The rising cost of energy and increased concerns surrounding the environmental impacts of consuming non-renewable energy have brought to light the great need for merchant-ready, market driven green energy solutions. Today, the market offers more options than ever before for consumers wishing to switch to greener energy sources and delivery methods. Whilethere are many technologies available to allow for harvesting of renewable energy on site ( e.g. photovoltaics, small scale wind turbines), consumers also have the option to purchase green energy directly from a supplier or retailer, or indirectly through carbon offsets. Purchasing directly from a supplier of green energy is relatively simple for large companies or for buildings located next to the green energy source ( e.g. a wind turbine). For consumers that don't fall into these categories, the purchase of carbon offsets may be a better option. Carbon offsets are market tools which allow a green energy supplier to sell ‘shares’ in their operations, usually through third parties. Consumers can purchase these offsets, and on the supplier's end this revenue is used to fund projects that reduce greenhouse gas emissions. In this way the consumer is offsetting some or all of the greenhouse gas emissions caused by their energy use. Revenue from the purchase of carbon offsets is commonly used to fund renewable energy, forestry and energy efficiency projects. Carbon offsets tied directly to Green Energy are known as “Renewable Energy Certificates” (RECs). Given that many consumers are unwilling to calculate their annual energy consumption themselves, many energy suppliers now offer packages for green electricity and natural gas. Consumers simply pay a fixed rate and the supplier guarantees that the payments will be used to purchase green electricity and/or the amount used offsets the bundled supplier who does this work for you. This is sometimes called “bundled Green Power”. If Green Power is available in your area, you simply sign up with the supplier, and you continue to receive electricity from your existing distributor. This is another form of REC - where for every kilowatt hour of electricity you use, one kilowatt of electricity from a Green Energy source is put onto the electrical grid.
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