RENEWABLE ENERGY CERTIFICATES (RECs)

(Or, as my friend Ryan referred to them, Renewable Energy Indulgences.)

The basic mechanism of RECs is subsidies of renewable energy businesses (either profit or non-profit). In principle, this means that more electricity from renewable energy gets put on the electric grid, which displaces electricity from non-renewable energy (by federal law). By paying a little extra, you in effect buy electricity from renewable sources, rather than from non-renewable sources (like coal and nuclear power, in the case of Washington, DC's, provider, PEPCO).

There are at least two ways to purchase renewable energy: through your local utility, or by purchasing RECs. These options are not in principle different, since either way more green electricity goes on to the grid somewhere (either in your area or elsewhere). In my state (the District of Columbia), the first option (through Washington Gas and Electric) is significantly more expensive than the second. (I suspect the difference is administrative overhead.) So I buy RECs from a wind energy company (Community Energy) that has wind turbine farms in nearby states, ensuring that there is a possible impact on my own air quality! In other states, renewable energy costs may be subsidized by the state or local government (this is true in Maryland), bringing down the cost of buying through your utility.

Community Energy sells RECs in blocks of 100 kWh (kilowatt-hour, or one hour of continuously using 1 kilowatt of power) at $2.50 per block (or 2.5 cents/kWh). My wife and I purchase 800 kWh to cover our home electricity costs. If you want to use this also as a carbon offset for, e.g., plane travel, you could buy more. One's total carbon footprint is the sum of carbon dioxide produced through electricity generation and personal travel, plus many other things. In other words, a true carbon offset would require many more RECs than purchased to simply cover home electricity costs.

To purchase RECs independently, you can find options on the Green-E website. To find out about options through your local utility, go to that company's website.

The details of what exactly RECs represent are a bit more complicated (e.g., the Wikipedia entry below).

And don't forget that energy conservation is the best first step towards cleaning up the atmosphere.

* Wikipedia discussion of RECs (if you're interested in the details).
* Green-E Certification Organization. Green-E can point you to REC providers.
* Bonneville: a tax-deductible REC option. "The Bonneville Environmental Foundation (BEF) is registered as a non-profit organization and has been granted 501(c)(3) status by the IRS. When you make a contribution to BEF for the express purpose of buying Green Tags, you will be directing BEF to buy the amount of Green Tags that you designate and retire all available emissions credits. Although this means that you won't personally own the emissions offsets as your property, you will accomplish the environmental outcome that is your goal - cleaner air and additional renewable energy projects. And, we will gratefully send you an acknowledgement of your contribution, which is tax deductible to the full extent allowed under the law."
* For those in the DC area: RECs through Greater Washington Interfaith Power & Light
* Department of Energy's Green Power Network.