Power Purchase Agreements allow you to rapidly adopt solar PV on every suitable surface of your premises with no capital outlay. The size of your business need not be a barrier to this funding route as the PPA market is quickly evolving and reaching into the SME sector.

A power purchase agreement (PPA), or electricity power agreement, is a contract between two parties, one which generates electricity (the seller) and one which is looking to purchase electricity (the buyer). The PPA defines all of the commercial terms for the sale of electricity between the two parties, including when the project will begin commercial operation, schedule for delivery of electricity, penalties for under delivery, payment terms, and termination. A PPA is the principal agreement that defines the revenue and credit quality of a generating project and is thus a key instrument of project finance. There are many forms of PPA in use today that Ecofocus Group can introduce you to and they vary according to the needs of buyer, seller, and financing counter parties.

The development of PPAs have been a major incentive for the expansion of solar projects in commercial environments. With several options available your PPA provider will propose a solution best suited to match your renewable energy strategy taking into account your anticipated energy demand and the potential of your sites.

• On-site PPAs, which facilitate you installing CAPEX free renewable infrastructure on your premises
• Corporate PPAs, which manage the relationship between you as a renewable energy provider and a buyer of your excess energy generation
• Synthetic PPAs, which are a hedge where you the generator and buyers of your capacity trade on the wholesale market either directly or via an intermediary.