Innovation in Power Purchase Agreement structures

The report was co-authored with EDP and Nestlé and released by the World Business Council for Sustainable Development (WBCSD).

This report builds on WBCS D’s Corporate Renewable Power Purchase Agreements: Scaling up globally report (October 2016), which provides background on corporate power purchase agreements (PPAs). The initial report includes the opportunities that PPAs offer, the obstacles corporate buyers and developers face as they plan and negotiate PPAs and potential solutions to challenges.

The objective of this Innovation in Power Purchase Agreement (PPA) Structures report is to identify further challenges that corporate buyers have come across as the corporate PPA market has grown and evolved in existing and new markets and jurisdictions. It identifies examples of innovations in different markets as a result.

Our hope is that better understanding of these challenges and innovations will accelerate deployment of more corporate PPAs in mature markets and that it will also assist in the development of successful new markets for corporate PPAs. In each case, though, innovations in one market may not be applicable in other markets due to different market dynamics.