Electricity demands are constantly increasing from one year to another, and the prices of energy offered by large suppliers are also increasing simultaneously. For these reasons, more and more people have started to look for more convenient solutions to help them reduce their monthly energy bill costs.
Recently, renewable energy communities have appeared in Europe, an ingenious system that has the potential to redefine the energy market, as well as the way it is consumed.
What is a renewable energy community?
A renewable energy community (REC) is a group of prosumers and consumers, either individuals or local organizations, who collaborate to produce, store, share and consume the energy generated together.
This type of association uses renewable energy sources, such as photovoltaic panels or wind turbines. The main objective of the community is not to obtain profit, but to contribute to the economic and social development of the community.
The members of these communities actively participate in all management, planning, financing and maintenance processes. Thus, operating costs are considerably reduced, and due to the much higher production compared to the individual one, the price per kW drops significantly.
This not only increases individual and collective well-being, but also reduces dependence on traditional energy suppliers and reduces the overload of national networks.
What are the benefits of a renewable energy community?
- Energy cost reduction – By producing energy locally, as well as using renewable sources, communities manage to significantly reduce production costs. In Spain, there is such an association that has managed to achieve savings of up to 62% of the annual energy bill. This is possible because there are no transport taxes or very high prices per kW, as is traditionally the case.
- A positive impact on the environment – As the energy is produced locally and 100% from renewable sources, these communities can have a net positive contribution to the environment.
- Social cohesion – By actively participating in the development and operation of such an energy project, social bonds are strengthened, and collaboration and solidarity between community members can become stronger.
- Job creation – Managing and maintaining these systems can bring more job opportunities to the local association.
- Energy security – Decentralized energy can be one of the best ways for community members to protect themselves from potential problems that may arise in a traditional way, out of which some examples are the following:
Low voltage;
Power outages;
High price fluctuations;
Scheduled maintenance outages.
The transition to a 100% green world is difficult, but a renewable energy community can represent one of the easiest and most effective ways to accelerate this difficult process.
Given the strong support from governments and consumers, it is no wonder that this system will become, in the coming years, the standard way for people to enjoy renewable energy at a much lower price, while contributing to a much more positive environmental impact.