Our Carbon Neutral Strategy - Flow Power

Our Carbon Neutral Strategy

Forging a new way, Flow Power style

Carbon neutrality achievements

To date, our carbon neutral strategy has seen Flow Power:

  • Offset scopes 1, 2 and 3 emissions for our corporate offices
  • Expand our renewable energy portfolio
  • Develop processes to improve the sustainability of our renewable energy portfolio supply chains.

Utilising renewable energy as a pillar for our carbon strategy

Our corporate carbon neutral strategy focuses on reducing our emissions and surrendering additional renewable energy certificates  to offset our remaining emissions, rather than going down the well-travelled path of purchasing carbon credits to offset our emissions.

Carbon credits are generated by projects (such as reforestation programs) that reduce, remove or capture emissions from the atmosphere. These programs also promote investment in renewable energy projects across the world, however they currently do not support new projects here in Australia.

That’s why we’ve decided against using carbon offsets to manage our footprint. Instead, we focused on how we can utilise renewable energy as a pillar for our carbon strategy.

Why our approach is different

We wanted to address our impact in the way we thought was most consistent with our vision – transitioning the energy market to renewables. We believe that renewable energy is the key lever that will underpin the decarbonisation of Australia, the power system, many industrial processes, the transportation sector, and the world.

We’re also no stranger to doing things a bit differently – we’ve consistently innovated to push forward what renewable retail electricity products look like, including pioneering corporate renewable Power Purchase Agreements in Australia.

The Intergovernmental Panel on Climate Change (IPCC) has warned that deep, rapid and sustained greenhouse gas emission reductions are needed to limit global warming – and we understand the critical role the energy sector can and needs to play in the transition to net zero.

That’s why we’re focused on making the commitments we believe are the most effective.

Note: It’s important to understand that this is our approach to carbon neutrality. We have not sought an external certification of our status. That’s because, at this point in time, the certification schemes do not formally recognise LGCs as an offset for emissions other than scope 2.

While this is a position that may change in the future – and we’re clearly supportive of an expanded consideration of LGCs as carbon offsets – it means we can’t use the normal carbon neutral certification pathways.

Scope 1, 2 & 3 emissions and ‘carbon accounting’

The first step for measuring emissions is determining which sources of emissions fall within the scope of the emission footprint for the business. The second step is to determine the size of the carbon footprint by accounting for the activities a business has undertaken, usually over the course of a calendar or financial year.

It’s important to understand how emissions are measured, managed and reported. There are three “scopes” of emissions that businesses measure:

Scope 1

Refers to all direct emissions resulting from the activity of an organisation or business at a facility level. This includes fuel combustion on site such as gas boilers, company vehicles and “fugitive” emissions such as air conditioning leaks.

Scope 2

Refers to emissions from indirect consumption of energy sources. This primarily relates to emissions that occur during the production of electricity purchased and consumed by the business. To determine the emissions associated with electricity taken from the grid, an average level of emissions is used based on all of the different types of generation exporting electricity into the grid.

Scope 3

Refers to all other indirect emissions that occur in the wider economy that are related to the businesses supply chains. This includes transportation of purchased materials, goods and services, employee commuting, business travel, waste disposal, distribution, investments, and leased assets.

The carbon value of an LGC

To determine the carbon value of an LGC, we used the Climate Active market-based scope 2 accounting methods and extended them to scope 3. In practice, this involves considering the year and state where the LGC was created and equating it to the average grid emissions published by the National Greenhouse Emissions Reporting Scheme.

A consistent approach is taken when organisations use LGCs to reduce their scope 2 emissions.


How we deliver our carbon neutral strategy

Our current corporate office emissions

We set our emissions boundary with PathZero, an expert carbon consultant. Our emissions boundary accounts for:

  • our staff working from home as well as commuting to the office,
  • all of the flights, taxis and rideshare trips our staff take,
  • all office equipment, including computers, printers, projectors and other products, and
  • the carbon footprint of professional services consultants used by Flow Power.

In 2021/22, our total emissions were 954.91 tCO2e. After accounting for the LGCs surrenders to reduce our scope 2 emissions to zero, our net emissions were 766.76 tCO2e. The top three contributing sources of emissions were staff commuting, the footprint of our office buildings, and the professional services used by Flow Power.


Flow Power offices and people

Flow Power’s offices and staff are fully carbon neutral. Our office vehicle is an electric vehicle.

We have voluntarily surrendered additional LGCs that have the carbon equivalence of the emissions associated with the operations of our staff and offices. These LGCs were surrendered in addition to our Large Scale Renewable Energy Target (LRET) obligations, any LGCs used for GreenPower, or any LGCs used by our customers for renewable energy claims.

Surrendered LGCs

To offset our footprint, we have voluntarily surrendered large generation certificates.

Each LGC represents one megawatt hour (MWh) of renewable electricity. LGCs are used to offset scope 2 emissions (indirect emissions, e.g. purchased electricity) giving them an implied carbon abatement value. We’ve taken these carbon values and extended them beyond scope 2 emissions into scope 1 (our direct emissions, or fuel we physically burn) and scope 3 emissions (the emissions of our supply-chain).

Flow Power voluntarily surrendered 197 LGCs to cover the 170 tonnes of CO2 reflected in the scope 2 emissions, and 819 LGCs to cover scope 1 and 3 emissions of 789 tCO2. In total, we voluntarily surrendered 1,016 LGCs to offset our company’s total emissions. All these LGCs were surrendered in addition the LGCs we are required to surrender for our customers as part of the Renewable Energy Target Scheme.

State Office 2021/22 Grid emissions factors (tCO2e/MWh) Net emissions
LGC equivalence  
VIC Hawthorn 0.96 725.5 755.8  
Lilydale 0.96 13.3 13.8  
NSW Sydney 0.79 28 35.4  

Our commitment to reducing the environmental impact of our projects

Flow Power is implementing a supply chain assessment. We will ask our suppliers what steps they’re taking to reduce the emissions associated with the production of project components, and preference those with clear net-zero plans.

How we’re powering the future, with our customers

At Flow Power, we’re committed to creating the renewable energy future, together with our customers.

We work with numerous corporate and industrial customers to help them transition to renewable energy by providing them with education, tools, incentives, and access to renewable energy projects in every National Electricity Market (NEM) region.


  • use incentives and education to encourage customers to adjust their electricity use to align with typically cheaper, more renewable times,
  • offer corporate and industrial customers access to Power Purchase Agreements (PPAs) attached to renewable generators, thereby supporting the introduction of more renewable generation into the grid, and
  • purchase additional Large-scale Generation Certificates (LGCs), in addition to the Large-scale Renewable Energy Targets (LRET) requirements to offset energy consumption with additional renewables added to the grid.

We’re also constantly expanding our renewable energy portfolio of solar, wind and storage assets. This means we’re bringing new projects online across the National Electricity Market (NEM), to deliver more renewable energy into the grid.

Our renewable energy generation portfolio

Importantly, we don’t just retail renewable energy products. We also generate renewable energy, with a current portfolio of wind, solar and storage products that generates over 860GWh per year, the equivalent to the annual electricity usage of over 220,000 Victorian households.

Below are some of our project highlights, or click here to see Flow Power’s 100% clean energy portfolio.

Berri Energy Project

An Australian-first DC coupled solar and battery project in South Australia. Previously overgrown with weeds, the area has been converted into a solar farm that generates 11,500 MWh annually and is now surrounded by flourishing native vegetation.

Learn more

Shoalhaven Community Solar Farm

Supported by people power and community investment, this 8,000 panel solar farm was the first GreenPower Connect project in Australia.

Learn more

Goyder South Wind Farm

Supporting renewable generation by signing a 40 MW 10-year PPA with Neoen’s Goyder South Stage 1 wind farm, a hybrid wind, solar and storage project near Burra, South Australia.

Learn more

Learn more about our Carbon Neutral Strategy

If you’re an existing Flow Power customer, please reach out to your dedicated account manager.

If you’re not a Flow Power customer, contact our friendly team today: 1300 08 06 08