Power Purchase Agreements (PPA) Hedging
Trading at EEX increases security and standardisation of Power Purchase Agreements (PPA) hedging and, as a result, provides the tools to actively support the energy transition in Europe. By hedging long-term price risk via our standard EEX power futures, we enable our members to hedge against the risk of future price changes up to six years ahead.
On 27 September 2021, EEX extended the number of tradable yearly maturities for German, Italian and Spanish Power Futures from the current six to ten calendar years. This enhancement enables customers to hedge their price exposure up to 10 years in advance which will facilitate PPA hedging on the exchange and promote the integration of renewable energy into the power market.
Cooperation with Pexapark to enhance Risk Management Solutions for Renewable Energy Operators
EEX has entered into a cooperation with Pexapark, a leading specialist for renewable energy sales and risk management. Both companies aim to unite their unique capabilities to enhance pricing visibility and market-based risk management solutions for renewable energy projects in Europe. This collaboration will expand trading solutions for hedging renewable energy, ultimately increasing sustainability and growth in the power markets.
The cooperation focuses on promoting market-based instruments to hedge price risk in renewable energy assets, for example by means of Power Purchase Agreements (PPAs), and to enable the transition from support mechanisms to subsidy free power markets.