Greentricity fund the whole project for the client. In return, the client purchases the electricity produced from the solar system from Greentricity. For organisations that want to reduce their carbon emissions and control energy costs but want to keep cap ex resources for other projects, this is worth exploring. A PPA is a Power Purchase Agreement which is the contract entered into between Greentricity and the client. The client only purchases electricity they consume, the cost per kilowatt hour is fixed for the duration, i.e. not subject to inflation, which can mean significant savings as time goes on.
A PPA (Power Purchase Agreement) is a long-term agreement between a renewable developer and a consumer for the purchase of energy. A PPA is a long-term agreement to purchase clean energy from a specific asset at a predetermined price between a renewable developer and a consumer — generally a company requiring large amounts of electricity — or between a developer and a supplier who then resells the energy. The signing of a PPA can be understood as the sale of a project and its environmental attributes (Guarantees of Origin): it is a commitment that allows a renewable developer to make an investment decision using the criteria of profitability versus risk and/or achieve the funding necessary to execute the project.