Corporate Power Purchase Agreements

Corporate PPAs

Corporate PPAs are long term power purchase agreements between a renewable energy producer and a medium to large size industrial offtaker. Whilst this is different to the purchase at a traditional utility, also within corporate PPAs such utilities may play certain roles.

There are various reasons why corporates enter into PPAs, e.g.: 

• Achieving long term price stability and competitiveness
• Proving corporate environmental responsibility towards clients

​Structure of an CPPA depends very much on what client intends to achieve with it and so there is no 'standard contract'. 

ERS Value Proposition

ERS has a deep understanding of all cash flow relevant requirements of the participants along the value chain of renewable energy generation, for example:

• Financial firming up of 'as produced' agreements
• Fixing weather and installation performance dependent cash flows in mandate for developers/sellers as well as for buyers
• Advise for market price based agreements and their pitfalls like negative power prices, German §EEG51 rule etc.