Making green power purchase agreements more predictable and reliable for companies

نویسندگان

چکیده

To comply with sustainability goals, many companies buy green energy to serve their demand. This is typically done by engaging in bilateral power purchase agreements (PPA) renewable producers (REP). A PPA can be flexibly structured, but the core principle that a buyer (company) agrees future production of seller (REP) at an agreed-upon fixed price. PPAs are financially attractive for sellers, providing price certainty, unlike trading electricity markets. However, bring quantity uncertainty buyers due delivery. long-term endangers targets, and short-term complicates reliable cost-efficient demand matching. Thus, multiple strategies have been used encourage sellers provide accurate good-faith predictions longer-term production. Yet, it has shown REPs incentives misreport predicted values. discouraged some from PPAs. In this paper, we first investigate how structure pricing incentivize more predictions. shifts risk REPs, increasing chance adopt batteries. We further study having batteries affects own revenue as well reliability buyers. use analytical simulation approaches propose decision tree win-win structure, which improves while maintaining profitability REPs.

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ژورنال

عنوان ژورنال: Decision Support Systems

سال: 2021

ISSN: ['1873-5797', '0167-9236']

DOI: https://doi.org/10.1016/j.dss.2021.113514