New-to-earth asset: Difference between revisions
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imported>Doug Williamson (Create page. Source: CCS https://assets.crowncommercial.gov.uk/wp-content/uploads/Power-Purchase-Agreements-PPA-An-Introduction-to-PPAs.pdf) |
imported>Doug Williamson m (Amend punctuation.) |
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''Sustainability - renewables - electricity - power purchase agreements.'' | ''Sustainability - renewables - electricity - power purchase agreements.'' | ||
In this context, a new to earth asset is an asset for green electricity generation that has not yet been built. | In this context, a new-to-earth asset is an asset for green electricity generation that has not yet been built. | ||
Contrasted with an Existing asset. | Contrasted with an Existing asset. | ||
In simple terms, striking a power purchase agreement (PPA) in relation to a | In simple terms, striking a power purchase agreement (PPA) in relation to a new-to-earth asset is likely to: | ||
*Be more expensive, because set up and installation costs will not yet have been covered, but | *Be more expensive, because set up and installation costs will not yet have been covered, but | ||
*Be considered more "green", because new green capacity is added to the power network. | *Be considered more "green", because new green capacity is added to the power network. | ||
| Line 13: | Line 13: | ||
In this context, new to earth assets are sometimes known as New build assets. | In this context, new-to-earth assets are sometimes known as New build assets. | ||
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* [[Sustainability]] | * [[Sustainability]] | ||
* [[Transmission]] | * [[Transmission]] | ||
* [[Transmission and | * [[Transmission and distribution]] | ||
* [[Virtual PPA]] | * [[Virtual PPA]] | ||
Latest revision as of 15:55, 23 June 2021
Sustainability - renewables - electricity - power purchase agreements.
In this context, a new-to-earth asset is an asset for green electricity generation that has not yet been built.
Contrasted with an Existing asset.
In simple terms, striking a power purchase agreement (PPA) in relation to a new-to-earth asset is likely to:
- Be more expensive, because set up and installation costs will not yet have been covered, but
- Be considered more "green", because new green capacity is added to the power network.
- Be longer term than an existing asset PPA, and
- Provide greater scope for a buyer to secure prices for a correspondingly longer time period.
In this context, new-to-earth assets are sometimes known as New build assets.
See also
- Additionality
- Asset finance
- Corporate finance
- Distribution
- Existing asset
- Gas purchase agreement
- Green
- Infrastructure
- Integrated water and power plant
- Offtaker
- Plant
- Power purchase agreement
- Project finance
- Recourse
- REGO
- Renewables
- Sleeving
- Solar CSP
- Solar PV
- Sustainability
- Transmission
- Transmission and distribution
- Virtual PPA
External link
Introduction to Power Purchase Agreements - UK Crown Commercial Service
