Ekhi

What is a Virtual PPA for renewable energy and how does it work?

A Virtual PPA (VPPA) is a long-term contract for clients that would like to buy an agreed amount of renewable energy each month, without switching energy supplier. The customer agrees the price of energy directly with a renewable producer (PPA price). Equally, at the end of the month, your supplier will send you an invoice for your actual energy consumption. The difference between this invoice and the price agreed with the renewable producer will be paid in a separate settlement between the renewable producer and the final consumer.

What is the difference between a Virtual/Financial PPA and a Offsite PPA?

One of the main differences is the way that they are sold i.e. the economic transaction. In Virtual/Financial PPA, a renewable producer determines its energy prices based on the energy market (OMIE), while in a Offsite l PPA, the producer determines the price independently.

Is the renewable energy produced the same energy used in my company?

This depends on the volume of energy agreed under your Virtual Offsite PPA contract, as there are different profile alternatives. The most common one is the Pay As Produced (PAP) model where an end client buys a percentage of a plant’s energy generation. They set monthly or yearly minimums to ensure a base quantity, but this can vary by hour. Another alternative is a Solar Profile (SP) model, energy minimums are set per hour so producers may have to rely on suppliers or the grid to fulfill the agreed demand.

Are there infrastructure requirements for procuring renewable energy in a Virtual PPA?

For a Virtual PPA, the energy generation facilities (where the energy will come from) are renewable parks based in a national location, and this energy produced will be injected to the grid. The energy will reach your company through the existing transmission and distribution network, so no extra technician is needed on the customer's side.

Frequently Asked Questions

Virtual PPA

Categories

Any questions?

Frequently Asked Questions

Virtual PPA

Categories

As a Service Models

Onsite PPA

EPC

Battery Storage

Offsite PPA

Virtual PPA

EV Chargers

Any questions?