Sustainable & Clean Power Procurement5 / 12
Power Purchase Agreements (PPAs)
Direct purchase of renewable power (long-term, fixed price); off-site wind/solar.
10 min read · Jacob Willis, Net Zero Lead · Last reviewed July 2026
The power purchase agreement is the principal way organisations buy renewable electricity at scale - a long-term contract that secures clean power, often at a stable price, while supporting new renewable generation. PPAs are central to corporate clean-energy procurement.
In this lesson
- 01What a PPA is
- 02Why organisations use PPAs
- 03Physical and virtual PPAs
- 04Sleeved PPAs and suppliers
- 05Additionality and credibility
- 06Challenges and considerations
- 07PPAs in the clean-energy strategy
- 08Sources and further reading