Document background
A Green Power Purchase Agreement (PPA) is a crucial document for organizations seeking to procure renewable energy in Hong Kong's evolving energy market. This agreement type is particularly relevant given Hong Kong's commitment to carbon neutrality by 2050 and the increasing demand for sustainable energy solutions. The document establishes the commercial and technical framework for renewable energy transactions, incorporating specific requirements under Hong Kong's electricity regulatory regime, including compliance with the Scheme of Control Agreements and Feed-in Tariff schemes. It is typically used when companies seek to secure long-term renewable energy supply, demonstrating environmental commitment while managing energy costs. The agreement covers essential elements such as energy pricing, delivery terms, environmental attributes, and risk allocation, tailored to Hong Kong's unique market structure where two utility companies dominate the electricity supply.
