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Renewables PPAs – why now could be a perfect time to buy
While the use of PPAs to back post-subsidy European renewables projects is still in its infancy, the current environment could be the perfect time for energy offtakers to enter the market. Not only are developers able to use cheap liquidity to build projects at competitive rates, lowering their levelised cost of energy, the market is also not yet swamped with willing PPA participants. Together, this means that those prepared to enter into long-term offtake agreements with generators now can lock in energy prices well below current wholesale prices. These conditions are not certain to stay in place
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