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HomeMy WebLinkAbout19 Green Tag ProgramAgenda Item # 19 WORKSHOP To: Board of Directors From: Kathleen Neus Date: June 01, 2011 Subject: Discussion of the Green Tag Program 1. WHY THIS MATTER IS BEFORE THE BOARD This workshop is a review of the District's Voluntary Green Tag Program. 2. HISTORY In an effort to help District customers, residential and commercial to reduce their individual environmental impact, the District implemented a Voluntary Green Renewable Energy Credits Program. Green power or "renewable energy" is considered energy that is generated from resources that contribute minimal carbon dioxide emissions if any. Renewable energy sources include wind, photovoltaic, landfill gases, biomass, geothermal and hydroelectric. The District buys Green Tags from Bonneville Environmental Foundation (BEF) a non- profit organization that was founded in 1998 to fund watershed restoration and to develop new sources of renewable energy. BEF markets green power products to public utilities, businesses, government agencies and individuals. The Green Renewable Energy Credits Program is voluntary in nature and the generated green power is not necessarily fed back into the purchaser's power grid. One Renewable Energy Credit (RECs) also called "Green Tags" is equal to 1000 kWh of clean renewable energy (1,000 kWh of renewable energy is the equivalent of offsetting 1,500 miles of emissions from a standard car). 3. NEW INFORMATION The Voluntary Green Tag Program began in June of 2008 at the request of District customers. To date there has been a total of 10 participants in the program. The most recent sign-up was in June of 2009. Unfortunately there have been two withdrawals in 2011. Currently the District purchases approximately 27% of it's power from renewable resources. Governor Brown has recently signed legislation that by 2020 renewable resources must make up 33% of an electric utilities power portfolio. Despite early marketing efforts, the District's program has not been heavily utilized by our customer base. The program was detailed on the front page of the Sierra Sun. The program has been discussed at Board Meetings, in the District's newsletter Current Connections, and applications have been available at the Home Show every May. There are currently two commercial participants that account for 75% of all green tag purchases. From June of 2008 through March 31, 2011 793 Green Tags have been purchased. It is staffs recommendation to end the program. 4. FISCAL IMPACT There is no fiscal impact associated with this workshop item. Cost to participate in the Voluntary Green Tag program is $0.02 per kilowatt hour of usage. The cost to the District is approximately $2,600.00 a year. 5. RECOMMENDATION Receive this report and provide comments to staff. MI - A _ : �,- Michael D. Holley General Manager