Frequently Asked Questions Q. What is the New Jersey CleanPower Choice ProgramSM? A. The New Jersey CleanPower Choice Program is a renewable energy initiative that offers consumers in New Jersey a choice in the type of power they buy. Regulated and managed by the New Jersey Board of Public Utilities’ Office of Clean Energy, CleanPower Choice is a simple, easy way for you to support electricity that’s generated by cleaner, renewable energy resources. Q. What is renewable energy? A. Renewable energy comes from sources that are infinite like the sun, wind, and water, or that replenish themselves naturally including geothermal and biomass. Electricity generated from renewable energy sources produces little or no air pollution and/or radioactive waste. Q. What exactly are renewable power sources? A. Renewable power sources are those that rely on “renewable” resources, rather than fossil or nuclear fuels. Below are brief descriptions of each of the available CleanPower sources. (For more information visit: Green-e.org.) Solar: The term “solar energy” in this context refers to electricity produced by solar photovoltaic panels. Photovoltaic panels are semi-conductors that convert light energy to electrical energy. Wind: The heating of the Earth is uneven due to the daily rotation of our planet which creates winds whose energy can be captured by turbines and converted into electricity. This is one of the cheapest, and fastest-growing renewable energy technologies. Biomass: Energy that is stored in green plants and other organic matter is referred to as biomass. Biomass facilities burn wood, agricultural wastes and/or methane gases from landfills to spin a turbine that generates electricity. Using biomass in this way helps reduce the amount of material that goes to landfills and reduces the amount of greenhouse gases that would otherwise be released into the atmosphere. Hydroelectric: The energy produced from flowing water is the oldest and most readily available form of renewable energy. CleanPower suppliers use small hydro (<30 megawatts) and low-impact hydro. Q. How does CleanPower benefit the environment? A. The environmental effects of traditional energy sources like coal, natural gas, oil, and nuclear power can be significant. Although no source of energy is impact-free, renewable resources create less waste and pollution. Q. What are the benefits of buying renewable energy? A. Renewable energy is important because of the benefits it provides. Here are some major benefits: Environmental Benefits – Renewable energy technologies use clean sources of energy that have a much lower environmental impact than conventional energy technologies. Greater use of renewable energy sources for electricity production will lead to cleaner air through reduced emissions from conventional power plants. U.S. electricity generation is our nation’s leading source of industrial air pollution. Burning fossil fuels produces harmful emissions such as heat-trapping carbon dioxide, smog-forming nitrogen oxide, and sulfur dioxide, a contributor to acid rain. What’s more, there are land-use impacts associated with mining or extracting coal, oil, and natural gas. Nuclear power produces the long-term challenge of managing nuclear waste that remains radioactive for thousands of years. Health Benefits – By using more renewable energy, we can also reduce the serious effects of air pollution on human health. Conventional electricity generation produces more pollution than any other single activity, according to the U.S. Environmental Protection Agency. Particulate or fine particle pollution from combustion of fossil fuels is a known contributor to increased asthma rates, as well as heart and lung disease. Energy for the Future – Renewable energy will not run out. Ever. Other sources of energy are finite and will some day be depleted. Jobs and the Economy – Most renewable energy investments are spent on materials and workmanship to build and maintain the facilities, rather than on costly energy imports. Your energy dollars stay home to create jobs and fuel local economies, rather than going overseas. Energy Security – Dependence on imported energy resources, such as oil and liquified natural gas, has consequences in terms of electricity rates, service reliability and national security. We have all seen oil and natural gas prices fluctuate significantly in the past, and no one doubts future spikes will occur. Energy Diversity – Having a more diversified blend of energy sources will improve energy security and reliability, plus help avoid price fluctuations. Q. What happens to my electricity if I enroll? A. Your electricity will continue to be supplied by the same transmission and distribution system that currently delivers your electricity. Your local electric utility will continue to deliver safe, reliable electricity to your home, send your monthly electric bill, and restore your electricity during a power outage. Q. Do customers purchase their energy from another supplier? A. Customers enrolled in the New Jersey CleanPower Choice Program will choose from New Jersey Board of Public Utilities-approved CleanPower suppliers who specialize in marketing renewable resources. There are a variety of renewable resources and price plans to select from. The customer will not actually purchase the electricity, but will authorize the CleanPower marketer to purchase and get reimbursed for electricity that is generated from CleanPower sources, such as wind, solar, landfill gas, and small or low-impact hydro power, on their behalf. Q. Why does the CleanPower Choice Program cost more? A. Although renewable sources like sunlight and wind are free, the technology used to capture and convert the energy they produce is still more expensive than traditional power generation methods. Increased demand is expected to expand power production capacity and eventually to lower costs. The increased monthly cost to participate in the program makes up for the difference between the higher cost of renewable energy and the costs of conventional fossil and nuclear electricity. Q. Why would I want to pay more for electricity? A. Consumers want the choice of which type of fuel they want to support. Buying CleanPower is a way to support the local production of electricity generation that has fewer environmental impacts. Q. If I sign up for one of these options, is the power coming into my house from renewable resources? A. Not directly. When you choose one of the CleanPower suppliers, you are asking the supplier you select to purchase renewable energy (in the energy mix you selected) on your behalf. The purchase is verified by the New Jersey Board of Public Utilities’ Office of Clean Energy to ensure that the CleanPower you selected is being purchased and put into the New Jersey and Mid-Atlantic power grid. Q. How does the electric grid work? A. A vast electric power network, often referred to as “the grid,” connects states’ transmission systems throughout the U.S. This electricity grid of wires, transformers, substations and other infrastructure provides a large pool of electricity or electric energy. Each region has its own power pool, although electricity can be delivered between regional pools. With the New Jersey CleanPower Choice Program, you can choose various renewable energy sources and, consequently, what types of power get delivered into the pool. When you select CleanPower, you are directing your energy dollars to companies that contract with renewable electricity generators, who will put CleanPower into the grid. Imagine the electric grid is a giant bathtub being filled with electricity from many different faucets. Each faucet is a different generation source, such as nuclear, coal, and wind. Every time you turn on a light switch, you drain a little electricity from the tub. The renewable energy you buy goes into the electric grid, which reduces the need to generate electricity from conventional sources. This means there will be less pollution released into the air in New Jersey and the Mid-Atlantic region from those sources. Q. Will my lights go out if the wind is not blowing or the sun is not shining? A. No. Your local utility will still deliver the electricity you use each day. The only difference is that some of that electricity that is delivered to the electricity grid will come from a different source: a wind farm, solar power system or small hydro facility. Q. Will my current electric bill be affected if I support renewable energy? A. Yes. When you sign up for the CleanPower Choice Program, the additional cost of your CleanPower selection will be added to your monthly electric bill. The additional cost depends on which option you choose, and how much electricity you use each month. Contact the CleanPower marketers to see what they are offering and which option best meets your individual needs. Q. How will my electricity bill be affected? How many bills will I receive? A. You will continue to receive one bill from your local electric utility that will now reflect both the local electric delivery and basic generation service charges and the additional renewable option charges from the CleanPower supplier you select. You will continue to make one payment each month to your electric utility, which will now also include the renewable energy charges. The amount of your CleanPower is determined by the option you select and is based on the electricity that you consume for that month. Q. Whom do I call if the power goes out? A. When you select a supplier from the New Jersey CleanPower Choice Program, you will still get the same reliable service you have now. Your local utility will continue to deliver your electricity and provide the same reliable service. Your local electric utility will continue to read your meter, provide billing, respond to power outages, and provide other services related to the delivery of electricity. Q. Will there be a windmill in my backyard or a solar panel on my roof? A. The renewable energy used in the program is generated at wind farms, solar power systems, and small hydro facilities throughout the Mid-Atlantic region. These facilities create electricity and deliver it directly to the same electric grid as conventional sources of electricity. You may be purchasing the excess solar or wind produced by your neighbor’s system. If you are interested in supplying renewable energy to the grid, visit www.njcep.com. Q. Will I need to rewire my home? A. Buying cleaner electricity requires no rewiring or special equipment. You will still be connected to the same power grid that supplies your power now. Q. What are the nation’s current electricity sources? A. The U.S. currently relies heavily on coal, nuclear, and natural gas to produce electricity. The current average U.S. mix is 52% coal, 20% nuclear, 16% natural gas, 7% hydroelectric, 3% oil, and 2% renewable. (From 2002 US EGRID.) Q. Can I be sure my dollars are actually supporting clean, renewable resources? A. Yes. The New Jersey Board of Public Utilities’ Office of Clean Energy regulates and monitors all the CleanPower marketers that participate in the program. The BPU OCE validates that the marketers are purchasing the CleanPower of the type that you select and the quantity that you use over the monthly period. Q. This sounds great! How do I sign up? A. Signing up for the New Jersey CleanPower Choice Program is easy! You can download the application form from NJCleanPower.com and mail it to the CleanPower marketer that you select. Or, simply call or visit the Website of the CleanPower marketer you would like to sign up for, and they will walk you through the enrollment process. Your utility does not have the ability to enroll you in the CleanPower Choice Program. Following are the CleanPower Marketers participating in the NJ CleanPower Choice Program: Community Energy, Inc. 1-866-WIND-123 www.newwindenergy.com Jersey-Atlantic Wind, LLC 1-877-NJ-WIND1 www.njwind.com Green Mountain Energy Co. 1-800-810-7300 www.greenmountain.com/nj Sterling Planet, Inc. 1-877-457-2306 www.sterlingplanet.com Q. Can I switch CleanPower suppliers or switch back to just my local electric utility? A. Yes, at any time you can switch suppliers without any termination costs or penalties. Simply notify your chosen renewable energy company directly. Q. Is there a governing body that oversees the CleanPower suppliers? A. Yes. The New Jersey Board of Public Utilities’ Office of Clean Energy has licensed the CleanPower companies you can select from. Q. Is it a voluntary program? A. Yes. Customers who do not wish to participate in the program will not be charged, nor will they subsidize the program in any manner. The New Jersey Board of Public Utilities, Office of Clean Energy
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