green electricity

Green electricity for business

Many businesses are looking to become more sustainable. Paying for green electricity for business is one aspect of this, and all businesses can do it. But how much more will it cost?

Electricity used in standard contracts is mostly generated by burning fossil fuels (coal and gas) in power stations. This releases carbon dioxide into the atmosphere, which is a major component of climate change. Your electricity could also be generated by nuclear power. Depending on your supplier, there may be a small mix of electricity from renewable sources as well.

In contrast, agreeing a contract to use green electricity for business, means your electricity is sourced from renewables. The money you pay will fund investment in wind, wave and solar power.

How much more will I pay for green electricity for business?

If you asked that question a few years ago, the answer would have been quite a lot more. Perhaps 3-4p per kWh more than standard electricity prices. Today, the difference is down to around 2.5p per kWh, but this depends on your electricity supplier. And how good your tariff is at the moment!

Which energy companies do green electricity for business?

If you have shopped around, you have probably gone to a green energy company you use at home. In fact, most energy companies will offer green electricity for business. They won’t push it as they want to be seen as competitive against other suppliers. But ask them, and you will soon have a selection of green offers to choose from.

At the end of the day, you will be paying more for your electricity to ‘go green’ and be more sustainable. And if you are a large consumer of electricity, 2p or more per kWh could be too much when you weigh up the options. However, there is no upfront cost involved, the additional cost is spread over the term of the contract. Another benefit is that you will no longer see the Climate Change Levy (CCL) on your bill. So a modest reduction there which helps a little.

If you would like guidance on green – or standard – electricity prices, we will be delighted to help.


Perfect Clarity can help businesses save money on their energy and water contracts. Call 020 3372 6517 for more information.