How Renewable Is Your Electricity Tariff? Greenwashing Risks 2026

David Hansen
How Renewable Is Your Electricity Tariff? Greenwashing Risks
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How renewable is your electricity tariff? Many UK consumers believe they're doing the right thing by choosing a '100% renewable' plan, but often they're not. This greenwashing risk stems from an accounting loophole that lets suppliers sell renewable certificates separately from actual power. In this guide, we break down the issue and help you spot truly green energy.

What Is Greenwashing in the Energy Industry?

Greenwashing occurs when companies exaggerate their environmental efforts. In energy, it happens when suppliers label tariffs as '100% renewable' without matching every unit of electricity with renewable generation. Instead, they rely on Renewable Energy Guarantees of Origin (Regos) certificates, which can be bought and sold independently of the electricity they represent.


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Fran Woodward, managing director at Good Energy, calls this system misleading. “Consumers believe they’re making a difference, often they’re not,” she says. The result is a lack of transparency that makes it hard for customers to know their true carbon impact.

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How Regos Work and Why They Can Mislead

Regos are certificates proving that a unit of electricity was generated from renewable sources like wind, solar, or hydro. However, suppliers can purchase these certificates when they are cheapest—e.g., solar in summer, wind in winter—and use them to offset power that may come from fossil fuels. This accounting practice allows suppliers to claim 100% renewable status without actually buying renewable electricity.

Comparison: Genuine Green Tariffs vs. Greenwashed Tariffs

Feature Genuine Green Tariff Greenwashed Tariff
Electricity sourcing Directly purchases renewable power Uses bundled Regos
Transparency Clear breakdown of generation sources Vague or hidden details
Environmental impact Reduces reliance on fossil fuels May have little real impact
Price Often slightly higher Often cheaper

Key Takeaways for Consumers

  • Check if your supplier buys renewable electricity directly or just uses Regos.
  • Look for tariffs that match your consumption with renewable generation in real-time.
  • Ask your supplier for a breakdown of their energy mix and certificate sourcing.
  • Consider switching to suppliers like Good Energy that prioritize genuine renewables.

How to Choose a Truly Renewable Tariff

First, review your supplier's fuel mix disclosure. Genuine green tariffs will show a high percentage of wind, solar, and hydro. Second, look for independent certifications like the Green Energy Certification Scheme or the Uswitch Green Tariff label. These indicate that the supplier meets strict criteria for renewable sourcing and carbon offsetting.


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Additionally, check whether the tariff includes a commitment to building new renewable capacity. Some suppliers invest in new wind or solar farms, which is a stronger signal of genuine commitment than simply buying certificates.

FAQ

What is a renewable energy guarantee of origin (Rego)?

A Rego is a certificate that proves one megawatt-hour of electricity was generated from renewable sources. However, it can be sold separately from the electricity, enabling greenwashing.

How can I tell if my tariff is genuinely green?

Ask your supplier for their fuel mix and whether they purchase renewable electricity directly. Look for certifications like the Green Energy Certification Scheme, and check if they invest in new renewable projects.

Are all 100% renewable tariffs greenwashing?

No, some suppliers genuinely source renewable power. However, many use Regos to claim 100% renewable status without actually matching consumption with renewable generation, which is misleading.

What is the best way to reduce my carbon footprint from energy?

Choose a tariff that directly supports renewable generation, reduce your overall consumption, and consider installing solar panels or a heat pump to generate your own clean energy.

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David Hansen

Author

David Hansen

An engineer, author and high-tech enthusiast whose passion has been evolving for 12 years. After contributing to numerous online publications, David shares his experiences and discoveries on Grand Goldman. He focuses on Smart Homes, Connected Devices, and how they will improve our lives and society in the future.


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