Green Electricity for Businesses: Does It Cost More?

REGO-backed tariffs, pricing reality and procurement

For the full process, see our guide on how to switch electricity supplier.

What is green business electricity?

Green (renewable) business electricity is electricity that is matched to renewable generation (wind, solar, hydro, etc.) via REGOs (Renewable Energy Guarantees of Origin). When you buy a green tariff, your supplier ensures that the same amount of electricity you use is accounted for by REGO-backed renewable generation.

Does green electricity cost more?

Not always. Many green business tariffs are priced in line with or only slightly above standard tariffs. The cost of renewable generation has fallen, and competition means green deals are often competitive. Comparing green and non-green deals side by side shows the real difference for your usage.

REGO and procurement

REGOs are certificates issued for each MWh of renewable electricity generated. Suppliers buy REGOs to match the consumption of customers on green tariffs. So your consumption is "matched" to renewable output even though the physical electrons in the grid are mixed. For reporting (e.g. carbon footprint, ESG), this is the standard way to claim renewable electricity use.

Next step: Compare electricity suppliers and see green tariffs.

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