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While it's green to use recycled paper towels instead of regular paper towels, it's even greener to skip the paper altogether. Paper accounts for nearly a third of all landfill contents, and disposable paper towels, napkins, and tissues are part of this. Discarded paper is one of the largest contributors to methane emissions from landfills. Methane is a greenhouse gas that is 20 times more potent than CO2. Also, the manufacturing process for recycled paper uses energy.
By switching to microfiber towels, sponges, and new sponge/towel-like products, you can avoid the waste, the energy usage, and you'll be surprised how much money you save.
To determine what to replace paper towels with, look at your usage. If it's largely glass cleaning, then look for lint-free microfiber cloths (or use old T-shirts!). If it's countertops and tables, there are hybrid sponge products that can be easily thrown in the dishwasher. If it's drying things, then regular dishtowels work. Finally, if it's heavy-duty cleaning, you will want more of a washcloth-style rag.