PPA structuring process steps:
1. Defining PPA strategy: Crafting a successful PPA journey begins with a clear strategy. We collaborate with you to set business objectives, risk appetite, and sustainability goals to formulate a robust PPA strategy.
2. Commercial and legal evaluation: We ensure that the strategy not only aligns with your financial objectives but also adheres to regulatory and contractual obligations.
3. Identification of offtakers: Our thorough analysis of market trends, creditworthiness, and alignment of values, will help you pinpoint the offtakers that match perfectly with your strategic vision.
4. Running the tender: Leveraging our extensive industry network, we conduct a competitive tender process that boosts market participation. Our priority is to attract offers that enhance your revenue streams while keeping an eye on associated risks.
5. Evaluation of offers: Rigorous analysis is at the core of our process. We evaluate offers on a variety of metrics such as price, delivery structures, inherent asset risks, contractual terms, to ensure the fulfillment of your long-term objectives.
6. Shortlisting offtakers: Following an in-depth evaluation, we shortlist the offtakers that best meet your strategic and financial criterias to the next stage for more in-depth discussions.
7. Negotiation of term sheets and risk evaluation: We will engage with shortlisted offtakers to ensure that main contractual terms and conditions do not go against your key objectives. Term sheets will be evaluated according to commercial and legal risk-linked metrics.
8. Selection of final offtaker: After evaluating the individual term sheets, a decision will be made with you to nominate the offtaker that best suits your strategic objectives to move to final PPA contract negotiations.
9. Negotiation and execution of PPA contract: Joined by legal experts, we will ensure that the selected PPA offer is translated into a comprehensive and equitable contract. We work to minimize ambiguity, allocate risks effectively, and safeguard your long-term interests.
Synertics provides advisory services and develops digital data-driven solutions for the energy industry with the purpose of driving productivity and transferring knowledge.