Business Diplomacy
Power Purchase Agreements (PPAs) are contracts between a buyer and a seller of energy, where the buyer agrees to purchase electricity at a predetermined price over a specified period. These agreements play a crucial role in facilitating investments in renewable energy projects, providing financial security for developers while ensuring a stable supply of power for buyers. By locking in prices, PPAs help mitigate market volatility and encourage the growth of clean energy technologies.
congrats on reading the definition of Power Purchase Agreements (PPAs). now let's actually learn it.