One clear drawback of Green Mountain Power's energy and environmental policy is cost. Renewable power costs more to generate than energy from fossil fuels. Part of the reason for this cost difference has to do with infrastructure. Green Mountain Power, like most longstanding energy companies, has the infrastructure already in place to generate power from fossil fuels. Significant infrastructure investment is needed to produce energy from renewable resources, especially to generate enough electricity to meet customer demand. Cost also prevents power companies from making the investment to capture more energy from renewable energy resources. The technology to harness renewable energy is simply more expensive compared to the technology used for fossil fuels. Higher production costs lead to higher energy bills for customers.
Renewable energy resources rely on other factors to produce energy. Solar power depends on the sun. Less energy is produced in cloudy days, which impacts capacity. Wind power depends on the strength of the winds. If the weather pattern changes and the wind stops blowing or weakens in strength; wind produces less power. Resources generating renewable energy are less reliable than fossil fuels when it comes to energy production. Thus, the company's energy and environmental policy must also include a strong conservation component to reduce the demand for electricity to a level that accommodates the lower generating capacity associated with renewable energy. Otherwise, electricity costs rise.
As of 2010, Green Mountain Power gets 44 percent of its electricity from hydropower sources. Hydropower, or hydroelectricity, is generated from the force of moving water. Although it's one of the more reliable renewable energy resources, it also impacts water ecology and creates downstream issues. Water is diverted in the production of power to turn large underwater turbines, but the diversion decays the vegetation in the water over time. As vegetation dies, the ecosystem is unable to naturally cleanse itself and a buildup of methane gas can occur. The methane gas is emitted into the air, adding to the greenhouse gas effects that results in climate change and global warming. Dams, used to harness energy from water flow, can harm rivers and streams by disrupting natural water flow. As water is released from dams, it alters the water temperature and oxygen levels, which can endanger fish and wildlife that depend on the water for survival. Too much dependence on this renewable energy resource without a solid plan to mitigate environmental damage will lead to more environmental problems in the near future.