PPA, GCPA: The “keys” to your project
There are 2 ways to secure your income after constructing a RES Project and commissioning it to the national grid.
One solution is to sell the energy and the green certificates to the Spot market and OPCOM.
- This way you may have a chance to obtain very high prices, particularly if you manage to sell the green certificates.
- But the vast majority of green certificates will be transactioned once per year, so you need to wait until then.
- Also, when trading energy, you have to keep in mind the costs for arbitrage, which may become very high if you are not an expert in this niche market.
- Finally, this income cannot be projected for the years to come, essentially making the project not “bankable”.
Prudent investors follow a different approach
- They sign PPA and GCPA contracts for their expected outcome and secure their income.
- Almost no project is “bankable” without a signed PPA and GCPA.
- Power Purchase Agreement (PPA) and Green Certificate Purchase Agreement (GCPA) are the “keys” to your investment, as they transform your potential income in a measurable one
- 5 years is a reasonable period for such contracts, but recently there are signs that it can be extended up to 15 years' time, covering the whole period of receiving certificates.
Our company may facilitate PPA and GCPA contracts.
- The counterparts will be major multinational companies specialized in trading.
- Their signature transforms the agreement into a “bankable” document as it secures the investor's income for a long period of time
- This allows the bank to project the expected income and evaluate your project.
Available upon request:
- Memo for the approved subvention scheme for Renewable Energy in Romania
- Business Plans
- Additional consulting services
- Memo for the Romanian Renewable Energy Development Green Certificates
- Cross-checked portfolio of Renewable Energy projects, updated twice per month
For MORE information regarding opportunities on the Renewable Energy market, please use the form below to contact us!