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Green Business Energy Guides - Are Green Tariffs Worth It?

The Green Deal

Businesses looking to take a step towards corporate responsibility to reduce their carbon footprint often look towards green business energy tariffs in the first instance. Opting for a green energy tariff is a much cheaper option in the short term for companies rather than the other main alternative of generating their own renewable energy. 

But does it really make a difference? This guide will explain the benefits of green business energy tariffs and how they are a great catalyst in an organisation’s journey towards more responsible operations. 

What Are Green Energy Tariffs? 

Nearly every business energy supplier offers green tariffs. Business energy tariffs are labelled green if some or all of the units of energy that is purchased are matched by units of energy that have been generated from a renewable energy source. These sources include verified wind farms, solar arrays or hydroelectric power stations. 

Your business will still receive the same gas and electricity through the same pipes if you were on a standard business energy tariff. The money spent on a green energy tariff feeds into producing green energy that is placed into the national supply. 

Who Offers Green Business Energy Tariffs? 

Nearly all business energy suppliers offer green energy tariffs. You can expect competitive deals from the UK’s largest energy suppliers - British Gas, Scottish Power, E.ON, nPower, EDF and SSE

However, the rise of the challenger energy suppliers also offers compelling deals when it comes to green energy tariffs. Octopus Business and Bulb offer renewable business energy tariffs for companies all over the UK. 

To find the most competitive green business energy tariffs, you should compare the latest prices here. 

The challenger business energy suppliers have built a strong reputation for customer service - and have really taken up the old cliche ‘small enough to care, big enough to manage’. Although these challenger energy suppliers are in a period of rapid growth, they have managed to keep their ‘Excellent’ rating on Trustpilot.

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Which Supplier Has The Best Green Business Energy Tariff? 

These rankings will likely change regularly so this is rough guidance to provide a brief overview of some of the business energy tariffs on offer. 

The best way to explore the current green energy tariffs available on the market is to compare the current green energy prices here. 

Octopus Business Energy 

Octopus offers straightforward business energy tariffs that are 100% green. This means that all the electricity they provide comes from renewable sources like sun, wind and water. 

Octopus Energy regularly offers special tariffs for their business customers accommodating a range of business needs. 

Offers green energy tariffs: Yes 

Renewable sources: Solar, wind, hydro and anaerobic digestion 

Carbon offsetting: Yes

Trustpilot review: 4.7/ 5 (Excellent) 

Ideal for: SME Businesses 

Octopus Energy is well known in the domestic market for high-quality customer service and for winning awards. However, this translates over to their business services. Despite the volatility in the energy market, Octopus do offer a range of competitive green energy tariffs for businesses that can be fixed at either 12, 24 or 36 months. 

They also offer the added benefit of being a part of the Octopus Business Sustainability Hub offering exclusive services and discounts. These discounts centre all around becoming more carbon aware with discounts on recycling services, sustainability certifications and sustainable transport options for employees. 

nPower (Business Solutions) 

You may be aware that E.ON has acquired nPower and has transferred all domestic customers to their E.ON Next brand. However, nPower is still operating to serve business customers. 

With years of experience and a name with familiarity, many business owners are attracted to the traditional ‘Big Six’ brand. 

Offers green energy tariffs: Yes 

Renewable sources: Hydroelectricity and wind 

Carbon offsetting: Yes

Trustpilot review: 1.2/ 5 (Bad) 

Ideal for: All businesses 

nPower has received a lot of criticism on Trustpilot. Although they haven’t had any reviews on the business solutions account, the main account has a mixture of business and domestic reviews. nPower specialise in large usage consumption in dealing with complex energy compliance. 

British Gas Business Energy 

British Gas are one of the UK’s leading business energy suppliers. A familiar brand with many years in the industry, many business owners often select British Gas as their default energy supplier. Whilst they offer compelling tariffs and a heritage brand name, it is wise to compare the latest deals across the market to ensure you’re getting a great deal, regardless of the supplier. 

Offers green energy tariffs: Yes 

Renewable sources: Solar, wind and hydro 

Carbon offsetting: Yes

Trustpilot review: 3.1/ 5 (Average) 

Ideal for: All businesses 

British Gas are well known for its renewable business energy tariffs. Certified by the Carbon Trust, they offer a wide selection of renewable energy supply options and will help businesses with their sustainable energy strategy. 

Whilst only achieving an average Trustpilot score, this does include their domestic market and has to be taken with a ‘pinch of salt’. With renewable electricity, British Gas back each MWh with a guarantee of origin certificate, alongside their carbon-neutral gas which is also back by a combination of RGGOs and carbon offset certificates. 

British Gas specialise in larger consumption business energy users over 150,000 kWh of gas or electricity per year. 

The market has a much wider range of suitable business green energy tariffs and the above only reviews a small selection of suppliers. The best way to explore the current green energy tariffs available on the market is to compare the current green energy prices here. 

How Can I Generate Renewable Energy For My Business? 

Of course, opting for a green energy tariff is only the first step in many businesses’ journey to becoming more responsible. Despite requiring some significant investment, some companies choose to go further and start generating their own renewable energy. This has some significant benefits that go further than just reducing the company’s carbon footprint. 

The other most obvious benefit is reducing the overall costs of your business energy bill. This only becomes a worthwhile investment if you’re staying at your current premises for many years. Timelines of when investments save you money depending on how much you spend and which renewable energy source you decide to invest in. 

Solar Panels 

Solar panels are one of the most popular ways businesses start to generate their own renewable energy. They’re straightforward to install and do not require much space as they are installed on roofs or the side of buildings. They capture sunlight and convert it into electricity. 

Solar panels typically cost anywhere from £5,000 up to £15,000 depending on the system. This price is for small to medium-sized systems. 

Geothermal/ Ground Heat Pumps 

Typically fitted to the side of buildings, they use low levels of heat naturally found in the ground to provide both heating and cooling to a building. 

Geothermal technology is quite expensive coming in at around £15,000 on average to install. 

Wind Power 

Whist efficient at producing electricity, they require a lot of space. Wind power uses turbines to generate electricity. They are not a viable option for many businesses. 

Wind turbines vary widely in cost. Small turbines can cost around £12,000 and the large ones you’re used to seeing in fields in the middle of nowhere cost millions. 

Solar Thermal 

Solar thermal energy uses sunlight to heat water stored in a water tank. Solar thermal is another popular choice for many businesses as they do not take up a lot of space. They are typically installed on the roof of a building. 

Solar thermal systems cost around £5,000 on average and are one of the cheapest ways to generate renewable energy.  

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