On-site PPA vs Sleeved PPA — commercial solar contracts
Both structures let a business buy solar electricity at a below-grid rate without owning generation assets. On-site PPAs sit behind your meter; sleeved PPAs use a licensed supplier to virtually deliver power from a remote asset. The right choice depends on scale, timeline and whether you have suitable on-site space.
On-site PPA
Solar installed on your roof or land, funder owned, you buy behind-the-meter power.
Single sites with 200 kWp+ of usable roof or land, wanting behind-the-meter savings and simpler contracting.
Sleeved PPA (corporate PPA)
Funder-owned solar farm elsewhere; a supplier 'sleeves' the output to your meter.
Multi-site portfolios, businesses without suitable roof space, or those wanting fixed-price cover for 40%+ of annual consumption.
Side-by-side comparison
| Attribute | On-site PPA | Sleeved PPA (corporate PPA) |
|---|---|---|
| Location of solar asset | Your building or land | Remote solar farm |
| Contract length | 15–25 years | 10–15 years |
| Typical discount to grid | 20–40% | 10–25% |
| Minimum viable size | ~200 kWp | ~2 MWp equivalent |
| Physical delivery | Behind-the-meter | Via a licensed supplier |
| Additionality | Yes (new build) | Often yes (new build farm) |
| Complexity | Low | Higher — needs supplier partner |
| Best for | Warehouses, factories, retailers with roof | Multi-site retailers, tech, offices, portfolios |
Our verdict
Choose on-site PPA when you have suitable roof or land and want behind-the-meter savings on one site. Choose sleeved PPA for multi-site coverage, when on-site space is limited, or when the strategic priority is a fixed long-term tariff across the estate rather than reducing grid draw at one location.
Related reading
FAQ
Can I have both?
Yes — many large UK corporates run on-site PPAs where roof space allows, plus a sleeved PPA to cover residual load across the portfolio.
Do sleeved PPAs help with Scope 2 reporting?
Yes — provided the underlying asset is new-build and the REGO certificates are retired on your behalf, sleeved PPAs count as additional renewable electricity under Scope 2 market-based reporting.
Request your free feasibility review
Share a few details and our team will send a no-obligation review of your site — indicative system size, annual generation, savings and payback. Prefer to explore numbers yourself first? Run the calculator or contact us directly.
- MCS & RECC accredited installer
- Response within one working day
- No cost, no obligation