&EFK
  United States    Office of Administration
  Environmental    and Resources
  Protection Agency Management
EPA202-F-99-001
July 1999
www.epa.gov/oaintrnt


 Leading the Way:

 EPA Buys Green Power

    Printed on paper that contains at least 30 percent postconsunner fiber

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      EPA buys

 green

 0 power

    The U.S. Environmental Protection Agency (EPA)
    recently began purchasing 100-percent renew-
    able energy for its Region 9 laboratory located
in Richmond, California. The laboratory requires
approximately 1.8 million kilowatt hours of electricity
annually, enough to power 181 typical households.
Purchasing renewable energy will reduce greenhouse
gas emissions by more than 2.3 million pounds per
year, which is equivalent to reducing the number of
miles driven annually by 2 million. This purchase
further demonstrates that EPA does not just pro-
mote environmentally sound behavior, but  practices
it too.

With technical support from the Department of
Energy's National Renewable Energy Laboratory
(NREL) and contract management support from the
General Services Administration (GSA). EPA began
buying renewable energy in May 1999.

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What is  renewable  power?
Renewable power includes energy generated from  any of the following sources:
Biomass
generates elec-
tricity by burning
waste wood and
other plant mate-
rials. EPA's defini-
tion of biomass
also includes gen-
erating electricity
from gas emitted
as waste decom-
poses in landfills.
Geothermal pro-
duces electricity
using the heat of
the earth's core.
Small hydroelec-
tric projects (30
megawatts or
less) generate
electricity from
running water
without requiring
large dams that
adversely affect
local communities
or wildlife.
                                   Solar power
                                   produces
                                   electricity from
                                   the sun.
Ocean-based
sources of elec-
tricity are
generated from
the constant
motion of waves
or variations
in ocean
temperature.

Wind generates
electricity by pow-
ering windmills.
     Traditionally, electricity is generated in the United States from fossil fuels (e.g., coal, oil, natural gas), large hydro-
     electric dams, or nuclear energy. Each presents unique environmental concerns. The use of renewable energy has
     the potential to significantly reduce pollution while addressing concerns about depleting limited natural resources.
Recent deregulation in the electric industry allows consumers to choose their electricity supplier similar to the way they
choose a long-distance telephone company. EPA's Richmond  laboratory wanted a supplier that could generate electricity in
a manner consistent with the earth's naturally occurring regenerative cycles, which helps minimize both waste and
adverse environmental consequences.

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Sealing  the  deal
     EPA used its traditional contracting process to
     purchase renewable energy for its Region 9
     laboratory. GSA issued a request for propos-
als, which included EPA's green power requirements,
in February 1999, and received several offers for a
3-year base, 3-year option contract. The following
May, GSA awarded the contract to the Sacramento
Municipal Utility District (SMUD), which will provide
EPA with 100-percent renewable electric energy.
SMUD initially plans to supply 40 percent of EPA's
electricity from landfill gas and 60 percent from a
geothermal plant. In fall 1999, SMUD will begin pro-
viding 100 percent of EPA's electricity from a nearby
landfill gas plant.

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Is  it
really g
reen:
      To ensure it is purchasing 100-percent renew-
      able power, EPA required the electricity supplier
      to obtain "Green-e" certification within
45 days of contract award. Obtaining "Green-e"
certification requires the generator to disclose the
sources of its green electricity through an account
ing process run by the Center for Resource
Solutions, The Center created its certification
process to assure customers that they are  purchas-
ing green electricity.

The "Green-e"  program is the nation's first voluntary
certification and verification program for green elec-
tricity. The standards require that at least 50 percent
of the electricity be provided  from renewable energy
sources and that the remaining sources minimize
adverse environmental affects. EPA's contract, how-
ever, requires its electricity to be generated from
100-percent renewable energy sources, so not all
"Green-e" certified  producers would have been eligi-
ble to supply EPA's  electricity needs.

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Living  its  mission
      EPA sees deregulation in the electric industry as an
      opportunity to buy a more environmentally preferable
      product, thereby reducing the environmental impact
of its electricity consumption. Purchasing green power will
reduce carbon emissions and decrease the potential for
global climate change. This purchase is consistent with
Executive Order (EO) 13123, Greening the Government
Through  Efficient Energy Management, which mandates
that federal agencies reduce greenhouse gas emissions
30 percent by 2010 when compared to 1990 emissions
levels. It also is consistent with EO 13101, Greening the
Government Through Waste Prevention, Recycling, and
Federal Acquisition, and recent changes to the Federal
Acquisitions Regulations, which encourage the purchase
of environmentally preferable products.

Currently, the Richmond laboratory's green power pur-
chase results in a 10-percent increase in utility costs.
EPA is negotiating with the building owner to institute a
series of energy-efficient improvements to offset the
added cost. In the coming years, EPA hopes this acquisi-
tion will  make green power more cost competitive
throughout the United States, which will allow the
Agency to  purchase green power for other facilities.

By taking this first step in purchasing 100-percent green
power, GSA and DOE credit EPA with setting a precedent
and encouraging other federal agencies to follow  its
example. "Federal purchases of renewable electricity
can help drive down the cost of renewable technologies
for everyone. By encouraging broader consumer accep-
tance of these products, we hope to reduce air pollution
and greenhouse gas emissions," said Romulo Diaz,
EPA's assistant administrator for Administration and
Resources Management.

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For more  information
     To receive more information on the Agency's green
     power purchase for its Richmond, California labo-
     ratory, contact Phil Wirdzek of EPA's Facilities
Management and Services Division at 202 260-2094 or
, or Chandra Shah of NREL at
303 384-7557 or .

For more information on the Green-e certification and
verification program, visit .

For additional information on environmentally preferable
purchasing, visit .

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