German renewables asset manager CEE Group has invested in bolstering its power purchase agreement (PPA) and energy trading capabilities.
CEE has made the investment to manage market volatility, enhance revenues and support its growth as the European renewable energy market moves beyond government supported feed-in tariff mechanisms.
The asset manager, which has 1.4GW and €2.1bn of solar and onshore wind assets in Germany, Denmark, Sweden, the Netherlands, France and Spain, has undertaken a “substantial upgrade” of its capabilities for pricing, analysis and monitoring of energy risk and revenues.
It is doing this by working in close cooperation with Pexapark and has also invested in capabilities enabling it to undertake due diligence when acquiring projects that already have PPAs as well as for sourcing offtakers and designing PPAs for plants that do not have agreements in place as well as for managing exposure along the entire lifecycle of the respective investment.
With PPAs needing to be managed throughout the project’s operating phase, this is particularly important, stated CEE.
The change in approach has recently led to the execution of a number of agreements with European offtakers in Germany and Spain, enabling CEE Group to secure prices during an “unprecedented period of price volatility in continental energy markets”.