More PPA deals in Europe, smaller sizes, says Pexapark

But deal volumes are down compared to 2023, Pexapark noted, with October 2023’s monthly disclosed deal volume standing at 1,490MW, 14.7% higher than October this year. As there were more deals overall in October this year than in 2023, Pexapark said the figures indicated more deals of smaller volumes.

“The average PPA size [year to date] has decreased from 73MW in 2023 to 56MW in 2024. This comes down to fewer very large PPAs announced this year but more companies with smaller appetite for volumes,” Pexapark said.

The largest deal in October was in the UK, signed between Quinbrook Infrastructure Partners and supermarket giant, Tesco, as covered by our sister-site Solar Power Portal. The 15-year deal involves a 242MW share from the 373MW Cleve Hill solar-plus-storage project, making it Tesco’s largest PPA to date.

Meanwhile, telecoms firm Cellnex and Elawan Energy inked a 10-year, 200MW PPA linked to one onshore wind and three solar PV projects in Spain.

Pexapark’s figures revealed a fall in the value of PPA deals, with the average price in October falling 1.7% month-on-month to €49.24/MWh (US$52.09/MWh).

The UK saw the biggest price movement, recording a drop of 6%, which Pexapark said was due to a decline in some future power prices.