Power Trading works with a proven set of capital and development partners that specialize in a geographic region, transaction model or both. Power Trading has successfully structured Power Purchase Agreements , Solar Lease Agreements, and initiated partnership-flip transactions. We know that investing in a energy project can require a significant outlay of time, capital, and resources. That's why we offer a simple set of financing solutions to help bring your project to life quickly.
Direct Purchase Financing
Full ownership of energy systems are the most financially rewarding for tax-paying corporations. Power Trading will simplify the complex financing process and create a custom, integrated finance solution for your business.
Power Purchase Agreement - PPA
PPA's are a financing method where a third party owns and operates the energy system and leases the energy produced to the property owner at a discounted rate. These agreements are simple for property owners, reduce energy bills, and require zero capital outlay.
A solar lease is similar to a conventional equipment lease and, like a PPA, can provide a business with significant economic benefits with no required upfront capital investment. With a 15 – 20 year lease term, a property owner can realize an immediate savings of up to 20% off their current energy bill.
Commercial Financing Proposals
Please send us a message if you are interested in what return on investment a energy system can provide your commercial property and we will generate a custom finance model and preliminary quote for your project.
Types of Open Accessa) Depending upon Duration of Transactions :
- SHORT TERM : contracts exceeding 1 month but less than 6 months.
- MEDIUM TERM : contracts exceeding 3 months but less than 3 years.
- LONG TERM : contracts exceeding 12 years but less than 25 years.
b) Depending upon the energy trading platform :
- I. Collective (Through Exchanges) : Electricity can be purchased directly from the two energy exchanges in India through trading members of the Exchange. The two energy exchanges are IEX(Indian Energy Exchange) & the PXIL (Power Exchange of India Ltd.). This also permits collective buying & selling through the process of bidding.
- II. Bilateral Contracts / OTC : In these transactions, Electricity can be directly purchased from specified power generators (CPPs, IPPs, MPPs) by a specified Buyer. The specific point of injection and point of drawal can be fixed mutually. Varying quantum of power (MW) can be taken for any time period during a month. To facilitate this, CERC has issued licenses to Power Traders to ensure smooth operations of these contracts.
Statutory Requirements for Trading Power :
- Demand should be atleast 1000KVAH.
- Connected to atleast 11KV line.
- Should have .2S class CT/PT.
- Should have .2S class ABT meter.
- Consent from Discom/SLDC to trade power.
Different types of power sources are available in the market. Green Power has been gaining relevance in the power scenario in India with rise in Green Energy Portfolio. The major reason for this is implementation of Renewable Energy Certificates (REC's). and Renewable Power Purchase Obligation (RPPO). Consumers can directly purchase power from Renewable sources and, hence, contribute to environment protection through Carbon Emission Reduction and become responsible Citizens. Large MNCs have been using green energy in their power portfolio to meet their sustainability criteria.