Energy suppliers accused of greenwashing

Mistrust of energy suppliers’ green claims is growing as consumers are being hoodwinked by energy suppliers’ greenwashing, according to research by Good Energy.

The renewable electricity company’s research found that 38% of adults say energy suppliers are more likely to greenwash than other businesses, and one in five (20%) believes this is true of their own supplier. Some 73% believe the rules over transparency should be stricter.

As a result, Good Energy will use new metrics that help consumers and businesses understand the renewable energy credentials of their suppliers. The company is calling other suppliers to do the same.

Its transparency standards set out where it sources its energy. Good Green Supply is three key metrics for renewable suppliers to share how they score on the sourcing principles that matter for transparency and growth of renewables.

The metrics are:
• True green
The percentage of power sourced directly from renewable generators. This could come from direct agreements with renewable generators or suppliers’ own wind or solar farms. This is to expose the practice of buying power from fossil fuels while selling it as ‘renewable’ through deceptive clean energy certificates.
• New green
The proportion of power from generators that are new to the grid. This is to reinforce the importance of continuous decarbonisation of the grid by connecting new renewable generators to it.
• Time-matched green
The amount of energy usage that is matched to renewable generation, hour by hour. Currently, suppliers can match winter electricity use with certificates from midsummer solar power. This metric will demonstrate the amount of renewable electricity actually generated when customers are using it.

Good Energy chief executive Nigel Pocklington says: “Most people don’t know what it means to be certified as a renewable electricity supplier and, if they did, they’d be shocked. Your energy supplier can buy most of your power from fossil fuels and sell it to you as 100 per cent renewable.

“The current system uses certificates and middlemen, making renewable claims deceptive. We believe customers deserve better; the current standards aren’t fit for purpose and we want more transparency.

“Clarity around how transparent suppliers actually are in sourcing renewable electricity is one of the major roadblocks preventing British households and businesses from being able to play an active part in our net zero ambitions. The demand is there but the industry is not being nearly honest enough with customers.

“We’re calling on other renewable suppliers to reveal their data on these important metrics to help drive true decarbonisation of the grid. We’re also asking for the government to make this level of transparency mandatory so that people and businesses can be assured that choosing a green supplier helps to create a greener energy system.”

Good Energy backs all the power it supplies with direct agreements with renewable generators.