WEBINAR DETAILS AND AGENDA
Date/Time : Friday 17 January 2025 @ 10:00am–11:00am
Theme : Discover the Future of Energy Procurement - Virtual Power Purchase Agreements (VPPA)
Key Topics:
Fundamentals - What is a VPPA? How do VPPAs work?
Clusters - How can industrial clusters leverage VPPAs?
Geographic Constraints - Overcoming challenges in contracting with distant generators.
Benefits and Risks - Financial, sustainability, security, and risk management strategies.
Balance Sheet Treatments - Understanding capital vs. revenue projects and financial instruments.
Power Market Transformation - Navigating the evolving UK electricity market landscape.
TO REGISTER FOR THE WEBINAR PLEASE EMAIL davidreade@elementconsultants.co.uk by Wednesday 15 January 2025.
As part of IDNI’s potential cluster solutions the concept of collective VIRTUAL POWER PURCHASE AGREEMENTS (VPPA) has been identified. A VPPA is a financial contract between a renewable energy generator and a corporate buyer, importantly without physical delivery of electricity. In this arrangement the corporate buyer continues to purchase electricity from a licensed supplier, with a remote renewable generator selling its generated power to the grid and receiving the market value for that commodity.
The remote renewable generator transfers the Renewable Energy Guarantees of Origin (REGO’s) to the Corporate Buyer for a specified and contracted quantity of power and agree a monetary contract reflecting the difference in market commodity price and their agreed strike price
No renewable electricity needs to be supplied directly from the renewable generator to the corporate buyer – the arrangement is purely a financial hedging arrangement.
The main advantages of VPPA’s are:
REGISTRATION If you, or another company representative would like to hear more about this concept - whether it would be of benefit to your IDNI industrial cluster, to your manufacturing, business sites, or to your Stakeholder Organisation please feel free to register for the Webinar by e-mailing David Reade : davidreade@elementconsultants.co.uk .
David will issue the Google Meet Webinar invitation.
The Industrial Decarbonisation for Northern Ireland (IDNI) initiative sought to address three strategic priorities: reducing emissions, enhancing regional balance, and boosting productivity.
Funded by Innovate UK, and led by Invest Northern Ireland, key partners included Manufacturing NI, Mineral Products Association NI, AMIC/QUB, Ulster University/Smart Manufacturing Data Hub, and a GB consortium that successfully delivered the UKRI-funded RePowering the Black Country project. Invest NI has also secured support from all 11 councils, NI’s Departments for the Economy, Environment, and Infrastructure, plus the Systems Operator for NI, NI Chamber of Commerce, and all major NI utility companies, across electricity, gas, and water.
IDNI identified nine industrial clusters and a Mineral Products sector group. IDNI found that by developing carbon and energy-saving opportunities—both individually and together—these groups can make a significant impact with the potential to save over £26 million in energy costs; and reduce more than 69,000 tonnes of carbon annually. Through collaboration, businesses can share resources, expertise, and infrastructure to tackle challenges more effectively. By working together NI Industries can simultaneously reduce emissions and boost productivity, paving the way towards a more decarbonised and competitive future.
You can access a copy of the Executive Summary from the project by clicking here.