- Better Energy has signed a PPA with Centrica Energy Trading for 112 GWh solar power annually
- The 2 projects that are part of the contract are currently under development
- This contract will support the development of the 2 projects to be developed without state subsidies
Independent solar power producer Better Energy has entered into a long-term power purchase agreement (PPA) with Centrica Energy Trading for 112 GWh clean energy annually in Denmark that it expects 2 solar parks to produce on completion. Both projects of undisclosed capacity are currently under development.
This PPA allows Better Energy to go ahead with the 2 new solar parks to develop these without state subsidies, power generated by which will be handled and traded by Centrica in the next decade and add it to the European power grid.
“The world will have a massive need for renewable energy in the near future. Therefore, it is critical that both corporations and energy commodity traders focus on additional energy today,” said Better Energy’s Executive Vice President for Power Solutions, Peter Munck Søe-Jensen. “To reach both short-term and long-term European climate goals, we need to expand solar power – quickly – and our deal with Centrica is an important step in the right direction.”
With renewable energy sources as wind and solar becoming cost competitive in the country, the Danish market is moving towards more PPA based systems, however government needs to ensure enough availability on the grid for this clean energy with a timeline, according to the EU Market Outlook for Solar Power 2021-2024 (see SolarPower Europe Says EU Added 18.2 GW Solar In 2020).
In the report, SolarPower Europe (SPE) said it sees the country among the top 10 markets adding the largest solar volumes in the European Union over the next 4 years. According to the report, till the end of 2020 Denmark’s total installed PV capacity was 1.7 GW. SPE analysts see the aggregate growing to 4.4 GW by 2024 in the medium scenario forecast.
In December 2020, Better Energy secured a partnership with Danish pension fund Industriens Pension to support 1 GW subsidy free solar PV capacity in Denmark and Poland (see 1 GW Subsidy Free Solar Partnership For Europe). It followed up with another PPA with 7-year duration, for a 34 MW subsidy free solar park with global pharmaceutical company Lundbeck.
