Is Green Mountain Energy Really Green?
By Lily Auliff

Green Mountain Energy Company, founded in 1997, provides what they call “green” power to more than 100,000 residential customers in Connecticut, Pennsylvania, New Jersey, and California. So far, they are Texas’ only choice for cleaner electricity. But some are questioning their product, and their motivation.

“Green Mountain’s power is largely from repackaging existing power that was already built and was not at risk of going away,” notes Mike Ewall of the Boycott Green Mountain campaign. “The small portion of Green Mountain’s energy that comes from new renewables is predominantly from polluting combustion sources like the burning of toxic landfill gases or the burning of industrial wood wastes. Only a very small fraction of their power comes from new clean renewables like wind and solar.” The campaign also says that Green Mountain has made false claims about where their energy comes from.

Although specific power sources and prices for Texas were not available at press time, Green Mountain says they will offer cleaner electricity at a competitive price, perhaps charging 5 to 10 percent more than traditional providers. Their services in other states give an idea of what exactly might be available here.

In Connecticut, Green Mountain electricity is produced using 50 percent renewables, including wind, biomass, and hydropower, and 50 percent natural gas, considered the cleanest burning fossil fuel. Their power costs 6 cents per kilowatt-hour (KWh). Connecticut Light & Power (CL&P) and United Illuminating, both traditional providers, charge 5.5 cents and 5 cents per KWh, respectively. After adding all applicable charges, a $60 electric bill with CL&P climbs to $62.69 with Green Mountain Energy.

In New Jersey, Green Mountain customers have two options. The company’s Eco Smart electricity consists of 50 percent hydroelectric power, 49 percent natural gas, and 1 percent other renewables, including wind, solar, and captured methane gas. Customers who choose Eco Smart pay and extra $3 or so for cleaner electricity on a $60 bill. Green Mountains Enviro Blend consists of 50 percent hydroelectric energy and 50 percent other renewables. Choosing Enviro Blend adds about $8 to a $60 bill.

Some are also suspicious of Green Mountain’s heritage. The company was formerly chaired by Sam Wyly, the Texas billionaire and Bush supporter who personally funded a $2.5-million advertising campaign during the Republican primaries bashing Senator John McCain and promoting Bush’s environmental record. Wyly “wants further deregulation of electricity markets and what he calls a business-friendly environmental policy that cuts requirements on industry,” according to a Los Angeles Times article on December 25, 2000.
Wyly still sits on the board, but the company has gone through a major management and personnel overhaul in the last few years, according to Tom Smith at Texas Public Citizen. Also, leaders from the Natural Resources Defense Council, the Worldwatch Institute, the Rocky Mountain Institute, the Clean Energy Group, and the World Resources Institute – all respected environmental groups - serve on Green Mountain’s advisory board.

Green Mountain’s politics have been questionable as well. Ewall explains that their management has spoken out against legislation for Renewable Portfolio Standards (RPS), which require power marketers to sell a minimum percentage of electricity from renewable sources. “Some green marketers and their proponents place a priority on preserving a market that makes a minor contribution to the environment at the possible expense of policies that could make a major contribution to the environment,” comments a report on green electricity from Public Citizen.

For more information on Green Mountain Energy visit www.greenmountain.com. For more information on the campaign against Green Mountain, visit www.boycottgreenmountain.com.