Document background
Power Purchase Agreements (PPAs) are essential instruments in Denmark's energy market, facilitating both conventional and renewable energy trading. These agreements are particularly crucial in supporting Denmark's green energy transition and meeting corporate sustainability goals. The document is used to establish a long-term electricity supply arrangement between generators and purchasers, typically ranging from 5 to 15 years, and can be structured as physical or financial PPAs. It incorporates specific Danish regulatory requirements, including compliance with the Danish Electricity Supply Act and Renewable Energy Act, while also addressing EU-wide regulations. The agreement is particularly relevant for renewable energy projects, corporate procurement of green power, and utility-scale power generation, providing certainty for project financing and operational stability.
