Agreements for Renewable Energy Projects: Power Purchase Agreements

A Power Purchase Agreement (PPA) specifies the contract between two parties: a) the seller, who generates electricity,and; b) the buyer, who is looking to buy electricity. It defines all the terms for the sale between the two. A PPA secures the payment stream for a Build-Own Transfer (BOT) or concession project for an independent power plant (IPP). It is between the purchaser (often a state-owned electricity utility) and a privately owned power producer.

Below are power purchase agreements developed for renewable energy projects for different energy sources, together with laws devoted to those sources, from different countries:

Wind Power Solar Power Hydropower Biomass and Biofuel Geothermal
Source: World Bank (2017)

The Terrawatt Initiative

Spearheaded by French President Emmanuel Macron, Terrawatt brings together the world's top businesses and thought leaders to create the commercially viable market necessary for an environmentally-friendly global economy. They do this by systematically removing financial, legal, technical and political barriers to adoption.

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