Document background
A Physical Power Purchase Agreement (PPA) is used when a power generator agrees to physically supply electricity to a buyer under Austrian law. This document is essential for businesses seeking to secure long-term electricity supply or for generators looking to ensure steady revenue streams. The agreement must navigate both Austrian national regulations (particularly the ElWOG 2010) and EU energy directives, making it a complex instrument that requires careful consideration of technical, commercial, and regulatory requirements. It's particularly relevant in the context of renewable energy projects, industrial power supply arrangements, and corporate energy procurement strategies. The document typically includes detailed provisions for physical delivery points, volume commitments, pricing mechanisms, grid access, balancing responsibilities, and regulatory compliance measures specific to the Austrian electricity market.
