Grünstrom

Grünstrom is a commonly used term in German-speaking energy markets to describe electricity that is generated from renewable energy sources—such as wind, solar, hydro, and biomass—and marketed as environmentally friendlier than conventional fossil-based power. It is not a single product; rather, a range of green electricity offers from different suppliers, with varying generation mixes and guarantees. Consumers and organizations typically choose Grünstrom to align their electricity use with climate or sustainability goals.

To substantiate green claims, many Grünstrom products rely on certification schemes and guarantees of origin. A Guarantee of Origin (GO) is a certificate that attests that a given amount of electricity was produced from renewable sources, and GO certificates can be bought together with the physical electricity or separately. In practice, suppliers may rely on GO certificates, on the actual renewable generation in their grid, or on a combination of both. In Germany and the EU, electricity labeling rules require disclosure of the supplier's energy mix, and GO-based claims are intended to add transparency for consumers.

The concept has limitations. Some Grünstrom products do not necessarily fund additional renewable capacity beyond what would have been built anyway; the environmental benefit depends on the specific additionality and the market mechanisms used. Consumers should compare not only the price but also the underlying guarantees, the percentage of renewables, and the allocation rules of the offer when evaluating Grünstrom.

Overall, Grünstrom denotes green electricity derived from renewables and marketed under various schemes, contributing to the share of renewables in electricity supply while remaining a market-based and voluntary category with varying levels of environmental impact.