Debunking Renewable Energy Plans: Why They're a Scam and What You Can Do Instead

Energy Plans in Texas. Why They're a Scam and What You Can Do Instead

Debunking Renewable Energy Plans: Why They're a Scam and What You Can Do Instead

April 9, 2024
Shawn Cornett

In recent years, there has been a growing trend towards renewable energy plans as individuals and businesses seek to reduce their carbon footprint and support sustainable energy sources. However, what many people don't realize is that some of these renewable energy plans are not as green as they seem. In this blog post, we will delve into why renewable energy plans can be considered a scam and offer practical alternatives for making a real impact on the environment.

When you sign up for a renewable energy plan, you may believe that you are getting green energy directly from renewable sources like wind or solar. Unfortunately, that's not entirely accurate. In reality, the electricity you receive through these plans is often the same as what you would get from traditional sources. The only difference is that you are paying a little extra, with that additional money going towards renewable energy credits.

Renewable energy credits (RECs)

Renewable energy credits (RECs) are certificates that represent the environmental attributes of electricity generated from renewable sources. When you purchase a renewable energy plan, your energy provider uses the extra funds to buy these RECs, which are essentially a donation to the renewable energy industry. While this may seem like a positive contribution, the effectiveness of this approach is questionable.

"Renewable energy credits are produced when a renewable energy source (wind, solar, hydroelectric, etc.) generates one MWh of electricity and sends it to the grid. For example, if an onshore solar power facility produces 5 MWh of electricity, they have 5 renewable energy credits that they can either sell or keep."
Source: Renewable energy credits explained

Government-managed programs

One of the main reasons why renewable energy plans can be considered a scam is due to the mismanagement often associated with government-backed initiatives. Government-managed programs are notorious for inefficiencies, bureaucracy, and lack of transparency. As a result, the impact of your contribution through a renewable energy plan may not be as significant as you think.


Moreover, some energy companies use renewable energy plans as a form of greenwashing, a tactic to make their services appear more environmentally friendly than they actually are. By offering renewable energy plans without substantial changes to their energy sources or infrastructure, these companies capitalize on the growing demand for sustainability without making substantial investments in renewable energy production.

Instead of relying solely on renewable energy plans that may not deliver the desired environmental benefits, there are practical alternatives that individuals and businesses can consider to make a real impact on reducing carbon emissions and supporting renewable energy sources.

Reduce your carbon footprint

One effective way to reduce your carbon footprint and support renewable energy is by shifting your energy usage to off-peak times. Peak demand periods, such as hot summer days from 4 to 6 pm, put a strain on the energy grid and often require additional energy from fossil fuel sources. By using electricity during off-peak hours, you can help reduce the overall demand for energy during peak times, thereby lowering carbon emissions.

Instead of relying on a green energy plan from your utility provider, consider going green at your point of usage - your home or business. Investing in solar energy is a highly efficient and sustainable way to generate electricity while reducing your reliance on traditional energy sources. Solar panels harness the power of the sun to produce clean and renewable energy, making them an excellent choice for environmentally conscious individuals and organizations.

Solar energy systems not only reduce your carbon footprint but also offer long-term cost savings by reducing or eliminating your dependence on grid electricity. With advancements in solar technology and incentives such as tax credits and rebates, solar panels have become more accessible and affordable for homeowners and businesses alike.

While renewable energy plans may seem like a step in the right direction, it's essential to understand their limitations and consider alternative approaches for supporting renewable energy and reducing carbon emissions. By shifting our energy usage to off-peak times and investing in solar energy at our point of usage, we can make a real and tangible impact on the environment while promoting sustainability and energy independence.






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