Here’s how to buy renewable energy from your electric utility
Wind turbines in Dawson, Texas, on Feb. 28, 2023.
Mark Felix | Afp | Getty Images
As carbon emissions from fossil fuels keep warming the planet, eco-conscious consumers may wonder if there’s a way to buy electricity from renewable sources without installing technology like solar panels or windmills on their property.
In short, the answer is yes.
However, the option isn’t necessarily available to all homeowners and renters. It also often comes with a slight price premium, experts said.
Few people are aware they can buy green energy
Renewable energy sources — including wind, solar, hydropower, geothermal and biomass — accounted for about 21% of U.S. electricity generation in 2023, according to the U.S. Energy Information Administration.
Most, 60%, came from fossil fuels like coal, natural gas and oil. These energy sources release carbon dioxide, a greenhouse gas that traps heat in the atmosphere and contributes to global warming.
The White House aims for electricity generation to be free of greenhouse gas emissions by 2035.
A growing number of individuals and organizations are opting to shift away from fossil fuels: About 9.6 million customers bought 273 Terawatt hours of renewable energy through voluntary green power markets in 2022, according to the National Renewable Energy Laboratory. That’s up fivefold from 54 TWh in 2012.
In the voluntary market, customers buy renewable energy in amounts that exceed states’ minimum requirements from utility companies. Over half of U.S. states have policies to raise the share of electricity sourced from renewables, though most targets are years away.
Voluntary purchases accounted for 28% of the renewable energy market (excluding hydropower) as of 2016, according to the Environmental Protection Agency. They help increase overall demand for renewable electricity, thereby driving change in the energy mix, the EPA said.
Photovoltaic solar panels at the Roadrunner solar plant near McCamey, Texas, on Nov. 10, 2023.
Jordan Vonderhaar/Bloomberg via Getty Images
The bulk of the increase is from corporations, according to NREL estimates. Residential sales have grown, too, but more slowly.
Just one in six U.S. adults know that they may have the option to buy renewable power, either from their electric company or another provider, according to most recent NREL survey data on the topic, published in 2011.
“The market does continue to grow every year in terms of sales and customers,” said Jenny Sumner, group manager of modeling and analysis at NREL, a national laboratory of the U.S. Department of Energy.
“But very few people are aware” they can opt in to green programs, she said. “It’s just not something that’s top of mind for most people.”
How consumers can buy green power
Joe Raedle | Getty Images News | Getty Images
Wind turbines in Solano County, California, on Aug. 28, 2023.
Loren Elliott/Bloomberg via Getty Images
Power companies may offer “green pricing programs,” for instance.
Customers in these programs — also known as utility green power programs — pay their utility a “small premium” to get electricity from renewable sources, according to the U.S. Energy Department.
The cost generally exceeds that of a utility’s standard electricity service by about 1 to 2 cents per kilowatt hour, Sumner said.
That may roughly translate to about $5 to $15 more per month, Sumner said. It will ultimately depend on factors like program price and household energy use, she added.
Nearly half of Americans, 47%, said they were willing to pay more to get their electricity from 100% renewable sources, according to a 2019 poll by Yale University’s Program on Climate Change Communication. On average, they said they would be willing to pay $33.72 more per month.
Green power marketing programs
Consumers in some states can also opt into “green power marketing programs.”
Such states have “competitive” energy markets, meaning consumers can choose from among many different companies to generate their power. (Unlike with “green pricing programs,” the company generating the renewable power may not be the customer’s utility, which distributes the power.)
Residential green power options are available in these states with competitive (also known as “deregulated”) markets: California, Connecticut, Delaware, Illinois, Maine, Maryland, Massachusetts, Michigan, New Hampshire, New Jersey, New York, Ohio, Pennsylvania, Rhode Island, Texas and Virginia, according to the U.S. Energy Department and EPA.
These also tend to come with a premium, though in some regions they “may be price competitive with default electricity options,” the agencies wrote.
Community choice aggregation
With “community choice aggregation” programs, local governments buy power from an alternative green power supplier on behalf of their residents.
The municipality essentially operates as the supplier for the community’s electricity, Sumner said. These programs are especially prevalent in California, she said.
Unlike the other program types, residents generally don’t have to opt in to community choice programs; it’s typically automatic and consumers can opt out if they wish, Sumner said.
How renewable energy certificates (RECs) work
A solar farm in Imperial, California, on December 6, 2023.
Valerie Macon | Afp | Getty Images
Just because a consumer opts for renewable power doesn’t mean the electricity being pumped into their home is coming from those renewable sources.
This may sound strange. But it’s due to the physical nature of electricity and its movement through the shared electric grid.
“Once the electrons have been injected into the grid, there’s no way of tagging that these are ‘green’ electrons and these are not green,” said Joydeep Mitra, head of the power system program at Michigan State University. “Nobody knows which electrons are going where.”
Green energy programs instead rely on “renewable energy certificates,” or RECs.
The certificates are essentially an accounting mechanism for the generation and purchase of renewable energy, Mitra said.
You may not be getting the green power — but someone, somewhere is. And RECs keep track of it all.
Any consumer — even one who doesn’t have access to a green power program through their utility — can also purchase a REC as a separate, stand-alone product. It’s a way to provide extra funding to a renewable energy project, typically sold by a broker or marketer rather than a utility, Sumner said.
Buying these certificates separately doesn’t impact a consumer’s existing utility service relationship.
How to verify your electricity is green
Experts recommend choosing a green power option or REC that has been verified by an independent third party.
That’s because the voluntary sales and purchases of renewable energy aren’t subject to government oversight, according to the EPA and U.S. Energy Department.
One such independent body is the Center for Resource Solutions, a nonprofit that oversees the Green-e certification standard, the agencies said.
For example, Green-e polices the disclosures energy suppliers make to consumers about renewable energy, and verifies the purchase of that energy isn’t being counted toward state energy mandates, among other things.
In this new series, CNBC will examine what climate change means for your money, from retirement savings to insurance costs to career outlook.
Has climate change left you with bigger or new bills? Tell us about your experience by emailing me at gregory.iacurci@nbcuni.com.
Tesla has reportedly received 50,000 orders for the new Model Y with an updated design in about 24 hours, according to a new report in China.
Last week, Tesla unveiled the mid-cycle refresh of the Model Y in China and a select few markets supplied by Tesla’s factory in Shanghai.
Deliveries are expected to start in March. The new Model Y hasn’t launched in Europe or North America yet, but it is expected to in the coming months.
The update has received mixed reviews as the updated design is not as well received as the Model 3’s recent design refresh and the specs and feature upgrades are basically in line with the Model 3 refresh.
But Tesla has reportedly received a significant number of orders for the updated electric vehicles.
According to several reports from Chinese bloggers claiming to have information coming from Tesla salespeople (via Car News China), the automaker secured 50,000 Model Y orders on the first day of the design refresh unveiling.
It’s hard to assess how significant this is for Tesla. The automaker delivered about 480,000 Model Ys in China in 2024 – up about 5% year-over-year.
50,000 units would represent just over a month of orders in a single day, but the design refresh was anticipated for about a year. Therefore, there was a lot of pent-up demand for it as people waited for the update to order.
It’s also worth noting that one of the sources claimed that Tesla is guiding that new orders being placed now won’t get delivered until April or May, which was used as evidence supporting the number of orders.
However, Tesla’s Chinese Model Y configurator is still mentioning March deliveries for new orders being placed now:
That’s true for both versions of the new Model Y. Tesla has yet to launch the updated performance version the new electric SUV.
Electrek’s Take
I wouldn’t be really surprised if Tesla secured 50,000 orders for the new Model Y in China, but I would still take this report with a grain of salt. Tesla salespeople have extremely limited visibility into sales beyond their own locations, and the sources appear to be coming from them and are relayed by Chinese bloggers on social media.
That, combined with the fact that the configurator still mentions March deliveries, makes me have doubts.
With that said, 50,000 orders is also not an unbelievable number.
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The rugged new electric SUV will be here before you know it. Jeep is fast-tracking Recon EV production as it prepares for an upcoming launch. Here’s what to expect from Jeep’s new electric SUV inspired by the legendary Wrangler.
Just as Jeep’s first global electric SUV, the Wagoneer S, is arriving at US dealers, the brand is already preparing to introduce another EV.
The Recon was revealed in 2022 as part of Jeep’s new strategy to become “the leading electrified SUV brand” in North America and Europe. Although Jeep launched the Avenger in Europe in early 2023, the Wagoneer S and Recon will be the brand’s first EV models to roll out globally.
The Recon will be Jeep’s first true off-road electric SUV. It’s built from the “ground up to be 100% Jeep 4×4.”Jeep said the new EV is for “those who love to explore extreme adventures in near silence.”
Jeep maker Stellantis said the Recon is “inspired by the legendary Wrangler.” Like the iconic off-roader, it will feature options like removable windows and doors.
With an expected launch just around the corner, Jeep (Stellantis) is reportedly fast-tracking Recon EV production.
When is Jeep launching the Recon EV?
According to MoparInsiders, a source at Stellantis’ assembly plant in Mexico claims production for the new Jeep Recon EV is set for February 24, 2025.
That’s well ahead of expected. After recently introducing the Wagoneer S and Dodge Charger Daytona to the market, Stellantis aims for a smooth launch with the new Jeep Recon EV.
Ahead of its official debut, prototypes of the rugged electric SUV have been spotted in public testing several times. A Recon EV was caught in Michigan with almost no camouflage by the folks at JeepReconForum last month. Inside, a display screen showed a range of 147 miles at 66% charge.
Although that suggests a range of around 223 miles, the production model is expected to be closer to 300 miles. Like the Wagoneer S, which features over 300 miles of driving range, the Recon EV will also be based on Stellantis’ STLA Large platform.
Jeep’s off-road electric SUV will be equipped with its signature Selec-Terrain system, which includes Rock, Mud, and other modes. It will also include standard four-wheel drive for added off-road capabilities. The Recon is expected to pack between 450 to 600 hp with dual EDMs.
According to the report, the Jeep Recon EV will launch in three trims: Willys, Overland, and an even more rugged Moab model.
We caught a glimpse of the Moab trim in 2023 after images leaked out of a dealer event. Over the past few months, the Recon EV has been spotted in public with less and less camouflage.
As it gets closer to production, Jeep’s upcoming electric SUV looks more like a Ford Bronco with a rugged exterior design.
Prices and official specs will be revealed closer to launch, but the Jeep Recon EV is expected to start at around $60,000. More expensive trims, like the Moab, could cost about $80,000. Stellantis will launch the Recon this year in the US and other global markets like Europe, The Middle East, and Asia.
What do you think of Jeep’s Wrangler-inspired Recon? Would you buy one for around $60,000? Drop us a comment below and let us know.
Source: MoparInsiders
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The world’s largest EV maker is making a big statement overseas. In a historic win, BYD officially outsold Toyota in EV sales on its own home turf for the first time last year.
BYD EV sales in Japan topped Toyota in 2024
After squeezing legacy automakers out of China with its low-cost electric cars, BYD is making a strong push into overseas markets.
BYD introduced its first electric vehicle (EV) in Japan in early 2023, the Atto 3. Starting at around $30,000, this SUV competes with popular domestic cars like the Toyota RAV4 and Honda CR-V. It also rivals other EVs on the market, like the Toyota bZ4X and Nissan Ariya.
In its first full sales year, BYD has already outsold Toyota in EV sales in Japan. This accomplishment is even more impressive since Toyota has historically dominated sales in its home market.
According to the Japan Automobile Dealer Association (via CarNewsChina), BYD sold 2,223 EVs in 2024. In comparison, Toyota sold just 2,038 electric cars in its home market last year.
BYD’s EV sales were up 54% compared to 2023, while Toyota’s slipped 30% year over year (YOY). Since launching in 2023, BYD has introduced several top-selling models, including the Dolphin hatchback and Seal sedan.
Starting at just 2.99 million yen ($19,000), the Dolphin competes with top-selling domestic cars like the Toyota Prius and Nissan LEAF.
After launching the Seal last June, widely viewed as its answer to the Tesla Model 3, BYD’s electric sedan was already the top-selling imported EV in Japan by August. BYD’s Seal starts at 5.28 million yen, or around $33,500.
BYD is turning up the pressure in 2025 with plans to launch the Sealion 07 in Japan, its new smart mid-size electric SUV.
Japan’s total EV sales fell 33% to just below 60,000 in 2024, its first YOY decline in four years. Nissan led the market with a roughly 50% share despite LEAF sales slipping nearly 50% (30,749) from 2023. Although Toyota bZ4X sales were up 10%, only 1,012 models were sold in 2024. Toyota’s electric SUV starts at 5.5 million yen ($35,000).
Electrek’s Take
After losing significant market share in China, a critical market for Japanese automakers, BYD is now taking their home market by storm.
Although it’s still a small number, BYD’s growing presence in Japan is impressive. Japan has been a challenging market for foreign brands to compete in. Outside of luxury automakers like Mercedes-Benz, Porsche, and BWM, domestic brands have historically dominated auto sales in Japan.
Toyota accounted for over a third of the market alone last year. After topping Nissan and Honda for the first time in global vehicle sales last year, BYD is laying the groundwork for more growth in 2025.
The Chinese EV leader is expanding with new models launching in Europe, Southeast Asia, Central and South America, and more. Will BYD eventually top Toyota in global sales? As the industry shifts to EVs, BYD is quickly gaining momentum while Toyota lags in key markets.
Source: CarNewsChina, JAMA
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