What is PPA?
Power purchase agreement. Contract to buy electricity from a generator at agreed terms.
market swings · PPA fixed $45/MWh
In real work
PPA price escalator kicks in year three. Model cash flows for the portfolio review.
In the illustration
MWh tokens flow from the farm meter to the buyer; a market price needle swings up and down, but the contract's price wheel stays locked at $45/MWh.
Model the PPA in your operations platform: fixed price versus market for the next ten years of expected output, and the year the fixed price stops paying off.
Try it now
The fastest way to learn a word is to use it. Open this line in the agent you already work in and watch what it does. Change the tool to the one you use.
Go further
01Practice
Make it stick
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02Verify
Prove you know it
Pass the quiz and keep it in a Skills Wallet you can share with anyone who needs proof.
03Career
Find the work that uses it
See which roles lean on this vocabulary, and what they pay in year one.
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