Knowledge Up, Carbon Down

Welcome to the Knowledge Up, Carbon Down series.
We want you to master the transformation to renewable energy in Australia, leading communities into the
zero-carbon world with ZEN. Click play and learn more about the Energy industry terms.

 

EPISODE 2 – What is a PPA?

Transcript

Hi all! Welcome to our second instalment of Knowledge Up, Carbon Down.

Today we will be talking about a PPA with a grid-scale asset.
A PPA stands for Power Purchase Agreement, and it is a long-term agreement between a buyer and a seller of electricity at a fixed price.

The benefits of the PPA is that it reduces the time to market risk for an organisation and increases the sustainability metrics. The traditional approach of a PPA was for an organisation to contract a PPA directly with the renewable energy asset. This comes with a higher level of risk for the organisation. An example of this is my solar farm here and this is the generation curve. If an organisation is consuming outside of the times when the solar farm is generating, then they are exposed to the volatile Wholesale market.

A different approach is a lower-risk alternative, where a retailer, such as ZEN Energy, takes on that risk for the organisation. We take on the risk and package up the renewable energy contract into a low-risk simple, and finance-friendly offering, meaning that you are getting your renewable energy at times when you needed, at a price that is certain.

So just to recap, a PPA is a Power Purchase Agreement which is a long-term agreement between a buyer and a seller.

Thanks for joining us today, and please give us a thumbs up if you enjoyed the video.

Knowledge Up, Carbon Down

Welcome to the Knowledge Up, Carbon Down series.
We want you to master the transformation to renewable energy in Australia, leading communities into the
zero-carbon world with ZEN. Click play and learn more about the Energy industry terms.

 

EPISODE 2 – What is a PPA?

Transcript

Hi all! Welcome to our second instalment of Knowledge Up, Carbon Down.

Today we will be talking about a PPA with a grid-scale asset.
A PPA stands for Power Purchase Agreement, and it is a long-term agreement between a buyer and a seller of electricity at a fixed price.

The benefits of the PPA is that it reduces the time to market risk for an organisation and increases the sustainability metrics. The traditional approach of a PPA was for an organisation to contract a PPA directly with the renewable energy asset. This comes with a higher level of risk for the organisation. An example of this is my solar farm here and this is the generation curve. If an organisation is consuming outside of the times when the solar farm is generating, then they are exposed to the volatile Wholesale market.

A different approach is a lower-risk alternative, where a retailer, such as ZEN Energy, takes on that risk for the organisation. We take on the risk and package up the renewable energy contract into a low-risk simple, and finance-friendly offering, meaning that you are getting your renewable energy at times when you needed, at a price that is certain.

So just to recap, a PPA is a Power Purchase Agreement which is a long-term agreement between a buyer and a seller.

Thanks for joining us today, and please give us a thumbs up if you enjoyed the video.

A ZEN night before Christmas

T’was the night before Christmas, when all through the office
The ZEN team were busy applying a poultice,
To the worn out feet of ZEN’s tired sales lead,
Who’d had one big year pitching the renewable creed.

ZEN’s customers were nestled, all snug in bed,
Knowing they’d chosen to help the environment instead,
Of sending more coal smoke up into the air.
They were sleeping so soundly, with nary a care!

When outside there came, in a silent descent,
A jolly old fellow with 100 percent
Green electricity powering the red nose of his reindeer ride,
He polished it and primped it with much glowing pride.

ZEN’s customers knew for sure, right away,
It was Santa aboard his brand-new ZEN sleigh.
Delivering a pile of Christmas delight,
To families everywhere all through the night.

“To be part of this 1.5 degree journey,
Means that I no longer need my Christmas attorney,
To cover my arse for all the pollution.
ZEN’s super team delivered the solution!

We’re away on our journey to be 100% green.
It’s the best Christmas present that I’ve ever seen!
I’m so proud to sign up to this collective alchemy,
It makes me want to laugh, dance and shimmy!”

To all of our partners, customers, and friends,
Thanks for joining our journey, you know where it ends:
With Australia as a green Superpower
And ZEN adding renewables each single hour!

And ZEN’s customers heard Santa say,
As he jumped into his snazzy ZENLECTRIC sleigh,
And headed on into the night,

HAPPY CHRISTMAS TO ALL, AND TO ALL A GOOD-NIGHT!

A ZEN night before Christmas

T’was the night before Christmas, when all through the office
The ZEN team were busy applying a poultice,
To the worn out feet of ZEN’s tired sales lead,
Who’d had one big year pitching the renewable creed.

ZEN’s customers were nestled, all snug in bed,
Knowing they’d chosen to help the environment instead,
Of sending more coal smoke up into the air.
They were sleeping so soundly, with nary a care!

When outside there came, in a silent descent,
A jolly old fellow with 100 percent
Green electricity powering the red nose of his reindeer ride,
He polished it and primped it with much glowing pride.

ZEN’s customers knew for sure, right away,
It was Santa aboard his brand-new ZEN sleigh.
Delivering a pile of Christmas delight,
To families everywhere all through the night.

“To be part of this 1.5 degree journey,
Means that I no longer need my Christmas attorney,
To cover my arse for all the pollution.
ZEN’s super team delivered the solution!

We’re away on our journey to be 100% green.
It’s the best Christmas present that I’ve ever seen!
I’m so proud to sign up to this collective alchemy,
It makes me want to laugh, dance and shimmy!”

To all of our partners, customers, and friends,
Thanks for joining our journey, you know where it ends:
With Australia as a green Superpower
And ZEN adding renewables each single hour!

And ZEN’s customers heard Santa say,
As he jumped into his snazzy ZENLECTRIC sleigh,
And headed on into the night,

HAPPY CHRISTMAS TO ALL, AND TO ALL A GOOD-NIGHT!

Image showing the Waubra Wind Farm in Victoria. ZEN Energy's latest offtake agreement

Image Credit: ACCIONA Energía

About ACCIONA Energía

ACCIONA Energía is the largest 100% renewable energy company with no fossil legacy in the world. It has 11.2GW of renewable energy and commercial operations in 20 countries. With 30 years of experience, ACCIONA Energía offers a complete portfolio of tailor-made energy solutions for its corporate and institutional clients to meet their decarbonization goals. ACCIONA Energía is committed to the highest environmental, social and corporate governance (ESG) standards. ACCIONA S.A., a leading global company in the provision of regenerative solutions for a decarbonized economy, is the reference shareholder of ACCIONA Energía. www.acciona-energia.com

Energy Industry expert, Paula Conboy joins ZEN Energy’s Board of Directors.

ZEN Energy welcomes Paula Conboy as an Independent Director.

Paula has over 25 years of experience as regulatory economist, consultant, senior executive, adjudicator, chair, and board member. She is the former Chair of the Australian Energy Regulator and member of Australia’s Energy Security Board working on various policies needed in the transition to net zero. Paula is also a former Commissioner of the Ontario Energy Board and has served as a senior executive of PowerStream, one of the largest municipal owned utilities in Canada.

“We’re thrilled to have Paula joining our team, at a key stage in ZEN Energy’s growth. We believe Paula will bring fresh and diverse insights to the Board through her extensive knowledge, experience, and connections in the Australian and global energy sectors,” said Raymond Spencer, ZEN Energy’s Chair of the Board.

Paula currently serves on the board of directors of PJM Interconnection LLP in the United States and the Energy Market Authority in Singapore. In addition to running her own advisory services business, Paula is Senior Counsel to Sussex Strategy Group Inc., a leading policy and political consultancy, and works with Australian and Canadian clients in various areas of the energy and broadband sectors.

“I truly believe that Australia is well placed to be a global leader in the run to net zero. I am excited to be part of the dedicated team at ZEN Energy whose mission is to make that happen,” said Paula.

A ZEN night before Christmas

T’was the night before Christmas, when all through the office
The ZEN team were busy applying a poultice,
To the worn out feet of ZEN’s tired sales lead,
Who’d had one big year pitching the renewable creed.

ZEN’s customers were nestled, all snug in bed,
Knowing they’d chosen to help the environment instead,
Of sending more coal smoke up into the air.
They were sleeping so soundly, with nary a care!

When outside there came, in a silent descent,
A jolly old fellow with 100 percent
Green electricity powering the red nose of his reindeer ride,
He polished it and primped it with much glowing pride.

ZEN’s customers knew for sure, right away,
It was Santa aboard his brand-new ZEN sleigh.
Delivering a pile of Christmas delight,
To families everywhere all through the night.

“To be part of this 1.5 degree journey,
Means that I no longer need my Christmas attorney,
To cover my arse for all the pollution.
ZEN’s super team delivered the solution!

We’re away on our journey to be 100% green.
It’s the best Christmas present that I’ve ever seen!
I’m so proud to sign up to this collective alchemy,
It makes me want to laugh, dance and shimmy!”

To all of our partners, customers, and friends,
Thanks for joining our journey, you know where it ends:
With Australia as a green Superpower
And ZEN adding renewables each single hour!

And ZEN’s customers heard Santa say,
As he jumped into his snazzy ZENLECTRIC sleigh,
And headed on into the night,

HAPPY CHRISTMAS TO ALL, AND TO ALL A GOOD-NIGHT!

Image showing the Waubra Wind Farm in Victoria. ZEN Energy's latest offtake agreement

Image Credit: ACCIONA Energía

About ACCIONA Energía

ACCIONA Energía is the largest 100% renewable energy company with no fossil legacy in the world. It has 11.2GW of renewable energy and commercial operations in 20 countries. With 30 years of experience, ACCIONA Energía offers a complete portfolio of tailor-made energy solutions for its corporate and institutional clients to meet their decarbonization goals. ACCIONA Energía is committed to the highest environmental, social and corporate governance (ESG) standards. ACCIONA S.A., a leading global company in the provision of regenerative solutions for a decarbonized economy, is the reference shareholder of ACCIONA Energía. www.acciona-energia.com

Why Renewable Energy?

Why is renewable energy vital for Australia to become a Superpower in the decarbonised economy?

In any discussion about how Australia will achieve its Net Zero targets, renewable energy tops the list of priorities that must be implemented effectively to mitigate the impacts of Climate Change.

Renewable energy, also known as renewables and clean energy, are in simple words “Energy that is obtained from sources that are for all practical purposes inexhaustible (…). Contrast this with energy from sources such as fossil fuels, of which there is a finite supply which is exhaustible. ” – Oxford Dictionary.

Therefore, such sources don’t emit carbon dioxide (CO2) and other greenhouse gases that have proven to be significant contributors to the planet’s rising temperatures.

Carbon Dioxide and its effects on the environment

The critical threat from increased Carbon Dioxide is the greenhouse effect. Greenhouse gases trap heat in the atmosphere that would otherwise escape into space, causing average temperatures on the surface to rise. Global warming is one of the main symptoms of Climate Change.

There are good news out there too!

To date, Australia has committed to reduce green gas house emissions by 43% in 20230 and reach Net Zero by 2050 and to do so, the usage of renewable resources has been scaling up trough clean energy assets such as solar and wind farms, hydropower and storage.

Investments in such assets are critical, not just an environmental necessity, but a pathway to economic resilience. Australia is very fortunate to have wind and sun highly abundant throughout the year, which means that there are enough resources for the country to lead by example.

Our team volunteering at the Forktree Project in 2022. The project founded by Tim Jarvis is restoring tens of thousands of native trees and shrubs on the property, bringing back native animals, insects, and birds, and sequestering tens of thousands of tonnes of carbon.

Understanding renewable energy sources

Wind: By harnessing the power of wind through turbines usually located on hilltops or near the ocean, its motion spins an electric generator which produces energy.

Solar: Solar energy is produced from solar PV (photovoltaic) panels. The combination of heat and light from the sun creates electricity. In addition to Solar Panels (light) and Solar Thermal (heat), concentrating solar power (CSP) plants use mirrors to concentrate the sun’s heat, creating thermal energy.
Combining solar energy generation and  battery storage is a great solution to store your clean, green, renewable energy 24 hours a day. Is excellent for the environment and even better for your pocket.

Hydropower: This renewable energy source generates power by altering the natural flow of a river or body of water. The force of the water turns the turbines and this generates electricity, which is then fed into the electrical grid to power homes and businesses.

The impact on the economy

Australia’s economy will experience job creation, innovative technologies and obviously the benefits of being a decarbonised country that will assist on the transition to developing nations. The transformation to renewables is not only, strategic yet necessary for a bright future.

ENDS.

How to lower your personal carbon footprint?

 

Lowering either our personal or a business’ carbon footprint is a key step in the transformation to net zero, and it aligns with broader efforts to address climate change and promote a decarbonised economy.

But first things first.

What is a carbon footprint?

PERSONAL

Our personal carbon footprint is determined by daily activities, such as commuting, food consumption, the clothes we buy and everything we consume. All of these actions create emissions. Carbon Dioxide (CO2) is the primary greenhouse gas (GAG) emitted through these activities. The amount of GAG emitted correlates to the size of your footprint.

So the math is simple: the more you consume, the higher your footprint will be.

It can be complex to identify what has to be adapted in order to lowering our emissions.

Here is some recommendations of what can positively impact your pursue to a balanced lifestyle:

Clothing

  • Visit upcycled stores and recycle clothing when possible
  • Try swapping, borrowing and renting
  • When buying clothes, look out for responsibly made and sustainably sourced material

Food Consumption

  • Consume local and seasonal products. Support your local market as it will be fresher and it is a fun choice for the weekend
  • Reduce your meat consumption – according to Greenpeace, “the industrial meat system requires a huge amount of land to sustain itself. Forests, particularly in South America, are deliberately slashed and burned every year to graze cattle and grow enough crops to feed billions of farmed animals.”
  • Take reusable shopping bags
  • Trial buying smaller portions to avoid waste

Transportation

  • Cycle, ride share or use public transport
  • Electric Vehicles (EV’s) are increasing in popularity as the government is investing in charging stations, which minimises range anxiety
  • Analyse if flying is the only option or if there is an alternative that is less harmful for the environment. If the first option is necessary, purchase a carbon neutral flight. There is a small fee, but will off-set this mode of transport

Energy and waste

  • Waste of natural resources can be easily fixed and it is a matter of changing behaviour. You would be surprised of how small tweaks actually causes a considerable impact
  • Unplug your electronic equipment, standby uses energy,  and don’t leave your phone on charge when the battery is already full
  • Limit and recycle your waste and compost food waste. Remember that avoiding waste at first place is always the best option
  • Turn off the lights when leaving a room
  • Look into renewable energy options such as solar and battery storage. They not only reduce your carbon impact, yet electricity costs. If you would like to learn more about it and request a quote, our preferred installation partner Mac Trade Services will happily assist you in the process

Digital Footprint

  • Don’t store unnecessary data in the cloud. With the number of data increasing exponentially as the world’s population is constantly connected, consequently the energy consumption rises in the same pace. Actions such as deleting videos and photos that you no longer need it can make a difference
  • Extend the life of your devices as much as possible by just upgrading when necessary and if the upgrade won’t consume more energy than the previous device
  • Unsubscribe from commercial distribution lists or newsletters – we all get to many emails!
  • Clean up your email inbox when possible

Energy-Efficient Appliances

  • It might be time for you to replace Nanna’s old fridge as it can eat up expressive amounts of energy. That includes other devices such as air-conditioner, washing-machine and further appliances
  • When in doubt of which product is appropriate for you in terms of quality, examine the star rating stickers

Curious about how big your environmental footprint is? Take a look at the World Wildlife Fund (WWF) calculator.

BUSINESS

From a company’s perspective, emissions are categorised into three levels, which are called Scope 1, Scope 2 and Scope 3.

Scope 1: Direct Emissions

They are direct greenhouse gas emissions that result from sources that are owned or controlled by the reporting entity.

Examples:

  • Combustion of fossil fuels on-site (e.g., in company-owned vehicles, boilers, or furnaces).
  • Process emissions from chemical reactions occurring on-site.

Scope 1 emissions are considered direct because they originate from sources that are within the organisational boundaries.

Scope 2: Indirect Emissions from Purchased Electricity, Heat, or Steam

These emissions encompass indirect greenhouse gas emissions associated with the generation of electricity, heat, or steam that is purchased and consumed by the reporting entity.

Examples:

  • Emissions from the combustion of coal, natural gas, or other fuels by a power plant that supplies electricity to the organisation.
  • Emissions associated with the transmission and distribution of purchased electricity.

Scope 2 emissions are considered indirect because they result from activities outside the organisational boundaries but are related to the business’ consumption of purchased energy. The organisation has control over its energy procurement choices, but not over the actual emissions at the point of generation.

Scope 3: Other Indirect Emissions

This is he most complex scope as it encompass all other indirect greenhouse gas emissions that occur in the value chain of the reporting entity, including both upstream and downstream activities.

Examples:

  • Upstream emissions from the extraction, production, and transportation of raw materials and fuels.
  • Downstream emissions from the use and disposal of products and services.
  • Business travel, employee commuting, and transportation of goods.

Scope 3 emissions are considered more challenging to quantify and control, as they extend beyond the direct operations and energy procurement of the business.

ZEN is taking the necessary steps to support Australia’s transformation to renewable energy.

The first was to adopt a science-based emissions reduction target aligned with 1.5°C. Now, we focus on communities by helping build a 1.5°C world for everyone. Our ESG Report 2023 contain our Scope 1, 2 and 3 strategies and other actions we are taking that also evolves social responsibility and ethical governance.

In summary, lowering our carbon footprint is a critical step in addressing climate change, protecting ecosystems, promoting human health, and fostering a sustainable and resilient future.