LevelTen Energy says it offers power purchase agreements (PPAs) through several renewable energy auctions.
According to LevelTen, power purchase agreements usually take 12 months to complete, and the longer the process, the greater the risk of deal failure. In 2022, 20 percent of negotiated power purchase agreements did not materialize, according to a study by European developers.
Seattle-based LevelTen aims to streamline the PPA process by connecting experienced developers with motivated buyers. Developers can initiate a PPA auction by working with LevelTen to create PPA terms that reflect current market conditions.
LevelTen’s buyer network, including companies and energy advisors, has access to PPA’s offerings. Developers can also invite their own buyer networks.
Buyers indicate their interest by submitting an offer along with key information such as credit rating and PPA experience. According to LevelTen Energy’s forecast, the whole process will take about 12 weeks.
Once the offer is selected, the parties can proceed to close the deal. According to Flemming Sørensen, European Vice President of LevelTen Energy, the developers cited disagreements over prices and contract terms.
In 2022, European companies contracted 6.6 GW, which corresponds to 11 percent of new solar and wind power capacity. LevelTen’s platform, including the LevelTen Energy Marketplace, provides access to more than 4,500 PPA quotes in 28 countries across North America and Europe.