How PPA Buyers Can Lead the Shift to Granular Accounting
- Casey Martinez
- Feb 24
- 4 min read
Corporate power purchase agreement (PPA) buyers have long been at the forefront of clean energy procurement, securing renewable energy through long-term contracts and driving investment in new wind and solar projects. However, as expectations evolve beyond annual REC-based clean energy claims, a new standard is emerging: granular accounting.
By matching renewable energy procurement with hourly consumption, corporate leaders can ensure greater transparency, more profound impact, and alignment with 24/7 carbon-free energy (CFE) goals. With Configuration 3, PPA buyers can immediately begin issuing Granular Certificates (GCs) alongside their retired RECs—without modifying their PPA agreements or REC registry accounts.
The result?
More accurate sustainability reporting.
No infrastructure changes or additional risk.
A leadership position in the transition to time-based energy procurement.
PPA buyers are uniquely positioned to lead this shift. Here’s how Configuration 3 works and why early adopters will define the future of corporate energy claims.
Why Time, Location, and Carbon Impact Matter for PPAs
Traditional corporate PPA claims are based on annual energy matching—if a buyer procures enough MWh of renewable energy through their PPA to offset their annual electricity consumption, they claim 100% renewable energy use.
However, this approach overlooks when and where the renewable energy is produced.
The Challenge: Mismatched Supply and Demand
🔸 Time: Wind and solar generation are intermittent—without hourly tracking, a company’s clean energy claim might not match its electricity consumption patterns.
🔸 Location: Electricity markets are regional, and without locational granularity, it isn’t easy to assess the real emissions impact of clean energy procurement.
🔸 Carbon Impact: Not all clean energy is created equal—RECs from a wind farm in an already low-carbon grid may have less emissions impact than solar energy added to a fossil-heavy region.
Why This Matters for Corporate Buyers
🔹 Regulatory and investor scrutiny is increasing—corporations are expected to prove the impact of their clean energy procurement.
🔹 Hourly matching is becoming the new benchmark—initiatives like Google’s 24/7 CFE commitment, the UN’s 24/7 CFE Compact, and EnergyTag are setting a higher standard for carbon-aware procurement.
🔹 New accounting methodologies favor granular tracking—as the GHG Protocol explores updates to Scope 2 emissions reporting, companies will need more precise data to align with evolving best practices.
The solution? Granular Certificates (GCs) allow PPA buyers to easily showcase their leadership in high-impact, 24/7 carbon-free energy procurement.
How Configuration 3 Works: Retiring RECs + Issuing Granular Certificates
Configuration 3 allows PPA buyers to issue hourly Granular Certificates (GCs) when they retire RECs—without requiring any changes to existing REC registries or PPA agreements.
Step-by-Step Process:
1️⃣ PPA Buyer Retires RECs – As usual, the PPA off-taker retires RECs to support their renewable energy claims.
2️⃣ GCs Are Issued Automatically – For each REC retired, a corresponding Granular Certificate (GC) is issued, timestamped to reflect hourly production data.
3️⃣ Seamless Integration with Portfolio Management – GCs are easily integrated into corporate sustainability reporting, enabling hourly tracking and emissions impact analysis.
4️⃣ Enhanced Transparency and Leadership – PPA buyers can now publicly demonstrate when and where their clean energy is produced, strengthening their sustainability narrative.
No changes to REC registries. No modifications to PPAs. No risk—only enhanced visibility and leadership.
Credit: EnergyTag
Early-Mover Advantages: Lead the Shift to More Granular Accounting
PPA buyers who adopt Configuration 3 gain significant competitive advantages by pioneering hourly energy matching before market-wide adoption.
🚀 Enhanced Sustainability Reporting
Align with the most advanced carbon-free energy strategies.
Provide hourly energy matching reports for corporate disclosures and ESG initiatives.
Showcase the emissions impact of renewable procurement in a way annual RECs cannot.
🏆 Position Your Company as a Market Leader
Demonstrate early adoption of best-in-class energy procurement practices.
Differentiate your company from competitors still using annual accounting methods.
Gain recognition in initiatives like Google’s 24/7 CFE Compact and EnergyTag’s standardization efforts.
💡 No Risk, Only Opportunity
No infrastructure changes or modifications to existing PPA contracts.
There is no disruption to the current REC retirement processes.
Add a layer of visibility to highlight the granular attributes of your clean energy investments.
📊 Easily Integrate with Existing Portfolio Management Tools
Configuration 3 is designed for seamless integration with sustainability and energy-tracking software.
Enables automated 24/7 energy matching reports for voluntary corporate disclosures or impact reporting.
Supports avoided emissions calculations for next-gen Scope 2 and Scope 3 emissions accounting.
Pilot Details & How to Participate
Who Should Join the Pilot?
🔹 Corporate buyers with PPA agreements in place.
🔹 Companies interested in tracking hourly clean energy production.
🔹 Organizations looking to enhance sustainability reporting with real-time energy tracking.
What You’ll Get
✅ Access to Granular Certificates (GCs) for time-stamped hourly reporting.
✅ Expert support to integrate GCs into your energy portfolio strategy.
✅ Early-mover positioning in the transition to 24/7 carbon-free energy markets.
Next Steps: Join the Configuration 3 Pilot
📩 Interested in piloting Granular Certificates? Let’s connect!
👉 Contact us to get started today!
🌐 Want to learn more? Read our next post:
📌 Unbundled REC Buyers & Configuration 2: The Next Step Toward Hourly Clean Energy Claims