Path to PPA
There are several different ways that a project can be transacted with the offtaker.
1. PURPA agreements allow us to sign a PPA through the government mandated program.
2. Build-transfer involves construction and then selling the asset to another entity in a one time fee.
3. Community Solar projects are becoming increasingly popular and provide a way for homeowners to invest in "remote-solar".
4. Securing a long term PPA (power purchase agreement) is our preference due to it's healthy, calculated revenue longevity.
RECs are a trade able commodity valued for total energy production from an array. It represents the carbon or pollution avoided from the grid. RECs are a way to track & monetize these environmental benefits and compensate owners.
In most cases BFA Energy's goal is to secure a PPA. It provides the best opportunity for steady long term revenue growth.
The benefits to a PPA are boundless for both investors and customers.
Levelized Cost of Electricity
Long term energy reliability - utilities are consistently looking for alternatives to coal and other energy sources that are being switched out and renewables provide longevity and energy endurance for the market.
Competitive PPA price - allows utilities to deliver cost effective energy to their end users
Long term revenue - revenue streams lasting 30 to 40 years
Fixed revenue yearly - PPA pricing is normally a fixed rate based off market price, and pricing can include a yearly escalator
Sustainable - sustainability is paramount in a volatile energy market