ConEdison Goes Green

ConEdison, the supplier of electricity for almost all of New York City, now offers green power. Customers of ConEd subsidiary ConEdison Solutions can purchase electricity generated from pollution-free, renewable energy, like wind, solar, and small-scale, “run of the river” (no dams) hydropower. ConEdison Solutions sells electricity that comes from a mix of wind and run-of-the-river hydroelectric, at a mix of 25 percent wind and 75 percent hydroelectric. Another energy company, 1st Rochdale Cooperative of New York City offers a similar wind/hydroelectric package and, in the future, hopes to offer even better green power packages, including one with a five-percent solar component, sourced from roof-top solar-panel installations in New York City.

Business is booming for both companies, which sends a very real and meaningful signal to the developers of renewable energy projects, not to mention energy planners and politicians, that there is a market for their products, and that they can confidently build new renewable generators to meet the energy demands of the future.

Josh Radoff of GreenHomeNYC explains how it works on the supply side:

[E]ach unit of green electricity generated results in a “renewable energy credit” or “green tag.” The credit itself is only a piece of paper; a legal certificate that merely states that a given amount of electricity is indeed “green,” or from the renewable source that it claims to be from. These credits are stamped by a third party so it’s all on the up-and-up and there’s no double counting, and are then purchased on the wholesale market by green power marketers. Con Ed Solutions has partnered with a company called Community Energy to be its supplier of green credits, while 1st Rochdale uses a company called Sterling Planet. In fact, if you wanted to, you could keep your regular Con Ed electricity service and buy the credits directly from the wholesalers. ("Renewable Energy, Now Available for Delivery in NYC")

Compared to regular ConEd energy prices, the premium for green energy has ranged from seven cents to less than one cent per kilowatt-hour, with an average premium of around two to four cents. The average monthly usage for most families is about 400 kilowatt-hours per month, for which the monthly green premium would average out at around ten dollars; or about 30 cents a day. Moving forward, the actual premium may turn out to be much less, and eventually even be negative, as wind power gets cheaper and oil and gas get more expensive.

For more information or to switch to green power, go to ConEd Solutions residential page.