Virtual PPAs explained
On a napkin Developer sells power to grid at floating LMP VPPA Contract for differences fixed price: $X/MWh settle vs LMP Corporate buyer buys retail power ...
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Your energy desk reference. Visual explainers on markets, grid operations, clean energy, policy, procurement, and efficiency — each designed to read in under 10 minutes.
On a napkin Developer sells power to grid at floating LMP VPPA Contract for differences fixed price: $X/MWh settle vs LMP Corporate buyer buys retail power ...
On a napkin Battery 4-hour BESS 1 MW / 4 MWh Battery management Energy arbitrage — charge $20, discharge $100 spread × efficiency × cycles = annual revenue ...
On a napkin Developer wind / solar / storage needs offtake to finance PPA contract $/MWh fixed price 10–25 year term volume: all output RECs included Offtaker ...
On a napkin GW 30 20 10 Peak ramp Duck belly — solar trough midnight noon midnight sunset ramp starts gross load net load (duck) The short version The duck ...
On a napkin Solar array Inverter Grid / market sell at LMP Battery store midday solar discharge at peak Revenue stack Energy — sell generation at LMP Arbitrage ...
On a napkin Renewable electricity wind / solar Electrolyzer splits water H₂O → H₂ + O PEM / alkaline H₂ green hydrogen zero-carbon Industrial heat / chemicals ...
On a napkin Renewable generator 1 MWh generated = 1 REC created WREGIS / GATS registry Bundled REC travels with the power (PPA / green tariff) Unbundled REC ...
On a napkin Export cable to shore CF: 40–60% stronger / steadier winds CapEx: $3,000–6,000/kW vs $1,200/kW onshore Jones Act vessels critical supply constraint ...
On a napkin Wind turbine Key economics drivers Capacity factor Onshore: 25-45% Offshore: 40-60% PTC revenue ~$27/MWh base 10-year term Curtailment risk ...
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