Engerati | Competition for flexible asset PPA deals on the rise, say analysts

There is currently around 10.8GW of operational flexible capacity in the GB market. Much of this capacity will be self-traded by the asset owners. However, a growing amount is instead being traded under third-party PPAs/optimisation deals.

Our ‘Flexible asset PPA market’ report found that well over 4GW is under some form of third-party PPA, with future growth set to be dominated by new battery storage and gas assets.

The number of market participants that are providing PPA/optimisation deals is also growing. Currently, there are more than 20 offtakers (broadly defined as licenced parties) identified to be active in trading third-party flexible assets. There are also many other optimisers/independent flexibility providers (broadly defined as unlicensed parties who often partner with offtakers for market access) offering similar forms of service.

Tim Dixon, Wholesale Team Lead

Engerati