FAQ: Frequently asked questions on EUGENE

What is green electricity?
'Green electricity' is electricity produced from sources which have little negative impact upon the environment. The cleanest energy sources are those which utilise the natural energy flows of the sun, water, wind and biomass. These are usually known as renewable energy sources, because they will never run out. Co-generation – a technology utilising the heat generated during electricity production – can significantly reduce C02 emissions. In some countries it is part of green power schemes. 

What is EUGENE?
The European Green Electricity Network (EUGENE) is an independent network bringing together experts from environmental and consumer organisations, and research institutes dedicated to promoting renewable and efficient energy sources and to foster a clean energy future. Open and constructive dialogue is carried out with green power producers and suppliers. EUGENE has already received endorsement and active commitment from a wide range of respected NGOs, including WWF and others.

What is a green electricity label?
Green electricity labels demonstrate that an electricity tariff meets a number of independently assessed criteria. Labels provide consumers with the confidence that the certified tariffs live up to their claims: that they utilise renewable energy and do not have harmful environmental impacts. Certified under the EUGENE scheme, it is truly a best-practice green choice.  EUGENE requires that a certain percentage of sold green electricity is coming from new generation plants.  That way, you can be sure that your money is going into building new green energy resources and displacing polluting energy. Ask your utility whether their green tariffs are EUGENE accredited. If not, you should ask where does the energy come from and how much "new" renewables are in the mix. 

How does the EUGENE labelling scheme work?
The EUGENE labelling scheme is based on a common standard for green electricity. National labelling bodies, accredited by EUGENE, implement this standard to the national level and may develop additional criteria. Electricity suppliers seeking certification for their green products should contact the EUGENE-accredited national body. If their green electricity product is found to conform to the label criteria, the electricity supplier will be enabled to distribute the product as a "EUGENE labelled product", and to use the national label trademark logo. 

Where will EUGENE labelled green electricity products be available in my country? 
EUGENE is planning to establish national labelling bodies across Europe. To know the updated list of labelled green electricity products, you should contact the EUGENE national body in your country.

Is my electricity supply really green?
Electrons come and go freely within the grid and it is impossible to guarantee that the electricity which powers your home or business is actually “green”. But that’s not really important. What is important is that your supplier will produce or buy from another producer an amount of power from renewable sources equivalent to your consumption, and which is additional to the government supported capacity. This electricity is fed into the grid and off-sets electricity produced from more traditional sources.

Does it really make a difference if I switch to green electricity?
Yes! By signing up for labelled green electricity, not only are you ensuring that you are helping to reduce pollution, you are also sending a powerful message to electricity companies to invest more in renewable energy technologies. 

What is the difference between a green supply tariff and a green fund?
Signing up for a green supply tariff means that your electricity consumption will be matched with the same amount in green electricity. That is, green electrons will be fed into the system to match your electricity demand. Green funds work differently, although the overall objective is the same. When switching to a green fund, customers continue to receive “conventional” electricity. The customer asks the supplier to donate a part of its electricity bill to a fund that supports the installation of new renewables production capacity. This fund supports your supplier in setting up new renewable energy projects. It means that you help renewables play a greater role in the future power mix. Some green offerings combine both concepts, offering both to match electricity supplied with power from green energy sources and to contribute to a renewable energy fund.

What is the difference between labels and renewables certificates?
Renewables certificates Renewable certificates specify that a given quantity of renewable electricity (typically 10 or 100 MWh) has been produced by a given source, over a given period. These certificates are kept in official records. Under a renewable certificates system suppliers acquire them to prove the capacity of renewable energy that they have sold to their customers. These certificates may be separately tradable and as such do not need to follow the physical stream of electricity.

In contrast, a label guarantees the environmental quality of a certain green electricity offering. The label certifies that the green tariff meets a number of environmental criteria regarding the source of electricity as well as the requirement for new energy content. In other words, it guarantees that a certain percentage of the money you pay for the tariff will be invested in new renewable and efficient energy capacity.

Does Green Electricity cost more?
Green electricity tariffs do not always cost more than ordinary tariffs. On the one hand, in countries where there are tax benefits for renewables, there may not be any additional cost. For example, there has been a significant number of business that have switched to green electricity in the UK and in the Netherlands which have adopted tax exemptions. In the former country, organisations are exempt from the climate change levy (0.43p/kWh) for the electricity generated from renewables.  In the Netherlands green energy is exempted from the Regulatory Energy Tax applying on residential and small commercial consumers. On the other, producing electricity form renewable sources costs more than producing electricity from fossil or nuclear resources for the following reasons:
•	environmental costs (particularly carbon emissions) are not included in the price of energy,
•	fossil fuels and nuclear power benefit from hidden subsidies (e.g. the nuclear industry doesn’t have to have an insurance for catastrophes, the state pays in the case of major incidents).