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Build longer-term revenue certainty
around your renewable production

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Bij Scholt staan diversiteit, gelijkheid en inclusie centraal. Verschillende perspectieven versterken onze cultuur en stimuleren innovatie. Zo creëren we een omgeving waarin iedereen zich welkom voelt en samen kan groeien.

CPPA

A CPPA creates a structured commercial link between your renewable generation and one or more corporate energy users. This can give your project greater revenue predictability over a longer period while Scholt manages the market and operational framework.

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Long-term assets need a deliberate revenue strategy

A wind or solar installation produces over many years. Selling that production solely against short-term market prices leaves revenues exposed to changing market conditions throughout that period.

For some producers, that exposure is intentional. For others, longer-term price visibility is important for investment decisions, financing or portfolio risk management.

At the same time, corporate energy users increasingly seek direct, traceable access to renewable production.

A CPPA connects those two commercial needs. 

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CPPA

What is a CPPA?

SDE Outperformer

 

A Corporate Power Purchase Agreement is a longer-term arrangement that commercially links renewable generation to corporate electricity demand.

Within Scholt's existing structure, you continue to operate your renewable installation and inject electricity into the grid. Scholt Energy purchases the generated electricity together with the associated Guarantees of Origin where agreed.

We then supply that electricity and the corresponding GvOs to one or more corporate off-takers under the CPPA structure.

The electricity follows the asset's actual generation profile, creating a transparent commercial relationship between renewable production and corporate demand.

The agreement typically contains longer-term pricing arrangements. The precise duration, price mechanism, volume treatment and allocation of risks are contract-specific. 

In practice

How does a CPPA work?

1.

Structure the commercial agreement

The producer's generation profile, corporate demand, term, price arrangement, renewable attributes and risk allocation are brought together in a suitable contract structure. 

2.

Produce and deliver renewable electricity

You continue operating your solar or wind asset and feed the generated electricity into the grid. 

3.

Scholt purchases the production

Scholt Energy purchases the agreed renewable production and associated GvOs under the producer-side agreement. 

4.

Connect production to corporate demand

 Scholt supplies the electricity and corresponding renewable attributes to one or more corporate off-takers under the agreed CPPA structure. 

5.

Manage the market processes

Scholt manages forecasting, balancing, imbalance management, financial settlement and GvO administration within the agreed framework. 

Trends

What does this mean for your business case?

A CPPA changes the balance between short-term market exposure and longer-term revenue visibility
Relevance

When is a CPPA relevant?

 This may be relevant if you... 

  • want greater visibility over renewable electricity revenues for a longer period;
  • want to connect your production to identifiable corporate demand;
  • are developing or operating a solar or wind project with a long investment horizon;
  • want electricity and associated GvOs incorporated into one commercial structure;
  • need a clear allocation of forecasting, balancing and settlement responsibilities;

A Full Flex PPA may be more suitable when you want greater exposure to wholesale-market movements and more active control over hedging.

For a qualifying Dutch project where the SDE methodology is central to your revenue model, SDE Outperformer may offer a better-aligned structure. 

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Scholt Energy manages the route from production to market

You own and operate the renewable installation.
 
The corporate off-taker provides the underlying long-term demand within the agreed structure.
 
Scholt Energy acts as the commercial and operational link between both sides. We purchase renewable production and associated GvOs, supply these to corporate customers and manage the market processes required between production and consumption.
 
Our existing CPPA proposition includes contract structuring, electricity procurement, onward supply, BRP activities, forecasting, imbalance management, financial settlement and GvO administration.
 
This lets both producer and off-taker focus on their own operations while responsibilities around the energy market are clearly organised.”

From long-term offtake to active asset optimisation

A CPPA establishes the route to market, but it does not mean an asset has no further optimisation potential.

If the producer grants the required rights and the asset is technically suitable, flexibility can potentially be added alongside the core CPPA. Balancing, congestion management, curtailment or storage may then create another way for the asset to respond to market conditions.

These opportunities should be assessed separately so that optimisation does not undermine the agreed CPPA obligations. 

Trends

Why work with Scholt Energy?

Connection between producers and corporate demand

Scholt already operates on both sides of the market, purchasing renewable production and supplying business energy users. 

 
Complete operational framework

Our existing proposition covers structuring, procurement, supply, forecasting, balancing, financial settlement and GvO administration. 

 
Balancing responsibility

Scholt's BRP capabilities allow us to manage the difference between forecast and actual renewable production within the agreed structure. 

 
Renewable attribute administration

Electricity and associated Guarantees of Origin can be incorporated into the commercial connection between producer and corporate off-taker. 

 
Flexibility beyond the PPA

Where contractually and technically appropriate, Scholt's flexibility capabilities can create a bridge from long-term offtake towards wider asset optimisation. 

 
FAQ

What others ask

 

How long does a CPPA last?

A CPPA is generally a longer-term arrangement, but there is no single duration that applies to every Scholt contract. The appropriate term depends on the project, off-taker and commercial objectives. 

Does a CPPA always use a fixed price?

Not necessarily. Scholt's current proposition typically refers to longer-term fixed pricing, but the exact pricing mechanism is contract-specific and should be established during structuring. 

Who is my contractual counterparty?

This depends on the final CPPA structure. Scholt's current model positions Scholt Energy as the commercial intermediary that purchases renewable production and connects it to one or more corporate off-takers. The exact contractual relationships must be clear in the individual agreement. 

What happens if actual production differs from the forecast?

Renewable production naturally varies. Scholt manages forecasting and balancing within the agreed CPPA framework. The contract defines how production volumes, deviations and related risks are treated commercially. 

What happens to my Guarantees of Origin?

Where included in the CPPA, the associated GvOs are purchased and administered alongside the renewable production and transferred through the agreed structure to the corporate off-taker. 

Does a CPPA make my project bankable? A longer-term revenue agreement can contribute to revenue predictability, which may be relevant to financing. Whether a specific CPPA is sufficient for project financing depends on the contract, counterparties, project economics and requirements of the financing parties. 
Can a CPPA include flexibility? Potentially. If the producer grants the necessary rights and the asset can respond, Scholt can assess balancing or congestion-market opportunities. Any flexibility activity must respect the obligations of the underlying CPPA. 
Can I switch from a CPPA to another structure later? That depends on the term and conditions of the existing agreement. The route-to-market strategy can be reconsidered when contractual windows allow. Scholt has already used different structures sequentially for renewable projects, but the suitability must be assessed project by project. 
Take action

Build a CPPA around your production and commercial objectives

A useful CPPA starts with your asset rather than a standard contract template.

Discuss your production profile, existing commitments, preferred contract horizon and revenue objectives with our specialists. Together, we can assess whether corporate offtake fits your project. 

Rick Cuijpers (web)