Power purchase agreements (PPAs) and particularly virtual power purchase agreements (VPPAs) have quickly become the primary contracting tools for large-scale renewable energy purchases. Despite the significant growth in corporate PPAs in recent years, however, renewable PPAs remain a very complicated contract structure with little standardization, sourced in a fragmented and often obscure marketplace.
The five approaches laid out in this whitepaper will help renewable energy buyers balance the costs, benefits, and risks associated with the commercial terms in their PPAs.