Corporate Power Purchase Agreements
Comprehensive training about PPAs from a legal and project finance perspective
Renewable Energy Power Purchase Agreements
The global power markets are rapidly evolving and transitioning towards ever-increasing quantities of clean energy – power purchase agreements allow both IPP power producers and buyers to obtain long-term security to sell and buy renewable energy. For both generators and buyers of renewable energy, power purchase agreements need to address their individual circumstances and risks.
This highly specific course aims to introduce the legal, financial and technical structure and hidden pitfalls of Power Purchase Agreements (PPAs) as a means for Sellers and Buyers to minimise their exposure to the volatility of price and volume. The structure of physical and financial PPAs will be thoroughly dissected and put into the context of the overall risk assessment of the project transaction. We will compare both types of PPAs, their different tariff structure based on either costs or market price, and the implication for the seller and buyer.
Delegates will be engaged to discuss recent case studies from around the world, embark on group exercises of risk allocation and revise real world PPAs clauses to dig out the gist of this mission critical project agreement.
Training objectives:
- Leave the course with a comprehensive understanding of the components of PPAs
- Put PPAs in the context of the broader contractual framework
- Learn the best practice when working with PPAs
- A step-by-step guide to the basic types and key features of corporate PPAs
- Analysis of case studies and best practice
- Put everything you learn into practice the very next day
- Discover what it takes to make a power purchase agreement “bankable” – i.e., what provisions must a PPA have for lenders to provide debt to the project?
Who should attend
- C-level executives and business owners
- Corporate procurement and contract managers
- Project developers and sponsors
- OEM manufacturers, EPC contractors, and O&M service providers
- IPPs, utilities, and grid operators
- Private equity & institutional investors
- Development finance institutions and commercial lenders
- Legal, technical and insurance advisors
- Government officials and regulators
- Oil & Gas upstream companies
- Petrochemical and process industry companies
- Business developers and sales managers
How it works?
21-23 February 2023
The online training will take place over 3 days and it will be lasting 3 hours.
Recording
The session will be recorded and sent out to all registered delegates.
Notification
Once you’ve registered for the training, we will email you with all information and login credentials.
Training Agenda
Session 1, 3h
The corporate PPA in context
- The scale of the corporate PPA market compared to the general market size
- Who is buying, who is selling what?
- Drivers of corporate PPAs
- Wholesale prices and Interconnection capacity as a mega driver
Basic types and key features of corporate PPAs
- Existing assets versus newly developed assets
- Sleeved and synthetic PPAs
- Contract for difference
- Bundled, certificates only, or electricity only PPA
- Behind the meter or ‘on-site’ PPAs
- Fully contracted asset versus partly merchant asset
- Pooling different load profiles as a buyer group
- Multiple Corporate PPAs and first right of power
The overall structure of a PPA
- Definition of commercial terms
- Risk to bankability
- Obligations and Undertakings of each party
- Conditions Precedents to be on the safe side
- PPA Definitions and Annexes
Join the training
Everything you need to know about PPA from a technical, market, legal and project finance perspective. We will guide you through the full range of PPA structures.
Training methodology
The agenda will combine presented materials with plenty of opportunities for Q&A, interactive discussions, and the use of quantitative models to illustrate key learning points. Current market examples and data are utilized wherever helpful.
Course Certificate
After successful completion of this training, you will be awarded a Certificate of Attendance.