Easy Green - Frequently Asked Questions
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- Rosanna Hudson
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1 How does the Smart Energy Co-Op of Maryland (SECO-MD) make the process of going green easy? SECO-MD just needs a simple authorization form signed. Then SECO-MD does all the work of sourcing the clean energy. Once sourced, a one-page proposal will confirm your old rate and show the new, 100% green rate. If accepted, SECO-MD then manages the change over. No work is required from the Member. Your electricity bill still comes from your utility. You mention a simple authorization form. What exactly am I authorizing? The authorization form - also called Terms of Service - only authorizes SECO-MD to review your utility data and search for better, greener options. The form does not authorize SECO-MD to make any changes. No changes will be made to your account until you ve read, approved and signed our new energy proposal. Please note SECO-MD has partnered with Nextility - one of the Country s leading energy brokers - to offer this service. So, this work will be performed by both SECO-MD & Nextility. So you seem like nice folks but I hear horror stories about people getting ripped-off on these electricity supply agreement. Are you crooks? There are numerous firms out there that are dubious and have given this topic a black-eye. But, that is exactly why SECO-MD was formed - to make energy simple, low-risk and affordable. We even call this service Taming the Wild West because now there is a new sheriff in town looking out for the folks! Also, over 10-years, the SECO-MD leadership team has served nearly 3,000 local clients and has a 98% retention rate. We ve received awards from the Maryland Energy Administration and have a hard-earned reputation for excellent customer service with both local businesses and global, blue-chip companies like General Motors N Market St, Frederick, MD 21701, USA maryland@us-seco.io
2 So this would mean I m buying my electricity from SECO-MD? Not really. SECO-MD is serving its Members by sourcing the green energy and managing the green certification. You ll continue paying your utility bills just like you always have. SECO-MD is simply managing and certifying the process to make sure the electricity is cost-competitive and is 100% green. So you re saying my electricity bill will stay the same or go down, correct? Not exactly. We re committing that the rate you pay for electricity ($ per kilowatt hour) will stay the same or go down. You can still use more or less electricity which may make your utility bill go up or down. The proof that we ve done what we ve said will be you re first utility bill that shows the $ per kilowatt rate has stayed the same or has gone down. Also, in the future, on the SECO-MD web portal we ll track the amount of electricity used and you ll be able to view records showing how we re certifying that it s green. GREEN AT NO ADDED COST 100% GREEN ENERGY p. 2 maryland@us-seco.io
3 I don t get it, how can the electricity I use suddenly be green? All forms of electricity generation (coal, natural gas, wind, solar or nuclear) inject power onto the grid to which our buildings are all connected. So, what we use can come from any of these sources. However, green generators, like solar and wind, track precisely how much clean energy they inject into the grid via a serialized Renewable Energy Credit (REC). These RECs confirm that electricity is from a renewable source and effectively travels with the electricity as it flows through the grid. When you consume electricity on the other end of the grid, SECO-MD tracks and retires these RECs. Thus, we confirm that a Member took out exactly the same amount of electricity that the solar panel or wind turbine put in. SECO-MD only recognizes and certifies RECs that adhere to a recognized industry standard like Green-E or those that are recognized by law in Maryland. So exactly where would my green electricity come from? One of the great things about renewable energy is that it can sometimes be installed on your property (i.e., solar panels on your roof). However, most buildings actually can t support this and especially not in dense urban areas. So, that s the great thing about RECs. The solar panels or wind turbines can be built where they re most viable and our electric grid is already in place that allows it to be delivered to our homes and businesses. Most of the green electricity will be generated by wind turbines while a smaller percentage will be from solar systems in Maryland or neighboring states. p. 3
4 OK, so how long is this deal and what if brown power gets cheaper? The electricity market - like all markets - is always changing. We can lock-in the 100%-green-at-or-below-existing-rates offer for up to one year and thus this involves a one-year commitment by Members. Several weeks before the contract concludes, SECO-MD will seek to secure a similar or better deal for the Member. These options will be presented and Members can decide if they want to stay 100% green or if at that point it s more economic to go back to brown power (oil, coal or other dirty energy). While SECO-MD believes green power is better than brown power, it has no economic interest in pushing a Member in one direction or another. SECO-MD is only focused on what works best for a given Member s needs. But how exactly will green energy be at the same cost as brown power? Isn t green energy more expensive? Historically, green power has been more expensive but you might be surprised to learn that wind and solar are now neck-and-neck with other forms of generation. However, there are some costs of tracking the green power that needs to be overcome. SECO-MD has used the volume of it s members to squeeze out some of the middle-men and transaction fees that are typically embedded in the price you pay. By reducing these, we ve off-set the cost premium associated with tracking the green energy. p. 4 maryland@us-seco.io
5 So how exactly does SECO-MD get paid? SECO-MD always gets paid the same way no matter what service we re offering. We leverage the volume of our members to drive down the cost of an energy service. By creating these savings, we make room to pass through savings to Members, for SECO-MD to take the fees required to do our work and to also distribute a small portion of annual profits to our members via dividends. I m interested in other energy savings solutions as well. Can SECO-MD help with those? Absolutely. SECO-MD is designed to be a one-stop shop for our Member s energy needs. Sourcing cheaper and green electricity is a great first step but energy savings solutions like LED lighting, more efficient heating and cooling and solar can have an even bigger impact on your bottomline and sustainability. Check-out our website for a summary of all the energy services we offer. p. 5
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