Round table - Aggregation & PPA structuring: what are the solutions?
Round table – Aggregation & PPA structuring: what are the solutions?
At a round table organized by Greensolver, Bouygues Telecom, TotalEnergies and Greensolver discussed current and future solutions for structuring and aggregating APPs, with the participation of some thirty private and public consumers.
Bouygues Telecom expressed its strong constraints in terms of integrating PPAs into its consumption, as well as its desire not to be exposed directly, or via its supplier, to the management and variation of intermittency costs over the duration of the PPA. This had a strong influence on the structure of the PPA concluded in 2024.
TotalEnergies, for its part, shed light on the evolution and structuring of aggregation services, as well as their impact and interaction with supply contracts. TotalEnergies offers solutions.
Greensolver, moderator of the debates, shared its experience of working for consumers, producers and suppliers. They enable these players to define and implement the best aggregation solutions, notably via aggregation and supply contracts adapted to each PPA, as well as the best PPA structures, other than as produced.
Key findings from the round table
- The question of how to integrate the PPA into the supply chain must be anticipated and dealt with sufficiently in advance;
- A PPA is integrated differently depending on the supply formula (click offer or block + spot). The delivery of a curve transformed by the aggregator helps to mitigate, reduce or even control the price/volume intermittency risk associated with the integration of a Pay-as-Produced PPA for the customer, but an intermittency risk will always have to be considered, whatever the curve delivered and the supply formula into which it is integrated. Bouygues Télécom has opted for a structured PPA with the delivery of a solar bell guaranteed for 10 years.
- Responsibility for balancing generation assets is a central element of supply, with a very strong impact in terms of risk allocation and contractual and operational stipulations;
- Bouygues Telecom has paid close attention to IFRS 9: the aim is to show that consumption covers production (“one use” criterion), so that PPP does not qualify as a financial instrument;
Quote TotalEnergies
- Supply: “Asset availability has a major impact on both the supplier and the aggregator, and our contracts encourage the customer to provide maximum transparency.
- Aggregation: “The cost of integrating photovoltaic or wind generation depends above all on the product the customer wishes to obtain, and on the allocation of risks between the customer, the aggregator and the supplier”.
- The issue of the different temporality between the PPA contract and the successive supply and aggregation contracts can be managed via a direct purchase contract with the producer for the entire duration of the PPA;
- The cost of aggregation can vary significantly from one technology to another, as the production curve and captured prices are different, but also from one production asset to another depending on its technical characteristics, especially for wind power. It also depends on the technical characteristics and precise location of the asset, especially in the case of wind power.
Quote Greensolver
- “Our customers ask us to find ways to help them anticipate, before and during tenders and PPA negotiations, and then, after signature, to manage the risks and costs associated with PPA aggregation.”
- “Suppliers and aggregators today offer different types of aggregation and/or supply contracts, and it is important to be able to analyze, compare and negotiate them in order to adapt them to each situation”.
- “IFRS 9 is a matter of concern for many consumers. It underlines the importance of properly sizing and/or structuring one’s APPs”.
We invite you to contact our team for further information.
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