Power Purchasing Agreement

In order to support the public sector adoption of renewable energy generation and reduce transaction costs, the members of the Joint Venture Climate Protection Task Force have suggested a regional collaborative procurement, lead by Santa Clara County. By leveraging the contractual resource investment of the lead agency and creating a procurement pool, all will benefit by reducing or eliminating a barrier to adoption of renewable power. A regional Power Purchase Agreement (PPA) is available, providing an opportunity to break down both the upfront capital barriers to direct ownership and the transaction costs associated with third party financing and move our region forward in municipal renewable energy usage. Additionally, by doing an aggregated procurement rather than individual ones for each city, the costs of developing the agreement are reduced significantly for all parties involved. This method not only conserves funds, but also accelerates the financing process and deployment of renewable energy technologies and supports local economic development.

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