markets
PPA
Also known as: Power Purchase Agreement
Long-term contract for the sale of electricity from a generator to a buyer at agreed pricing.
A Power Purchase Agreement (PPA) is a long-term contract (typically 15–25 years) for the sale of electricity from a generator to an offtaker. Fixed-price PPAs provide developers with revenue certainty enabling project finance. Indian SECI hybrid PPAs are 25-year fixed-price contracts; CPPA structures emerged for corporate offtakers.