Customers of Central Hudson Gas & Electric Corporation can join the utility in support of green power, that is, electricity produced from clean, renewable sources such as wind, solar, biomass and small hydro. “We support the right of all our customers to choose the energy products that best meet their needs, and we developed resources on our website to assist them in understanding and shopping for green energy options,” said James P. Laurito, President of Central Hudson.

In today’s deregulated energy market, utilities deliver energy supplied by independent companies. Utility customers have two options to support renewable energy, both of which are offered by non-utility energy providers: 1) purchase their energy supply from an energy service company that owns the rights to electricity that was generated by renewable fuels, and/or 2) purchase Renewable Energy Certificates, commonly known as RECs or “green tags,” directly from independent providers.

“Renewable Energy Credits represent the environmental benefits of electricity produced through renewable resources, and are sold to residents, businesses, institutions and municipalities by independent companies to encourage the development of renewable energy,” said Laurito. “REC purchases provide a way to support renewable energy, as they may help fund, for example, ongoing operating costs of existing facilities or the construction of new renewable generators. They may also help developers obtain financing for new renewable energy facilities.”

The electricity mix supplied to customers who purchase RECs or a green energy option does not change, as the power is still purchased on the wholesale electricity market by their independent supplier of choice or Central Hudson. Customers who purchase a green energy option from an energy service company may receive those charges on their Central Hudson bill, and customers purchasing RECs will likely receive a separate bill from their independent provider. REC purchases and green energy options offered by energy service companies generally carry a small premium, typically 1.5 to 2.5 cents per kilowatt-hour, or about $10 to $15 more per month on average for residential customers.

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