Insights
5
min read
GreenPower & PPAs Explained: The Easiest Way for Aussie Businesses To Go Green and Save Money
Michael Koopman

Co-founder and CEO

For years, Australian businesses wanting to “go green” had two options:

  1. Install rooftop solar (if your roof allows it).
  2. Buy green energy (without really knowing what you were paying for).

But the energy market has changed. Renewables now supply almost half the grid, large-scale wind and solar projects are multiplying, and customers, investors and procurement teams now expect businesses to demonstrate real decarbonisation, not just “greenwashing.”

The good news? Two tools now make it easier than ever for Aussie businesses to go green and save money:

  • GreenPower
  • Power Purchase Agreements (PPAs)

Let’s break down what they are, how they work, and the smartest way for businesses to use them in 2025 to 26.

Why GreenPower & PPAs Matter Right Now

Australian businesses are facing three converging pressures:

  1. Rising expectations for sustainability
    Customers and B2B buyers are now demanding emissions reductions backed by accredited programs, not just marketing claims.

  2. Volatile energy prices
    Shocks caused by coal outages, extreme weather and network constraints are flowing into retail pricing. Renewables can hedge that volatility.

  3. Cheaper renewable generation
    The cost to generate solar and wind is now lower than fossil energy, which means renewables can be a financial hedge as well as an ESG win.

If you play it right, going green isn’t a cost.
It’s a competitive advantage and a financial risk reduction strategy.

What is GreenPower?

GreenPower is Australia’s government-backed program that lets businesses purchase verified renewable energy, not offsets, not certificates from overseas, but real, audited renewable generation from accredited Aussie sources.


When you buy GreenPower:

  • The generator produces 1 MWh of renewable energy.
  • A matching 1 MWh GreenPower certificate is created.
  • You (the business) claim the environmental benefit.
  • No other organisation can claim that MWh, it cannot be double-counted.

Who it’s perfect for:

  • Small to medium businesses wanting a simple, low commitment way to go green.
  • Multi-site businesses that don’t have solar or a standardised load.
  • Companies with ESG reporting requirements but no internal energy experts.
  • Businesses wanting credible claims without renegotiating their entire contract.

Key advantages of GreenPower:

  • Instant credibility: backed by Australian governments and strict auditing.
  • Flexible: choose what % of your load you want covered (10–100%).
  • Easy implementation: added to your existing bill or negotiated via termina.io.
  • No long-term risk: perfect for businesses not ready for a PPA.

The bottom line

GreenPower is the easiest entry point for going green.
It costs more than standard energy, but not by much and delivers strong ESG value with minimal effort or risk.

What Is a Power Purchase Agreement (PPA)?

A PPA is a direct agreement to buy renewable energy from a generator (like a wind or solar farm) at a negotiated fixed or structured price.

PPAs can be:

  • Physical PPAs: energy physically delivered to your retailer.
  • Virtual PPAs (VPPAs): a financial contract-for-difference; you don’t receive the electrons but hedge your price and receive renewable certificates.

Either way, you’re:

  • Locking in a portion of your load
  • At long-term fixed or semi-fixed pricing
  • From a specific renewable project


Who PPAs are perfect for: 

  • Medium and large energy users
  • Multi-site operations wanting consistent sustainability claims
  • Businesses seeking long-term price stability
  • Companies with 2030 to 2050 emission reduction targets

Why PPAs are becoming so popular:

  1. They stabilise long term costs
    Renewables have low operating costs, meaning PPA prices can be significantly more stable than wholesale markets.

  2. They support new renewable projects
    Your agreement often directly enables new wind or solar farms to be built.

  3. They give you real ESG credibility
    Unlike generic “green tariffs,” PPAs create traceable renewable supply tied to your business.

  4. They can be cheaper than standard contracts
    When structured well, PPAs are often cost-neutral or cost-saving over the contract term.

The smartest strategy for 2025–26?

For many businesses, it’s both:

  • Start with GreenPower to immediately decarbonise.
  • Use that time to model and negotiate a PPA for long term savings.

This phased approach is becoming the default pathway for companies serious about sustainability and financial performance.

How termina Makes GreenPower & PPAs Simple

Renewables can be confusing, different certificate types, contract structures, hedging arrangements, risk allocations and retail integrations. Termina makes the process simple, transparent and data-driven.

We analyse your usage and risk profile

Across all sites, meters and tariffs automatically.

2. We model your best-fit renewable pathway

Side-by-side comparisons of:

  • GreenPower
  • Short-term PPAs
  • Long-term PPAs
  • Hybrid models
  • On-site solar + PPAs
  • Retailer green products

3. We negotiate with retailers and generators on your behalf

Because we aggregate thousands of sites, businesses get far sharper pricing than going solo. Most businesses can't access a true PPA on their own.

4. We benchmark your offer against the market

Using live data from thousands of businesses to ensure you’re not overpaying.

5. We monitor and verify your renewable claims

Clear reporting for:

  • ESG teams
  • Procurement
  • Investors
  • Directors
  • Annual sustainability reports

Why Going Green Now Saves Money Later

Going green isn’t just about ESG. It’s a risk management strategy.

Renewables:

  • Reduce exposure to coal outages
  • Reduce exposure to global gas markets
  • Reduce exposure to wholesale price spikes
  • Offer long term price stability
  • Increase resilience as the grid transitions
  • Improve brand trust and procurement attractiveness
  • Future-proof your business against compliance changes

By 2030, renewable sourcing won’t be a “nice to have.”
It will be the minimum standard for doing business.

Final Word: The Easiest Way to Go Green Is Through Your Energy Contract

You don’t need to install solar.
You don’t need to build a wind farm.
You don’t need to overhaul your operations.

You simply need to choose the right renewable pathway and lock in pricing that protects your business from market volatility.

  • GreenPower = instant decarbonisation, minimal risk
  • PPAs = long-term stability and meaningful sustainability impact

If you want to understand which pathway best fits your business, termina.io can model it all for you clearly, simply and with no guesswork.

Discover How Termina Can Help.

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