Industrial sector PPAs with PPC enter unchartered waters

An energy ministry intention to offer licensing priority to new photovoltaic parks with batteries behind the meter threatens to greatly impact green-energy PPAs reached between industrial players and power utility PPC.

Off-takers are already experiencing delays as connection-term offers for RES units in Group B, including PPC’s solar farms intended for PPAs, have essentially been put on hold until the energy ministry reaches a final decision on the licensing-priority details for new PVs with batteries.

Delays could become even longer if the energy ministry decides to establish an additional category for PVs with batteries securing tariffs through auctions.

Worse still, if the PPAs need to be combined with storage units, to enable more efficient usage of grid capacity, then the financial aspects taken into consideration by PPC and industrial consumers for their green-energy PPAs will no longer be valid as the addition of batteries would increase the development cost of projects.