Customer PPA

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The advantages of the Direct PPA to Customers and Generators are:

 

• the generator can often obtain a higher fixed price for its power than has traditionally been available – this can have a positive impact on “worst case” revenue modelling

 

• the supplier takes the supply risk - the customer’s lights will not go out if the generator suffers an outage

 

• generators and customers have a significantly wider market available to them for the sale and purchase of electricity the customer is able to spread its exposure to pricing fluctuations by agreeing a fixed or floating price mechanism with the generator. This can complement the pricing arrangements under its general electricity supply agreement

 

• the Direct PPA structure enables the customer to demonstrate a commitment to renewable energy and carbon reduction targets by identifying specific products and services that are powered by renewable energy from a specific generating facility