Description
Course length: 3 days
Course description
This course will help the participants to be able to know the details on becoming a PPA negotiation practioner and return with a toolbox of checklists covering the many facets of the PPA process. This course runs through all forms of energy risk from the market, through to credit, liquidity, operational with a particular focus on regulatory risks in the key power markets of Africa and a comparison to Europe and the UK. At the end of this course, participants will be able to negotiate or review a PPA.
Who should Attend
Personnel from:
- Electric Regulation and ministries
- Utility companies
- Banks
- Energy supply companies (Oil, Gas, Coal, renewable)
- Law Firms
- Consultancy Firms
- ERP Contracting companies
What you Will Learn
- Overview of how power markets work
- Understand how to anticipate and mitigate risk through the PPA process
- Negotiating a PPA
- Key provisions of a PPA and its impact on project financing
- What banks and investors want
- Understand power purchase agreement regulation
- Understand credit risk in the PPA process
Course Outline
Day 1: Selling and Buying Power Purchase Agreements
- Speed Networking
- Generation Assets
- Tool1: Cost Data Bank & Levelised Cost of Electricity
- Selling a PPA: Power Generation Assets Overview
- Buying a PPA
- Main Types of Power Station Fuel
Day 2: Market & Regulatory Risk
- How market works
- Electricity Price Risks and How They Mutate
- Case Study: Origin Energy
- Workshop: PPA Negotiation
- Power Purchase Agreement Regulation
- Workshop Captains of Collateral: How to monitor credit margining capital for your PPA.
- Dynamics of Power Markets Across the World
- The Role of Power Purchase Agreements in Investment
- Case Study: Bank Lending to the European and UK Power Markets in 2002.
Day 3: Trading Power Purchase Agreements
- Introduction to the Trading Floor
- A second return to the Biggest Challenges of delegates attending from Day 1
- Identifying Operational Risks
- Morning Workshop – Capabilities
- Internal Risk Systems –Which One Is Right for You?
- Credit Risk is an Endemic Feature of the Global Power Market
- William’s Case Study “Out Of Business in 10 Days”
- Interactive Discussion of key points from each section
- A final return to the Biggest Challenges of delegates attending from Day 1
