Sustainability - renewables - electricity - power purchase agreements.
In this context, a new build 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 build asset is likely to:
- Be more expensive, because set up and installation costs will not yet have been covered, but
- 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 build assets are sometimes known as New-to-earth assets.
- Asset finance
- Corporate finance
- Existing asset
- Gas purchase agreement
- Integrated water and power plant
- Power purchase agreement
- Project finance
- Solar CSP
- Solar PV
- Transmission and distribution
- Virtual PPA