Corporate PPA Business
What is Corporate PPA?
Corporate PPA (Power Purchase Agreement) is an agreement to purchase power between a power generation company and a company or local government, a framework in which the company or local government procures renewable energy over a long period of time. Recently, this has been expanding even in Japan as a means for companies and local governments to procure renewable energy in a stable manner and at a fixed price. There are advantages to this agreement for companies and local governments, such as reducing CO2 emissions produced by business activities, reducing the cost of procuring electricity, and procuring renewable energy that meets RE100 additionality requirements.
There are various schemes in Corporate PPA using renewable energy sources like wind and solar power, such as off-site PPA, virtual PPA, and self-wheeling.
Advantages for Customers
- Promoting Decarbonization Efforts
Achieve procurement of renewable energy*1 that contributes to achieving carbon neutral targets.
- *1We can offer renewable energy that meets RE100 additionality requirements (15-year rule). We can also offer proposals that meet the renewable energy requirements of SBT and CDP.
- Procuring Long-Term, Stable Energy
Customers can secure stable renewable energy generated mainly from wind and solar power, and reduce the risk of fluctuations in electricity market prices.
- RE100
An initiative in which companies aim to procure 100% of the electricity used in their businesses from renewable energy.
- CDP
An international assessment organization that provides a system to disclose company environmental information such as on climate change, water, and forests; and evaluates and publishes the data.
- SBT
Stands for Science Based Targets. These are indexes for targets to reduce greenhouse gases. It is a framework that encourages reduction targets that match the levels required by the Paris Agreement in order to limit the temperature increase to 2℃ (1.5℃) above pre-industrial levels.
Corporate PPA Business at Eurus Energy
(1) Off-site Physical PPA (direct purchase from remote renewable energy power plant)
During the contract period of a PPA, we provide customers with renewable energy generated by specific renewable energy power plants (i.e. carbon free energy) that we secure for them through a electricity retailer. Normally, the contract is for a long period of time and is not dependent on market price fluctuations during the contract period. Instead, the unit price is generally fixed for the duration of the contract.
(2) Off-site Virtual PPA (Environmental Value Certificate Transactions)
During the contract period of a PPA, we provide customers with environmental value from specific renewable energy power plants that we secure for them. Normally, the contract is for a long period of time and is generally calculated according to the market price during the contract period. Compared to Physical PPA, this contract is less subject to the physical constraints of power systems, allow it to be more flexible agreements.
Strengths of Eurus Energy
Offer Flow
- 1Fill out the Corporate PPA Form and contact us
- 2Attend meeting and receive consultation
- 3Receive plan offer and sign contract
- 4(For new facilities) Develop renewable energy power plant
- 5Commence use of renewable energy
Contact
Frequently Asked Questions
There are no charges at the time of offer . We make offers to introduce Corporate PPA based on the amount of electricity to be used by the customer.
Generally speaking, power can be supplied to any region excluding Okinawa and other remote islands.
We can meet additionality requirements if the offer is based on certain circumstances such as a newly constructed power plant for customer-only use and using a power plant where it has been less than 15 years since operations started.
Depending on conditions, it is possible to change the supply destination to another demand location and continue the contract even if the demand location shuts down or moves location. An early cancellation fee is charged when canceling a contract before the period is over .