# What is a corporate PPA?

A corporate PPA is a long-term agreement in which a business buys renewable electricity directly at an agreed price — either from generation on its own site or from an off-site project. It gives price certainty and clear green credentials. For most SMEs, an on-site solar PPA is the accessible form of a corporate PPA.

## How a corporate PPA works

Instead of buying all your electricity from a supplier at variable rates, you agree a fixed or predictable price for renewable power over a long term. That shields part of your energy cost from market swings and demonstrates a genuine commitment to lower-carbon energy.

## On-site vs off-site for corporates

Large corporates sometimes sign off-site PPAs for whole portfolios. But an on-site solar PPA — generation on your own roof or land — delivers the same core benefits (price certainty, lower bills, carbon reduction) in a far simpler package that suits businesses of most sizes.

## Is it only for large firms?

No. The term "corporate PPA" is used broadly, and the on-site model makes it practical for small and medium businesses, not just multinationals. If you have a suitable site and steady daytime demand, it can work for you.

## Frequently asked questions

**Do I need to be a big company to sign a PPA?**

No. On-site solar PPAs work well for small and medium businesses with a suitable roof or land and daytime energy use. We assess your site and tell you honestly whether it stacks up.

**Does a corporate PPA change my electricity supplier?**

An on-site PPA does not replace your supplier — you keep your grid connection and simply add on-site generation you buy through the PPA, reducing what you draw from the grid.

## Sources & further reading

- [Ofgem — energy regulator](https://www.ofgem.gov.uk)
- [Solar Energy UK — industry trade association](https://solarenergyuk.org)

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Source: [What is a corporate PPA?](https://ppafunding.com/guides/what-is-a-corporate-ppa) · Author: PPA Funding team · Updated: 2026-07-30

PPA Funding is an independent introducer operated by DVC Group Ltd (Companies House 10462808), Shrewsbury — not the funder, the installer or the maintenance provider. The service is free to use; a commission may be earned from a partner at no extra cost. Content is educational and is not financial or tax advice.