Energy Conservation Credits Launched
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Sterling Planet, a retail renewable energy provider, announced at the greenT Forum in New York City the launch of a new leading-edge White Tags(TM) energy trading program that encourages and rewards the efficient use of electricity. Sterling Planet is pioneering the U.S. market for energy efficiency credits, otherwise known as White Tags(TM) or EECs, which represent 1 MWh (megawatt hour) of electricity savings.
White Tags(TM) are the latest energy trading certificates to hit the market and trade much like renewable energy credits (RECs) or Green Tags. But unlike RECs, which are tied to creating and delivering renewable power and are measured by meter readings (1 REC also represents 1 MWh), White Tags are determined through precise calculations of energy savings derived from conservation measures. To this end, Sterling Planet has developed state-of-the-art technology with advanced mathematical techniques and neural network algorithms to establish accurate (greater than 99.9%), scalable and cost-effective processes for the measurement, verification and certification of White Tags(TM).
"Sterling Planet is thrilled to once again lead the way in a new energy market whose time has come," says Mel Jones, Sterling Planet's President and Chief Executive Officer. "White Tags(TM) address the nation's growing sense of urgency to increase energy independence and contain rising energy costs. The market for these energy efficiency credits rewards companies and others that have taken real steps to conserve energy, such as installing an energy management system, updating a chiller or just adjusting the thermostat. The White Tags(TM) market also encourages more to follow the example of energy conservation."
Three states have adopted legislation requiring energy efficiency credits as part of a mandated portfolio standard. Connecticut will be the first state to implement such a standard in 2007, with Nevada and Pennsylvania next in line. Energy efficiency credits are currently better recognized in Europe, where the market originated in United Kingdom, France and Italy.
Sterling Planet's White Tag(TM) program already has the commitment and interest of a number of Fortune 500 companies from a range of industries, including pharmaceutical products and office furniture, as well as leading retailers, universities and municipalities.
Sterling Planet will bring together White Tag(TM) buyers and sellers. Buyers include electric utilities in mandated markets with portfolio standards and corporations or institutions in voluntary markets that are looking to meet greenhouse gas emission goals. Sellers include those who have taken concrete, effective measures to reduce their energy use and have contracted with Sterling Planet to measure, monetize and certify the White Tags(TM) that result.
"Now companies or organizations that make a concerted effort to reduce their energy use are also creating an additional revenue stream and multiplying the payback," says Dr. Paul MacGregor, who leads Sterling Planet's new White Tag(TM) initiative as Vice President, Energy Efficiency Technologies. Dr. MacGregor has extensive expertise in energy management systems, generation technologies, energy trading and risk management, mathematical modeling, and information technology. "These energy savers can either sell their White Tags(TM) or bank them to meet greenhouse gas emission goals."