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Green Power Purchases 1EPA
2
Printed on paper that contains at least 50 percent postconsumer fiber. The Bush Administration has asked the government to be the first
to conserve energy. These purchases represent a creative and
innovative approach to help solve our nations energy crisis, while
achieving tremendous environmental benefits and charting the way
for the emerging green power market.
Christine Todd Whitman, EPA Administrator,
speaking about EPAs most recent green power purchase
United States
Environmental Protection Agency
EPA202-F-01-001
December 2001
www.epa.gov
Administration and Resources
Management (3204R)
Sustainable Facilities Practices Branch
1200 Pennsylvania Avenue NW
Washington DC 20460 GREEN
POWER
:
Fueling EPAs Mission With Renewable Energy
Through a combination of procurement methods, the U.S. Environmental Protection Agency (EPA) is intensifying the federal
governments demand for green power, or energy derived from renewable sources. Since July 1999, when EPAs Richmond,
California, laboratory became the first federal building to receive all of its electricity from renewable sources, other agencies
such as the U.S. Department of Energy (DOE) and the U.S. General Services Administration (GSA) have worked with EPA to
procure renewable energy for their power needs. Since its first green power purchase, EPA has added electricity from 100
percent renewable sources at four more labs and will continue to buy green power at its facilities nationwide.
1 Solar
energy uses the sun to produce
electricity either directly (using photo-
voltaic cells to capture the suns rays) or
indirectly (solar thermal collectors use the
suns heat to generate steam, which drives
turbines that make electricity).
Wind
generates electricity by moving
windmills that drive turbines.
Biomass
generates electricity from
burning waste wood, other plant material,
or landfill gas to create heat and steam,
which drives turbines.
Geothermal
draws on the heat of
the Earths interior to produce steam that
drives electric turbines.
Hydro
generates electricity through
small installations, which use running or
falling water to drive turbines.
2
GREEN
What is
POWER?
Also known as renewable energy, green power has been used
throughout history and encompasses a variety of energy sources
that are naturally replenished, including the following:
R 3
Renewable
Benefits
Electricity generated using fossil fuels (such as coal, oil, and natural gas) has
been a mainstay of our nations power supply for more than a century. Large
hydroelectric dams have been used for many years and have increasingly
contributed to our energy supply since the Great Depression, and nuclear
reactors have been a source of electricity since the 1950s. All of these have
contributed to a stable energy supply nationwide.
As our reliance on electricity has grown, people have become increasingly
concerned about the environmental and resource implications of relying
solely on non-renewable means to generate power. For example, concerns
have been raised about carbon dioxide (CO2), sulfur dioxide (SO2), and nitro-
gen oxide (NOx)emissions created from fossil fuel combustionbecause
of heightened interest in global climate change, acid rain, and smog.
Over the past several years, investments have been made in improving
the environmental performance of traditional energy technologies. At the
same time, the United States has made significant investments in ways to
produce electricity from renewable resources. Fostering renewable ener-
gy, combined with the improvements in traditional power generation,
benefits the environment while expanding the diversity and capacity of
the nations energy supply. Leading by Example. EPAs green power
purchases are helping to develop a buying
process that can be duplicated across the
country in other federal agencies and facili-
ties. With each new procurement, EPA is pro-
viding information and experience that
make future renewable power purchases
simpler for other federal agencies.
Raising Consumer Awareness. People are
becoming more aware of the options for
purchasing power. Green power is increas-
ingly available nationwide through green
power marketers, utility green pricing pro-
grams, on-site renewable energy genera-
tion, and trading in renewable energy
certificates, also known as green tags. EPA
hopes its efforts can help energy con-
sumers of all sizes make informed decisions
about a vital service.
Expanding the Renewable Market. By
purchasing green power, EPA helps the
renewable energy market develop new
renewable resources, lower technology
4
Green Power
A
EPA and
Restructuring of the electric utility industry offers the federal gov-
ernment the opportunity to purchase energy from more renewable
sources and reduce the environmental impact of its electricity con-
sumption. Since EPAs mission is to protect human health and the
environment, the Agency believes it should lead the federal govern-
ments charge to purchase renewable energy. And because many of
EPAs facilities are laboratories, which are large power consumers,
these renewable energy purchases accomplish several related goals: costs, boost utilization, and strengthen the
nations long-term energy security. EPAs
green power strategy encourages the use of
local or regional sources of renewable energy
wherever possible, and requires that a per-
centage of the energy in each purchase come
from newly constructed generation sources.
Reducing Greenhouse Gases. EPAs renew-
able energy purchases advance the principles
outlined in Executive Order 13123,Greening
the Government Through Efficient Energy
Management, which mandates that federal
agencies reduce greenhouse gas emissions
30 percent by 2010 compared to 1990 emis-
sions levels.
Partnering for Progress. EPA is a founding
partner in the Green Power Partnership, a vol-
untary program launched by EPAs Climate
Protection Partnerships Division in 2001.
Partners in the program commit to procuring
a percentage of their electricity from green
power sources. In return, EPA provides techni-
cal assistance and recognition.
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EPAs use of green power has been growing since
May 1999. The Agency requires more than 259
million kilowatt hours (kWh) of electricity per
year for nearly nine million square feet of office
and laboratory space. By the end of 2001, the
Agency expects to be receiving approximately
23.8 million kWh of energy from renewable
sources in five of its laboratories. EPAs use of
green power will therefore be more than nine
percent of its total electricity consumption.
EPA Facilities - Offices and Laboratories
A Growing Preference for
Green
er
:
A Natural Match
Ratio of purchased renewable electric energy to
total purchased electric energy: 9.17 percent
Gross Square Feet: 8,900,000 sq. ft.
FY2001 electricity consumption
(estimated): 259,674,670 kWh
FY2001 electricity from renewables
(estimated): 23,807,204 kWh*
*Assumes 100 percent green power purchases
at five EPA laboratoriesRichmond, California;
Manchester, Washington; Golden, Colorado;
Chelmsford, Massachusetts; and Cincinnati, Ohio.
Non-Renewable:
90.83 percent 6
Leveraging Federal
Buying
Power
The cost of green power can be higher than tra-
ditional power. To offset these costs, EPA is
implementing a series of energy-efficient and
cost-saving measures. EPA views its green power
purchases as an investment in the future.
Combined with other federal agencies, its
efforts can spur demand for renewable energy
and help expand the market. This, in turn, will
lead to lower technology costs, greater utiliza-
tion, and long-term diversity of energy sources
for the nation as a whole.
In addition, by issuing requests for proposals
(RFPs) for green power, EPA encourages suppli-
ers to enter the green power market. Since RFPs
include requirements for a percentage of the
power purchased to be generated from new
renewable sources, EPA is further encouraging
the expansion of renewable energy capacity.
Green power is delivered over the same wires
owned and maintained by the local utilities that
deliver standard electric power. In deregulated
markets, the utility company typically continues
its energy distribution services and maintains
the power lines. Since power is still distributed
over the same system, switching providers does
not affect the quality or reliability of electricity.
Over the past two years, EPA has collaborated
with GSA and DOEs National Renewable Energy
Laboratory to develop procurement strategies
and policies that will benefit other federal agen-
cies, as well as the renewable energy industry.
Progress has been made to begin leveraging
the federal governments buying power to cre-
ate demand for green power. In addition,
because of the federal governments interest in
renewable energy creditsor green tags
federal procurements have become a means of
supporting development of innovative new
mechanisms for supplying renewable energy
into the electrical grid. Richmond, California
Since July 1999, EPA has been purchasing 100 percent green power from the Sacramento
Municipal Utility District (SMUD) for its laboratory in Richmond, California. The laboratory uses 1.9
million kWh of electricity annually, enough to power 181 households. To ensure the power for this
major purchase was truly from renewable sources, EPA required SMUD to obtain Green-e certifi-
cation. Initially, SMUD provided 40 percent of the energy from landfill g