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Green Electricity in Europe

Contents:

 

NGO Views

Sept 2002: CAN Europe, FoE Europe, Greenpeace and WWF letter to the Energy Council on the disclosure aspects of energy liberalisation

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Green Electricity

Green electricity (GE) is an "environmental friendly" electricity supply. This comes from renewable sources such as hydro, wind, wave, solar, geothermal or biomass. Market research has shown that there is great interest from European consumers (both private and commercial) for green electricity and with the liberalisation of the electricity market in Europe underway, there are opportunities to develop this more fully. National schemes are being established.

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'Environmentally friendly' electricity supplies

Solar

Wind

Wave

Geothermal

Hydro power

Biomass

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Labelling

Progress is being made in this area, and there are some national green electricity labels already established
Netherlands
Sweden
Switzerland
Germany
United Kingdom

We need a European Green Electricity Label

However, green electricity comes in many different guises. Some countries are developing  very strict criteria, whilst others take a more lax attitude to what is considered  'green'. With the increasing liberalisation of the energy markets, more confusion will arise as green electricity could be traded across Europe. For instance, German consumers could be sold imported large hydropower while this is excluded from their national green electricity label. Furthermore, there is a threat that utilities will develop their own definition of what is green electricity -including for instance biodegradable urban waste- undermining the credibility of green electricity labels. In this context, there is clearly a need to develop a common European label for Green Electricity, which will set a number of principles and criteria for GE labelling across Europe.

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Disclosure

Sept 2002: A new report, 'Electricity Disclosure in Europe', sponsored by the EU Altener programme takes a detailed look at the issue of electricity labelling in Europe. It also looks at the US experience where costs of implementation of labelling schemes turn out to be minimal. The report is part of a wider project 'Consumer Choice and Carbon consciousness for Electricity' (C4)

If labelling is to be effective, electricity suppliers must disclose the source of their electricity supplies in a clear and consistent way. This is mandatory in some states in the US and there is a real need for legislation in Europe, particularly with the opening up of the electricity markets. However, there  are moves in this direction. In the recent draft of the directive on 'Completing the Internal Energy Market'  COM(2001)125 , you can find the following text (last page section d):

(d) Member States shall ensure that electricity suppliers specify in the bills sent to each final consumer, the composition of the fuel mix used to generate the electricity that is consumed by the final consumers they supply. The relative costs of the different fuels used to generate a unit of electricity supplied to the final consumers shall be specified and the relative importance of each energy source with respect to the production of greenhouse gases.

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