-hour?
A mid-sized modern wind turbine that you might see while you drive by a windy hillside might have a capacity of 1 Megawatt. That's 1000 times a kilowatt. When the wind turbine spins at full capacity for 1 hour, its output is 1 Megawatt-hour. That's enough to power an average U.S. home for about 3 days.
Why is Village Green Energy different?
Village Green Energy is the only retailer that sources RECs exclusively from compliance markets, guaranteeing the concept of additionality.
That means we are buying RECs away from electric utilities that need them to meet their state mandated quota of renewable energy, thereby forcing the
utilities to buy more renewable energy to meet the quota.
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What is the importance of "Additionality"?
Additionality distinguishes renewable energy produced as a result of your action from the clean energy that would be produced anyway in business-as-usual cases. We guarantee that buying a REC from Village Green increases the amount of renewable energy created and used, and would not have been created or used without the purchase of a REC.
How do RECs decrease pollution? Do they make a difference?
Yes. By buying a REC from Village Green you are choosing to have your home/business powered by renewable resources, rather than fossil fuels that pollute our planet and contribute to global warming.
What are the advantages of purchasing RECs?
By purchasing a REC, you are helping the environment by driving the transition to renewable energy. For a business or company, you can claim to be powered by green energy,
which satisfies today's eco-conscious customers or can be a marketing tool for advertising your company's environmental awareness.
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Who made that awesome animation?
Leo Dasso - a talented animator and a great person to work with. He has our highest recommendation. Check out Leo's website: Friar's Latern Studios.
