S&P, Pexapark partner to develop new PPA benchmark

• S&P Global Commodity Insights has actually partnered with renewables advising company Pexapark to produce a new power purchase agreement (PPA) benchmark.

Together the two companies will certainly produce daily consumer price index that intend to bring better transparency as well as danger assessments in renewable energy markets by incorporating Platts' benchmark proficiency with the advisory firm's pricing references of PPAs throughout European markets.

The joint growth of renewable resource price indices will assist in the growth of PPAs as it will produce benchmarks for the marketplace with Pexapark offering reviewed prices for PPAs in solar and also wind, according to S&P Global.

Price volatility in Europe has put under restraints PPA market with solar prices elevating as much as 38% this year, peaking at EUR105.99/ MWh (US$ 110.3/ MWh) in 12 May as well as presently at nearly EUR90/MWh as well as with countries like Spain and also Germany covering huge cannibalisation threat, according to a report from Pexapark published in June.

Alan Hayes, head of energy shift pricing at S&P Global Commodity Insights, stated: "This new household of renewable resource indices will incorporate the independence and also methodology rigor of Platts benchmarking processes with Pexapark's established price information, innovation and experience in this expanding and also essential field."