PPA: stability and sustainability through long-term power purchase agreements
Power purchase agreements (PPAs), also known as long-term electricity purchase agreements, provide predictability and stability to both the power generator and the purchaser. At Fortum, we proudly extend our commitment to sustainability by providing access to carbon-free electricity sourced from our reliable generation assets located in Finland, Sweden, and Norway.
Numbers we are proud of
9248 MW
Generation capacity
98%
of our power generation is CO₂-free
800 MW
Our ready to build wind and solar power pipeline by 2026
PPA with Fortum
With our widespread physical presence across the Nordics, we offer a diverse range of electricity-related services tailored to meet your needs.
In our PPAs, we provide various profiles including pay-as-produced for wind and solar energy, as well as annual and monthly baseload options for hydro and nuclear power.
Additionally, we offer market access through balancing services, particularly beneficial for wind parks, and assist in monetising the flexibility of your assets through Fortum's Spring flexibility services.
Why should you sign a PPA with us?
- Fixed electricity price guaranteed for years to come up to 15 years.
- Stability and predictability for your future electricity supply.
- By signing a PPA contract, you lock in a steady, competitively priced electricity supply.
- Tailor-made PPAs available from our production areas with preferred origin and duration, including new investments and existing generation.
- With a guarantee of origin (GO) certificate, you have proof that the electricity is from CO2-free sources, ensuring transparency and confidence in meeting environmental and sustainability targets.
- A power purchase agreement (PPA) offers a simple way to fulfil your electricity needs using CO2-free energy.
PPAs promote decarbonisation
Power purchase agreements play a crucial role in driving the transition to renewable energy and supporting decarbonisation. By providing developers with guaranteed revenue streams, PPAs facilitate the deployment of CO2 -free energy projects. They incentivise the construction of new capacity and enable the retirement of carbon-intensive generation assets. You can contribute to the energy transition by choosing electricity from one of our wind or solar parks.
Fortum and Borealis are on a joined mission to lower CO2 emissions with a PPA - read more.
Unlocking sustainable energy solutions together
At Fortum, we see the value in collaborative efforts to achieve CO2-free energy goals. By partnering with us, you can leverage our expertise and resources on topics like: SMR nuclear, hydrogen, CO2-free and industrial site development.
Clean hydrogen, produced from renewable electricity, offers a viable alternative to fossil fuels and raw materials in industry, transportation, and energy sectors. We continuously seek industry partners to advance the development of the hydrogen economy.
Contact us
Rikard Dagerbäck
Sales Manager, Scandinavia
Tel: +46 73 758 2872
rikard [dot] dagerback [at] fortum [dot] com
Hassan El Mahdi
Sales Manager, Sweden
Tel: +46 70 859 3503
hassan [dot] el [dot] mahdi [at] fortum [dot] com
Frequently asked questions
What is a PPA?
PPA is a contractual arrangement between a power generator and purchaser, where the latter agrees to purchase electricity from the producer at a predetermined price and duration. PPAs are pivotal in electricity markets for securing stable long-term energy supply for consumers.
What are the benefits of PPA?
PPAs offer numerous benefits. They provide financial certainty for both producers and consumers, stimulate investment in CO2-free energy projects, and contribute to the reduction of greenhouse gas emissions and environmental impact.
Why choose Fortum for a power purchase agreement?
Fortum offers a reliable and sustainable option for power purchase agreements. With a strong presence in the Nordics and a diverse portfolio of CO2-free energy assets, Fortum provides tailor-made PPAs to meet your specific needs.
By partnering with Fortum, you can access clean and competitively priced electricity while demonstrating your commitment to sustainability and environmental responsibility.
Who is involved in the PPA business and why?
For large industrial customers, securing a reliable and cost-effective electricity supply is essential for their operations. Power purchase agreements serve as a cornerstone in meeting this need by providing long-term contracts for purchasing electricity directly from CO2-free energy sources.
What is a corporate PPA?
A corporate power purchase agreement is a PPA that is signed between the producer and the end consumer. The other case is that there is a power utility company between the two parties. Fortum is both the physical power provider and the power utility company. Therefore, you will always get flexible and customised solutions to meet your specific needs.
What happens after signing a PPA?
Once you've signed a power purchase agreement with us, the process moves through several key stages ensuring all terms and conditions are met.
If we are developing a new project for your power needs, we will start or continue with project development and construction, handling tasks like securing permits and building necessary infrastructure.
Throughout the agreement, we monitor and manage performance to ensure the power generation facility meets agreed-upon standards.