US group to make power conservation a commodity

NEW YORK (Reuters) – U.S. companies and organizations that conserve electricity by switching to more efficient lighting or by moderating heating and cooling will earn a credit they can trade or bank.

That’s the hope of Sterling Planet, a Georgia-based company that has created “white tags,” or tradable certificates that are similar to “green tags,” or tradable credits for creating and delivering renewable energy, such as solar and wind.

Energy-efficiency credits are also similar to a market being set up by states in the Northeast where utilities would earn tradable credits for reducing greenhouse gas carbon dioxide.

In energy-efficiency markets, such as those that trade in Italy and Great Britain, companies that save electricity under set targets can sell credits to companies that fall short of their target.

Reuters