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Power Purchase Agreements (PPAs) Services
Navigate the complexities of global renewable energy markets and bring your project to life, regardless of your energy footprint’s location.
Advance your renewable energy commitments with a PPA
Power purchase agreements (PPAs) can be a great option for organizations who want to make significant progress toward achieving their renewable energy targets. 3Degrees’ trusted, proven corporate PPA transaction expertise enables us to provide end-to-end support for sourcing PPAs, including stakeholder education and alignment, procurement strategy, RFP management, PPA negotiations, and post-execution PPA monitoring. We can manage the entire process on your behalf – or assist with tactical steps in the process.
What is a PPA?
A PPA is a contract between a buyer and a seller, typically a corporation and a renewable energy developer, in which the buyer purchases the electricity and energy attribute certificates (EACs) from a specific renewable energy project. PPAs are a good mechanism for companies to make a long-term commitment to procuring renewable energy. They can be structured as a physical PPA, where the energy and EACs are physically delivered to the buyer, or a virtual PPA in which the contract is financially settled and the EACs* are delivered to the buyer.
- No capital investment
- Potential for positive NPV
- May act as a hedge against competitive retail prices
- New projects create clear, positive environmental impact
- Single transaction can make a meaningful contribution for goals
- No changes required to operational power procurement and management
The 3Degrees team has global expertise in all aspects of evaluating and implementing renewable energy transactions. Each client engagement is broken out into three distinct phases.
- Comprehensive electricity usage analysis
- Educational workshops
- Procurement strategy
- PPA business case
- Go/No Go decision on procurement
- Design, issue, and manage RFP
- Proposal evaluation and due diligence
- Shortlisting, interviews, and award
- Go/No Go decision to award and negotiate
- PPA contract negotiations and execution
- PPA responsibilities checklist
- Monitor development milestones
- PPA performance monitoring
- Invoice auditing
- EAC transfers and retirement
