Power Purchase Agreements

 Long-term RENEWABLE Power Purchase Agreement (PPA)


We produce energy non-intermittently renewable electricity, 24/7 renewable solutions, to provide 100 per cent renewable energy under a long-term green electricity supply contract. 

What we offer

 

The DABITRON’s strategy for Net Zero emissions is to implement local projects of hybrid energy through renewable power purchase agreement - PPA (bilateral agreements) that promote the supply of 100% renewable energy at competitive and stable prices to large customers who are committed to a sustainable consumption to reduce its environmental impact for help to make the future more sustainable for everyone.


A power purchase agreement (PPA), or electricity power agreement, is a long-term agreement to purchase clean energy from a specific asset at a predetermined price between a renewable energy producer and a consumer (usually a utility, government, company or energy communities). 

By signing a DABITRON Renewable PPA, you purchase a specific volume of clean electricity over a fixed period of time, generated by a 100% renewable source 24/7, from a DABITRON Renewable Power Plant (whether it is a be Green Hydrogen Power Plant or a Microgrid plant).


PPAs may last anywhere between 15 and 20 years, during which time the power purchaser buys energy at a pre-negotiated price.


With a growing number of businesses looking to reduce their carbon footprint, PPAs have become incredibly popular. Each agreement is a win-win for both parties: the renewable energy producer secures a buyer for their green electricity, while the customer reduces their CO² emissions and secures their long-term electricity costs. On a broader level, PPAs are benefiting the environment as they are enabling green companies like DABITRON to add more clean energy to the grid and reduce the reliance on fossil fuels.

Why should I consider a PPA sooner rather than later?

PPA prices are currently below market levels and as we know, energy prices continue to rise, so now would be an opportune time to find out more. Whilst a PPA goes a long way to meet a business’s net-zero targets, it should be considered amongst a range of extra measures in a holistic green strategy. With a perfect blend, you can balance the purchase of renewable energy with on-site energy reduction measures, on-site generation and staff engagement programmes to maximise the benefits and reduce your carbon footprint whilst strengthening your green credentials.

  • Access to competitively priced energy now and in the future.
  • Power consumption at a stable and predictable price.
  • Guaranteed supply of clean energy.
  • Meeting corporate sustainability goals and enhancing brand reputation.
  • Savings in investment and maintenance costs.
  • Better planning of your long-term cost structure.

  • They offer the opportunity to invest in new assets thanks to long-term assured income.
  • They make it possible for investment decisions to be made based on profitability versus risk.
  • They help secure more financing for renewable projects.
  • They establish long-term relationships with end customers.
  • They provide a renewable investment alternative to auctions and sales from merchant farms.

  • Encouraging investment in renewable energy and less dependence on polluting sources.
  • Positive local impact.
  • Better use of natural resources.

decarbonizing the local grid with  100 % renewable electricity 24/7 clean power purchase agreements
 Our Hybrid Energy Projects of Renewable Power Plants which include Power Purchase Agreement (PPA) contracts.

local power plant projects that produce energy non-intermittently 100 % renewable electricity 24/7, to provide 100 % renewable energy under a long-term agreement
GREEN PPAS: POWER YOUR BUSINESS WITH 100% RENEWABLE ENERGY

Type of DABITRON Renewable PPA


 100 percent renewable energy, to provide electricity 24/7, year-round.

On-site PPA.

  • An On-site DABITRON Renewable PPA is a contract for the supply of 100% renewable electricity 27/7 from an ad hoc hybrid energy projects of a DABITRON Renewable Power Plant (whether it is a Green Hydrogen Power Plant, a Microgrid project or a Hybrid Power Plant) located on the customer's property and connected to its internal network. The enewable energy producer makes the investment and designs, installs, operates and maintains the plant. The energy generated by the project is energy that the customer is no longer demanding from the grid, so the enewable energy producer offers the customer this energy at a more competitive price.

Off-site PPA

  • An Off-site DABITRON Renewable PPA is a contract for the supply of 100% renewable electricity 24/7 associated with a utility-scale hybrid energy projects of DABITRON Renewable Power Plants (whether it is a Green Hydrogen Power Plant, a Microgrid project or a Hybrid Power Plant) connected to the transmission or distribution network of the country's electricity system to take energy from its point of origin to the consumption point. That is, the client receives energy from a project connected to the network. 

 

What are the typical corporate DABITRON Renewable PPA contract structures?


A DABITRON Renewable PPA, is a long-term  financial agreement between the DABITRON renewable power producer ("Generator") and your business ("Offtaker"). It allows you to purchase a fixed volume of clean electricity over a defined period, protecting yourself from price volatility and reducing your corporate carbon footprint.  
  • Power producer = Generator
  • Power consumer = Offtaker 

Fixed Volume PPA.

  • Fixed Volume PPAs

    Type of PPA Fixed volume for defined period.


    Under this arrangement, the generator agrees to a predetermined production volume that must be delivered in a specified time interval, which is sized according to the generator’s seasonal P50 production profile, in exchange for a pre-agreed fixed price per MWh for delivery over the term of the PPA. If the actual production is below the predetermined production volume, the generator would be responsible for procuring the missing volumes from the market. Prices under this type of arrangement tend to be higher to reflect the volume delivery obligations, the generators bare volume risk. 


    It's possible to structure a fixed volume PPA with a more flexible delivery profile, for example annual time intervals (“Fixed volume for defined period”), in which the generator agrees to deliver certain volumes in a certain time frame in exchange for a pre-agreed fixed price. 


    The generator has the obligation to deliver the total predetermined volumes in the specified timeframe, but is not constrained in terms of the timing of the delivery, no production profile risk. 


    Volume delivery obligation and delivery profile:

    Annual pre-defined volumes.

    Delivery profile obligation within the predefined timeframe but no matter when.

    Pre-agreed fixed or floor price

    Volume risk: Yes

    Production profile risk: No

    Merchant risk: No


    • Prices under this type of arrangement tend to be higher to reflect the volume delivery obligations, the generators bare volume risk. 

Variable Volume PPA.

  • Variable Volume PPAs

    Type of PPA:  A pay-as-produced PPA.


    Under a Pay-as-produced PPAs, the off-taker agrees to purchase all or a percentage of the produced volumes at a pre-agreed fixed price, regardless of the level of the actual production. As there is no target production volume, the generator does not take any volume or profile risk. In a Pay-as-produced the off-taker bears the volume risk in the event of underproduction. Where available, pay-as-produced PPA's are appropriate for up to 100% of P50 production. 


    Volume delivery obligation and delivery profile:

    Pre-agreed % of production at a pre-agred fixed or floor price.

    No volume delivery obligation or delivery profile obligation.

    Volume risk: No

    Production profile risk: No

    Merchant risk: No


    • However, these PPA's are usually set at a significantly lower price than fixed volume PPA's. 

PHYSICAL PPA.

  • PHYSICAL DABITRON Renewable PPA.

    A DABITRON Renewable Physical PPA signifies a durable agreement where a business, often known as the corporate off-taker ("Offtaker"), enters into a prolonged arrangement (typically exceeding 15 to 20 years) with a renewable power producer ("Generator"). This entails accepting some or all energy produced by the generator's facility or plant network at a predetermined price per MWh.


    This PPA outlines provisions for electricity sale and purchase, allocation of applicable renewable energy benefits (like green certificates), and regulations governing the transaction. 


    There are two contractual structures for the DABITRON Renewable Physical PPA:


    1. that enables to supply 100% for its everyday energy requirements a business;
    2. that enables to supply only a part of a company's energy needs.

  • PHYSICAL DABITRON Renewable PPA - 100% supply

    A DABITRON Renewable PPA contract that enables to supply 100% for its everyday energy requirements a business.


    • DABITRON ("Generator"), ensures renewable electricity provision, at a fixed price to meet the corporate off-taker's energy demands non-intermittently. The terms of this supply agreement consider the electricity procured under the PPA. 
    • This arrangement guarantees that the corporate benefits from the fixed pricing for renewable energy under the PPA for its everyday energy requirements. Which is great both for the environment and hedge against long-term power prices.  Along with the green power delivered, the energy buyer in a renewable energy PPA receives renewable energy certificates (RECs) for each MWh of energy produced. 
  • PHYSICAL DABITRON Green PPA - a partial supply

    A DABITRON Renewable PPA contract that enables to supply only a part of a company's energy needs.


    • This PPA contract enables them to run at least a part of their operations on green power at a fixed, set price, which is great both for the environment and hedge against long-term power prices.  Along with the green power delivered, the energy buyer in a renewable energy PPA receives renewable energy certificates (RECs) for each MWh of energy produced. 
    • This means that as well alongside this arrangement, the corporate off-taker will have an electricity supply agreement with the licensed supplier, which ensures electricity provision to meet the corporate off-taker's energy demands intermittently. The terms of this supply agreement consider the electricity procured under the PPA and channeled to the licensed supplier under the supplier agreement. 
    • This arrangement guarantees that the corporate benefits from the fixed pricing for renewable energy under the PPA while maintaining an ongoing supply agreement with a licensed electricity supplier for its everyday energy requirements.

PRIVATE WIRE PPA.

  • PRIVATE WIRE DABITRON Renewable PPA.

    The private wire DABITRON Renewable PPAs, deal with the direct sale of electricity from the DABITRON renewable power producer ("Generator") to a corporate off-taker ("Offtaker"). Power is typically sold straight from the generator's facility to the corporate off-taker, bypassing the traditional national power grid.


    In this model, the energy-generating facility is typically located at or near the corporate off-taker's assets and usually supplies power exclusively to the off-taker. 


    Private Wire DABITRON Renewable PPAs are commonly utilized in scenarios where the corporate off-taker seeks to secure its independent power source—for instance, for factory operations or off-grid locations—or in regions where the grid system's reliability is questionable.


    Thus, Private Wire DABITRON Green PPAs serve as a practical solution for businesses desiring control over their energy source and supporting the growth of localized renewable energy.

How does a typical PPA process look? 

Request for proposal.

Project offer and details.

Term sheet.

Negotiations.

Signing of PPA

Inauguration and public statement release

What are the main benefits to a business?
 An DABITRON GREEN PPA has many benefits for your business, financial as well as environmental:

Frequently Asked Questions

Click on the questions below to find out  more.

Corporate Power Purchase Agreements (PPAs): What are they?


  • How do Power Purchase Agreements work?

    Power Purchase Agreements ("PPA") are usually long-term power supply agreements concluded between a power producer ("Generator") and a power consumer ("Offtaker"). 


    • Power producer = Generator
    • Power consumer = Offtaker

    If there are bilateral contracts for the supply of green electricity between plant operators ("Generator") and consuming companies ("Offtaker"), these are referred to as corporate PPAs. In the Power Purchase Agreements, the contractual partners can determine the terms of delivery very individually. The contract contents include, for example:


    • the origin of the electricity (region, PV power or hydrogen electricity, new or existing plant),
    • the delivery profile and the quantity delivered,
    • the duration of the PPA (15-20 years),
    • the pricing.
  • What Is a Bilateral Contract?

    A bilateral contract is an agreement between two parties in which each side agrees to fulfill their side of the bargain. Typically, bilateral agreement is a agrement between producer ("Generator") and consumers ("Offtaker") for the sale and supply of energy.


    The RD-Law modifies article 44.1 of the LSE, allowing any consumer, whether or not a direct consumer of the market, to acquire energy through bilateral contracting with a producer, which represents an advance in the development of sales agreements energy or (PPA), by eliminating the requirement that said consumers be considered as subjects of the system, with the burdens and requirements that this entails.


    In this regard, the explanatory memorandum of the RD-Law states that these measures are aimed at eliminating regulatory barriers that prevent agents from making the necessary decisions so that the transition to a decentralized economy is carried out as quickly as possible, giving their Once investors trust, in such a way that they can mobilize the investments required for the energy transition in the 2030 horizon.

  • What is a corporate PPA?

    A Corporate Power Purchase Agreement (Corporate PPA) signifies a lasting agreement where a company commits to procure electricity directly from an energy producer. It is a variant from the conventional method of buying power from licensed power producer ("Generator"), often termed as utility Power Purchase Agreements.


    Typically, it is a contract between a power user ("Offtaker") and a power producer ("Generator"), whereby the parties agree to buy power at a pre-agreed pricing mechanism for a given time period. The contract governs the commercial terms of the electricity sale. Under a corporate PPA, the buyer ("Offtaker") is a business with often significant import electricity requirements, as opposed to a utility company purchasing power for onward selling to customers.


    Under a corporate PPA, an offtaker can purchase power either from an on/near-site project (known as behind-the-meter and private wire respectively) or from an offsite project (known as corporate PPAs).

  • What is a renewable energy power purchase agreement (Green PPA) ?

    A renewable energy Power Purchase Agreement (Green PPA) is a contract between a utility, industrial or commercial off-taker or customer  and a green power producer (SPV) for the purchase of power generated by 100% renewable energy assets. 


    The customer doesn’t take ownership of or invest in specific renewable equipment, like solar panels that generate electricity. Instead, the customer commits to buying the electricity and its attributes (e.g., the renewable energy certificates, “RECs” or Guarantees of Origin) produced by the equipment installed by the energy provider. 


Questions About DABITRON Renewable PPAs


  • What are the advantages of a Renewable PPA?

    There are many financial, environmental, and social benefits to a PPA, including:

    • Fixed long-term electricity costs, generally below existing market rates.
    • Reduced emissions and a smaller carbon footprint.
    • Improved cash flow by replacing a capital investment with an operating cost.
    • No construction or operational risks (DABITRON assumes all responsibility)
    • An enhanced corporate reputation and progress toward renewable energy targets.
    • Independent, sustainable energy supplier.
  • Which steps of the value chain are covered during the project development of my electricity supply?

    There are various steps involved in developing a renewable energy plant and supplying a Renewable PPA, including:

    • Development.
    • Construction.
    • Project financing.
    • Establishing a cost-efficient O&M approach.
    • Creating an offtake contract.
  • What are the key terms discussed when creating a PPA?

    There are several key terms we need to agree upon during the negotiation process:


    Commercial terms:

    • Contract price
    • Annual energy generation volume
    • PPA tenor
    • Contract profile

    Technical terms:

    • Allocation of the land where the plant will be built
    • Installed plant capacity
    • Plant grid connection
    • Performance ratio

    Other terms:

    • Termination clauses
    • Producer’s and buyer’s security
    • Payment terms
  • Can I increase the capacity of my PPA if my consumption increases?

    The price and volume of the electricity provided by your PPA are fixed for the duration of your agreement. However, if you need to increase your supply volume, such as due to building a new factory, you can sign a second agreement for the additional amount.

  • What is “balancing” and who is responsible for it?

    Balancing is the difference between a renewable energy plant’s projected output and its actual production. Low production means additional electricity must be purchased, while excess generation has to be sold on the balancing market, often resulting in additional costs.


    DABITRON offers a Renewable PPA profile type:

    • Pay-As-Produced delivery: you agree to purchase all electricity produced by the plant and manage any imbalances. A Pay-As-Produced (" PAP ") PPA is the most common and plain vanilla structure for an electricity offtake agreement. Under a pay-as-produced structure, the energy buyer or Offtaker is obliged to purchase the entirety of the produced electricity at a pre-determined fixed price.
  • The Renewable PPA cover my entire electricity demand?

    Your business will remain on new Green PPA supply agreement, that offers a green electricity delivered directly by DABITRON. In other words, the Renewable PPA covers all of your  power demands.

  • Does my PPA include Guarantees of Origin (GOs)?

    Yes. We design our PPAs to be as transparent and flexible as possible.

  • Does DABITRON also develop onsite Renewable Power Plant projects (that provide energy 24/7)?

    Yes, we develop onsite DABITRON Renewable Power Plant Projects:



    Our goal is to propose renewable power plant projects that to provide 100% renewable energy 24/7.


    In these cases, we build the plant (green hydrogen power plant, microgrid or hybrid power plant) directly near the consumption point and supply electricity via a physical connection. As a result, onsite PPAs generally have fewer transmission losses and lower costs, delivering greater value for the producer and buyer.

  • Can I combine two different power sources in one renewable power plant project?

    Yes, a microgrid project or green hydrogen power plant,  the different power sources (solar PV + battery BESS + hydrogen H2) can complement each other very well, as solar production is high during the day, while hydrogen generation can compensate for the losses of the solar system when the system does not produce on days of less production or at night. Combining these two clean technologies  answer and maintain your company need to a stable energy supply, reducing your profiling costs.

  • Can my Renewable PPA also include energy (battery) storage?

    Yes, in addition to combining two different power sources, your Renewable PPA include energy storage, such as a battery co-located with a DABITRON Renewable Power Plant Project, that provide 100% renewable energy 24/7, includes a battery co-located with a solar PV plant and hydrogen on site production.


    The battery can store clean energy during periods of excess production and discharge it in the evening when demand is high. Energy storage also helps to balance your Renewable PPA’s electricity profile and increase the share of energy delivered by the contracted plant, reducing your balancing costs.

  • How can I guarantee the electricity I receive is renewable?

    As the Renewable PPA off-taker, you receive guarantees of origin for the entire contracted volume. This approach ensures that the power plant generates renewable energy, the specified amount is into the grid and delivers the environmental benefit.

  • Can I still farm livestock between the rows of solar panels?

    It is possible to rear livestock on the same land as solar panels, although some breeds are more suitable than others. For example, DABITRON actively encourages sheep farming and beekeeping, both of which work well in tandem with solar energy generation.

  • Can I continue farming my land with machines once the solar PV plant is completed?

    This type of “dual-use” farming is not only possible – we think it’s a great idea, they both work well together. You are encouraged to continue your farming activities, provided the crops don’t shade the solar panels or have any other adverse effects.

  • Do ground-mounted solar PV plants impact agriculture, biodiversity, or wildlife habitats?

    Unlike most forms of energy generation, ground-mounted solar panels have a minimal impact on their surroundings, and can actually enhance plant and wildlife habitats. For example, the shaded areas beneath the solar panels can provide refuge for many animals during the hot summer months. In addition, ground-mounted solar PV plants are often ideal environments for keeping bees, as the absence of pesticides can vastly improve their health and honey quality.


Own ership


  • Ownership

    All the Renewable Power Plant Projects  proposed are the property of DABITRON. 

  • Why is it necessary to have a preliminary agreement before construction begins?

    Undertaking a project requires significant work on DABITRON’s part, including planning, documentation, permitting, and many other considerations. Therefore, we ensure there is a preliminary agreement in place during the planning stage to protect the interests of both parties.

  • What happens to the Renewable Power Plant if DABITRON were to go bankrupt?

    In the unlikely event of a bankruptcy, a receiver would assume administrative control of the DABITRON Renewable Power Plant. After restructuring the debt, the receiver would likely continue running the plant, either directly or by selling it to a new owner. In rare cases, the receiver may sell the plant’s components (such as panels, inverters, mounting frames, and battery systems) and use the funds to completely remove the system, enabling you to repurpose the land.

  • Why is DABITRON entitled to transfer rights and obligations to various third parties?

    As a ownership and project developer, we need this right to advance our projects successfully. We finance our Renewable Power Plant Projects using equity and debt capital, the latter of which can only be obtained by pledging certain rights and securities to the debt providers.


Project-Specific Questions


  • What is an DABITRON Renewable PPA?

    A DABITRON Renewable PPA, or Power Purchase Agreement, is your contract with DABITRON to purchase the energy coming from the renewable Power Plant of DABITRON. With this contract, you will not incur the cost for the systems, installation, and ongoing maintenance. This way you can receive the lower cost of renewable power energy without the responsibility for the system.

  • How Does a PPA Work?

    We understand that every business is unique, and so our team of clean energy experts can customize a Renewable PPA to your specific needs. 


    The agreement contains details about the volume and price of the green electricity supplied, the time period, the delivery method, and all other relevant information.


    Once you have a Renewable PPA in place, the way you receive and use electricity stays the same. The agreement enables us to generate clean energy on your behalf, which you purchase at a pre-defined price over a defined period.

  • Term

    15-20 years at the customer’s preference.

  • Can I cancel my PPA?

    Yes. You may do so within a set number of days upon signing the PPA. This time frame varies by state.

  • Upfront Cost

    NO – You receive a monthly bill for the electricity consumed from the system.

  • Predictable energy costs

    A DABITRON Renewable PPA allows a customer to lock in low energy costs and protect their organization from unpredictable fossil fuel-based energy rates.

  • What permits are required?

    DABITRON helps you handle all of the necessary paperwork and obtain any required permits when you decide to go renewable.

  • Immediate savings

    Lower electricity bills from day one.

  • Corporate sustainability

    By purchasing clean, renewable energy instead of using energy generated with fossil fuels, organizations can make a real difference for the environment and help set an example for sustainable business practices.

  • Tax Benefits

    No additional tax benefits like depreciation.

  • Insurance

    DABITRON covers the insurance of the system

  • Operations & Maintenance

    DABITRON provides on-going operations of maintenance and monitoring at no additional cost.

  • What are my options at the end of the PPA term?

    We can remove the panels for you at no cost leaving the space or the building as it was before or you can extend your contract.

  • Do Renewable Power Plants prokects proposed have any adverse environmental impacts?

    With no noise, emissions, or moving parts, the DABITRON Renewable Power Plant Projects have a minimal impact on their surroundings. They blend in well with the landscape and require no major earthworks or land disruptions. Compared to other forms of renewable energy generation (such as wind or hydropower), Hybrid plant and Hydrogen Power Plant also help to increase biodiversity and create new animal habitats.

  • How long does an DABITRON Renewable Power Plant Project last?

    The life of a typical DABITRON Renewable Power Plant Project is around 40 years, which corresponds to the duration of your lease. As the system owner and operator, DABITRON is responsible for decommissioning and removing the plant at the end of its life.

  • Are DABITRON Renewable Power Plant Projects environmentally friendly?

    Yes they are. Unlike traditional fossil fuel power stations, the DABITRON Renewable Power Plants Projects create no noise, greenhouse gases, or pollutants of any kind. In addition, improvements in technology and scale continually reduce the amount of energy and materials needed to make solar panels and the battery energy storage systems, and they are now also completely recyclable.

  • How long does installation take?

    We work to install every energy plant as quickly as possible, regardless of its size. As a result, we complete most projects within eight to twelve months.

  • Off-balance-sheet obligation

    A Renewable PPA isn’t looked at as debt. It functions just like a regular utility bill, so it doesn’t tie up capital the customer could use for other investments.

  • How does billing work?

    On a monthly basis, you will receive:

    DABITRON electronic invoice – includes charges for the power generated at the price per kWh listed in your PPA (also contains your monthly solar payment summary and due date information).

  • Can I sell my home or land after I have a DABITRON Renewable Power Plant Project installed?

    Absolutely! In fact, we’ve seen that renewable-powered systems tend to improve a home’s or landvalue. DABITRON is willing to work with you to transfer the PPA  and monthly payments to the new owner.

  • Fully transferable

    The DABITRON Renewable Power Purchase Agreement (PPA) can be transferred to new occupants should you move to new premises.

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