Unmasking the truth behind "green" tariffs

Greenwashing

Is your green energy tariff really that green? Suppliers are greenwashing energy tariffs through misleading REGO certificates - so we're working to ensure greater transparency around where your energy comes from.

The energy mix

Green Energy Tariffs

“Green” tariffs

REGO certificates can act as a loophole that allow energy suppliers to market a seemingly “green” tariff – often where greenwashing begins – without actually forming relationships directly with renewable energy sources.

National Grid

Energy suppliers have no control over the energy mix in the National Grid, even if they claim they do. Right now, around half of the electricity in the UK is still generated by fossil fuels.

Supply

Regardless of your tariff, your business could be supplied by non-renewables, making many so-called green tariffs a form of greenwashing. 

 

"Green" energy supply

REGO Certificates

Renewable Energy Guarantees of Origin Certificate – what is it?

Energy suppliers use Renewable Energy Guarantees of Origin certificates (REGOs) to calculate their Fuel Mix Disclosure, with the aim of proving the energy they supply is “green”. However, REGOs can only be used once to demonstrate that a unit of electricity is from a particular renewable energy source; they can be bought and sold separately from the actual unit of electricity that came from the renewable generator. This allows suppliers to seemingly turn ‘green’ overnight without taking real steps to decarbonise – misleading customers through greenwashing.

The price suppliers pay for REGOs is based on supply and demand. Unfortunately, the REGO system does nothing to support new, unsubsidised, renewable generation – and nothing to cut carbon emissions.

The money that renewable generators get from REGOs is almost negligible and does nothing to support the creation of new renewable projects, such as building a solar farm. We all already pay to subsidise new renewable generation through levies on consumer bills. 

As of January 2025, the price of a REGO certificate has risen dramatically, from 20p in early 2020 to its current price of approximately £15 per MWh.

This means that REGO sales are enabling renewable investors to negotiate higher domestic and business electricity prices for the renewable power that they generate.

So, you’re paying more money for “green” energy, that isn’t actually coming through your meter – and you’re buying a product that isn’t supporting the UKs journey to net zero. 

The effects of greenwashing

Transparency 

Greenwashing REGO certificates make customers think they’re supporting green energy, but this is actually having a negative impact on our environment, undermining trust and confusing customers. If the UK is less reliant on gas for energy generation, prices become cheaper for everyone. This means your business can make smarter investments, lower long-term costs, and take real environmental accountability. We’re advocating for:

Renaming misleading green energy tariffs

100% renewable tariffs” should be exactly that, 100% renewable energy. Greenwashing energy tariffs mislead customers by using vague claims, but only time and location matched tariffs that deliver renewable electricity directly to customers should be labelled as 100% renewable – such as solar on your own roof or purchasing for a generator local to you.

Stricter regulation for energy suppliers

Suppliers must be held accountable for their net-zero claims, reporting emissions effectively and transparently. Greenwashing energy practices allows suppliers to appear environmentally responsible, without actually supporting additional renewable energy development or reducing their reliance on fossil fuels. 

Ending REGO reliance for subsidised power

Energy suppliers and businesses shouldn’t pay for REGOs tied to already subsidised renewable electricity. Instead, the industry should focus on investing in unsubsidised renewables and ensuring consumers see the benefits of their contributions to subsidies. This would accelerate the UKs renewables roll out, making sure more of our energy mix actually comes from clean sources.

Renaming misleading green energy tariffs

100% renewable tariffs” should be exactly that, 100% renewable energy. Greenwashing energy tariffs mislead customers by using vague claims, but only time and location matched tariffs that deliver renewable electricity directly to customers should be labelled as 100% renewable – such as solar on your own roof or purchasing for a generator local to you.

Stricter regulation for energy suppliers

Suppliers must be held accountable for their net-zero claims, reporting emissions effectively and transparently. Greenwashing energy practices allows suppliers to appear environmentally responsible, without actually supporting additional renewable energy development or reducing their reliance on fossil fuels. 

Ending REGO reliance for subsidised power

Energy suppliers and businesses shouldn’t pay for REGOs tied to already subsidised renewable electricity. Instead, the industry should focus on investing in unsubsidised renewables and ensuring consumers see the benefits of their contributions to subsidies. This would accelerate the UKs renewables roll out, making sure more of our energy mix actually comes from clean sources.

Carbon dashboard

Positive change

Climate change

Every business has a role to play in tackling climate change. At Utilita, we believe that by holding ourselves publicly accountable for our carbon footprint and promoting carbon transparency, we can inspire positive change across the energy sector, and wave goodbye to the use of green tariffs, which are essentially greenwashing tickets. 

Net Zero

Our live carbon dashboard shows the current intensity of energy being consumed by Utilita customers, and sets out the pathway to net zero 2050. Even though we can’t change the grid mix, our dashboard makes sure everyone knows what energy they’re consuming. In true Utilita style, we’re lobbying policy makers for positive change here, too. Watch this space. 

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