The basic mix of electricity you use every day creates a byproduct called carbon dioxide (CO2), which is emitted into the earth's atmosphere. This greenhouse gas is one of the leading causes of climate change. Our Green Energy program allows you to support existing and help develop new renewable energy sources that don't emit additional CO2. For every megawatt hour of electricity these clean, "green" energy sources produce, they also produce a megawatt hour of environmental benefit, which is sold as a Renewable Energy Certificate, or REC. These RECs are sold separately to subsidize the higher cost of producing renewable energy.

And it is helping! More than 4,800 megawatts of new renewable energy (enough for about 6 million homes) has been produced in the U.S. from participation in green energy programs like ours. Therefore, your purchases of Green Energy do help to make a difference. Your payments currently are used to purchase RECs from renewable energy sources in Kentucky and adjacent states serving the Kentucky electric grid. So, once you have decided you want to contribute, your next step is to determine "how much."

Residential and small business customers can participate for as little as $5 per month, or in larger increments of $5 blocks.

Each $5 block supports approximately 1750 kilowatt hours of renewable energy produced within the past 18 months from a renewable energy source in Kentucky or an adjacent state.

Large commercial and industrial customers can participate in monthly increments of $13. Each $13 block supports approximately 5,800 kilowatt hours (5.8 megawatt hours) of Green Energy from the same renewable energy sources.

Each $5 block of Green Energy purchases approximately 1750 kilowatt hours of Renewable Energy Certificates (RECs), so you may want to support the program at a level that matches your own energy use. For example, the average LG&E or KU home uses roughly 1000 kilowatt hours of energy each month. Therefore, $5 to $10 per month would match the typical average residential monthly usage. You may prefer to use the Green Energy Calculator to help you decide on your actual level of support.

Yes. Green Energy payments are in addition to the total amount you pay for the energy you use each month. Therefore, if you currently experience difficulty paying your regular bill charges, participation in our Green Energy program may not be an option you want to consider.

Residential (RS) and small business (GS) customers may participate in the Green Energy program in increments of $5 "blocks." Each $5 block allows LG&E and KU to purchase approximately 1750 kilowatt hours of Renewable Energy Certificates (RECs) from renewable energy sources in Kentucky and adjacent states.

All Green Energy purchases are voluntary and in addition to the regular bill amount. When you enroll, there will be a new "Green Energy" line item added to your bill, and this amount will be included in your "total amount due" each month.

Large commercial and industrial customers (rates LP, LCI-TOD, MP, LMP-TOD, or LI-TOD), may participate in the Large Green Energy program in increments of $13 blocks, with each block purchasing approximately 5,800 kilowatt hours of Renewable Energy Certificates (RECs) from regional renewable energy resources.

Small Green Energy customers can discontinue their Green Energy contributions any time by contacting customer service (LG&E, KU) or by clicking the enrollment link (LG&E, KU). However, 'stopping and starting' is discouraged. If you choose to discontinue your Green Energy contributions, you will be required to wait at least 12 months before enrolling again.

Green power is electricity that is generated by a renewable energy source, such as certified low impact hydro power, landfill gas, wind, biomass and solar power.

The LG&E and KU Green Energy program currently supports green power sources in Kentucky and in adjacent states.

No. The LG&E and KU Green Energy program purchases Renewable Energy Certificates (RECs) from other renewable energy sources in Kentucky and adjacent states. We have determined that our best immediate contribution to renewable energy is to support the newest renewable energy projects of other companies while we continue to evaluate our own opportunities to build new renewable energy plants.

LG&E and KU currently have two hydroelectric power sources that provide renewable energy to all customers, but these sources are already funded through existing rates and are not certified as low impact, which is a requirement of the program's Green-e Energy^® certfication.

We recently invested $75 million to increase our existing hydroelectric energy production by 100 megawatts — enough energy to power 50,000 homes. Since this enhancement involved an existing power source, the extra renewable energy is not funded from the Green Energy program that contributes only to "new" renewable energy.

To contact Green-e Energy, call 1-888-63-GREEN or visit www.green-e.org.

Yes. Voluntary renewable energy programs like ours help expand the renewable energy economy and also create environmental benefits. All new renewable energy displaces the need for traditional energy, such as that which is generated using fossil fuels like coal and natural gas that would otherwise be emitting more greenhouse gas into the atmosphere and contributing to climate change. Green Energy programs contribute to the further development of these new renewable energy generators that offset the need for fossil fuel-based generators.

In fact, more than 4,800 megawatts of new renewable energy (enough for about 6 million homes) has been produced in the U.S. from participation in green energy programs like the one offered by LG&E and KU.

Because renewable energy costs more to produce than traditional coal-based or natural gas-based electricity, voluntary payments from customers are necessary to make up the difference. With extra funds, energy developers can build more renewable energy plants.

LG&E and KU use Green Energy dollars to purchase Renewable Energy Certificates (RECs) that come from renewable energy sources in and around Kentucky. A small portion of our customers' contributions are used to grow the program through promotional efforts that increase enrollments and help to further the demand for more renewable energy.

A Renewable Energy Certificate (REC) is issued for every megawatt-hour of electricity that is generated by a new renewable energy source. RECs represent the environmental benefits (such as the absence of greenhouse gases) associated with the renewable electricity produced. By buying RECs on behalf of our customers, we are directly supporting the operation of those renewable energy sources and the development of new renewable energy generators.

The purchase of Renewable Energy Certificates (RECs) helps develop renewable energy because RECs can only come from new renewable energy sources. Each REC comes from a megawatt-hour of renewable energy that was actually produced (and sent onto the grid) within 21 months from the time of the purchase.

Green-e Energy Certification is the highest standard of certification for green energy programs. Green-e Energy Certification ensures that Renewable Energy Certificates (RECs) come from renewable energy above what is required for legislative mandates and that the green energy sources were built on or after January 1, 1998. Our Green Energy program has achieved Green-e Energy certification. So our customers' dollars are being effectively used for the development of new renewable energy in and around Kentucky, in addition to supporting existing renewable energy plants.

To contact Green-e Energy, call 1-888-63-GREEN or visit www.green-e.org.

Yes. Green-e Energy^® certification requires that the underlying renewable energy for our program is delivered onto regional transmission grids that are used by LG&E and KU.

To contact Green-e Energy, call 1-888-63-GREEN or visit www.green-e.org.

Commercial and industrial customers can buy blocks of Green Energy in $13 increments, which would allow the company to purchase 5,800 kWh of Renewable Energy Certificates (RECs) from renewable energy sources.

LG&E and KU have always been industry leaders in environmental improvements. However, in the past year we have stepped up our efforts. We acknowledge that there is credible evidence that suggests that greenhouse gases resulting from human activities are influencing changes in the earth's climate. Kentucky is a coal state, and our affordable electricity rates are based on the fact that we burn coal to produce electricity to meet our customers' needs. So, through clean coal research partnerships, we are looking for ways to continue to utilize an affordable fuel in a more environmentally-friendly manner.

University of Kentucky
Our other major research partnership is with the University of Kentucky's Center for Applied Energy. LG&E and KU have committed $1.5 million, over three years, to UK to study new economically viable technologies to reduce greenhouse gas emissions from coal-fired generation plants. Researchers are examining technologies to separate, capture and store carbon dioxide emitted by coal-fired power plants. This partnership will allow LG&E and KU an opportunity to maintain their competitive rates, support Kentucky's coal industry, and explore ways to reduce greenhouse gas emissions.

We encourage you to join our efforts because this issue cannot be solved by any one group or individual. We all must take action to reverse the effects of greenhouse gases on our earth's atmosphere.

Many of the ways to save money on your energy bill happen to be the same efforts that help the environment because the cleanest and least expensive energy is the energy we don't use.

Some things to consider include:

Using Compact Fluorescent Lighting
By replacing five of the most frequently used fixtures (or the incandescent light bulbs in them) in your home with high efficiency lighting, an average LG&E and KU residential customer can prevent 1,900 pounds of greenhouse gases from being emitted and save almost $30 per year in energy costs.

Running the Dishwasher Only When Full
By running the dishwasher only when it's full, an average LG&E and KU residential customer can prevent 1,300 pounds of greenhouse gases from being emitted and can save approximately $40 per year.

Adjusting Your Thermostat or Installing a Programmable Thermostat
Adjusting the thermostat accordingly or programming a programmable thermostat to automatically make the necessary adjustments truly can make a difference. By moving the thermostat down two degrees in winter and up two degrees in the summer, an average LG&E and KU residential customer can prevent approximately 3,200 pounds of carbon dioxide from being emitted and save approximately $98 per year.

Changing the Air Conditioner's Filter
By replacing or cleaning a dirty air conditioner filter as recommended, an average residential LG&E and KU customer can prevent approximately 4,900 pounds of carbon dioxide from being emitted and save approximately $150 per year.

Installing a Low-Flow Showerhead
Using less water in the shower means less energy to heat the water. By using a low-flow showerhead, an average LG&E and KU residential customer can prevent approximately 4,900 pounds of carbon dioxide from being emitted and save approximately $150.

Planting a Tree
Trees absorb carbon dioxide and make clean air for us to breathe. Planting a tree can consume 2,000 to 6,000 pounds of carbon dioxide over the life of the average tree.

Weatherizing Your Home
An average residential LG&E and KU customer — who heats with electricity — can prevent approximately 8,900 pounds of carbon dioxide from being emitted and save approximately $274 per year by caulking and weather-stripping their doorways and windows.