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Generation
Electricity generators produce the electricity. They do this by converting other forms of energy into electricity, the energy can come from fossil fuels such as coal and gas or from renewable sources like hydro, solar or biomass. Neighbourhood Energy purchases a portion of our electricity from green generators who produce the electricity they sell from renewable sources. The generators in Victoria are all now privately owned and compete in a contestable market.
Transmission
Once electricity is produced it is carried over long distances at very high voltages. You might have seen the large pylons alongside the Princes Highway which carry electricity from the Latrobe Valley to Melbourne. The high voltage is used to reduce losses caused by heating in the wires. Once the electricity reaches centres of population it is transformed down to lower voltages making it safer to transport along our streets and into our homes and businesses.
Distribution
Distribution companies look after the poles and wires of the electricity system. Each distributor has a distinct geographic territory and the price they charge is regulated by the Essential Services Commission. Retailers enter into a Use of System Agreement with them so that your quality of supply is maintained no matter who your retailer is. The distribution costs are the single largest component of electricity price. The faults number on your bill will put you straight in touch with your local distributor.
Retailer
The Role of the Retailer is to send you the bill and collect the money on behalf of all the participants in the market.
The retailer then pays the other market participants for the various costs of producing the energy and transporting it to your door.
The only thing that changes when you switch retailers is the name on the bill, and what happens to any profit left over once the other players have been paid.
In the case of most retailers the profits go to shareholders in Australia and other countries around the world.
Neighbourhood Energy is different, our vision is based on investing some of our profits back into local communities, through our Community Partner Program. Our Community Partners are charities, schools, sporting groups, community radio stations and local sporting groups.
GreenPower
Electricity cannot be stored in large quantities so nationally, demand must equal production. Each megawatt of electricity consumed must be matched by a corresponding amount of electricity fed into the grid by a generator. When you buy ‘green energy’ it ensures that the electricity you consume is generated from a renewable source not from coal fired ‘black energy’ generators. In a nutshell, every megawatt of ‘green energy’ consumed means one less megawatt of ‘black energy’ is produced. Without GreenPower, the energy you purchase is replaced with electricity generated from fossil fuels.All renewable energy offered by Neighbourhood Energy is fully accredited by the Victorian Government. This accreditation provides assurance that the renewable energy purchased will not only decrease greenhouse pollution but actively contribute to the development of a renewable energy industry in Australia. Download the GreenPower fact sheet
What is Global Warming
Global warming is an increase over time of the earth's average temperature, the cause of which which we now commonly attribute to the build of greenhouse gasses in the earth's atmosphere. This build-up causes pollution and stops heat from escaping into space. Some scientists are saying that our planet's temperature may rise as much as 4.0 celsuis this century.
Who is responsible for Global Warming?
Many scientist now believe that most of the global warming that took place in the later half of the twentieth century has been caused by people burning fossil fuels such as coal, oil and natural gas and vast land clearing. By changing the way we use energy and doing things like planting trees we can start to reduce the amount of carbon dioxide, methane and nitrous oxide in the atmosphere and have a positive impact on global warming and climate change.
What will be the impact of Global Warming and Climate Change
Many scientists say that greenhouse gas pollution will affect the way we live in a major way. The melting of polar icecaps will cause sea levels to rise, destroying the homes of millions of people. Our weather conditions will become more extreme and we will see an increase in cyclones, hailstorms and droughts.
Useful links
Email Neighbourhood Energy
Australian Conservation Foundation - Earthkids
Essential services commission
GreenPower
Planet Patrol
Sustainability Victoria