Power Purchase Agreements

A PPA is a contract between the purchaser and supplier of energy or electricity.  The PPA contract lays out how much electricity the supplier has promised to place on the grid and how much the consumer will take off.  A PPA most often guarantees an electricity price beyond just guaranteeing the supply.  A PPA however can never deliver electricity attributes that are different from the grid-average unless a tracking certificate (like GOs) are transferred in combination with the electricity.  A PPA is a private document and as such the delivery of attributes, such as the attributes delivered with a GO, would be double counted as they are not removed from the grid-average fuel mix in a residual mix.