Italian developer ERG Power Generation has signed a power purchase agreement (PPA) with compatriot utility Acea Energia for its Avigliano wind farm in home territory.
Acea Energia will offtake the entire output of the recently repowered 13.2MW site in Basilicata in southern Italy.
The utility has agreed to be supplied with a total of 1.5 terrawatt-hours through two PPAs for 2020-22.
Acea Energia said the PPAs provide for the sale of most of the power at a price defined within a “collar” to optimize the risk profile for both companies.
Acea Energia president Valerio Marra said: “We are very satisfied with the contracts that we have perfected with ERG that allow us to diversify the supply of energy for the our end customers and to guarantee a more stable price dynamic.”
“The PPA…promotes development and production from renewable sources and therefore supports the energy transition in which Acea Group is engaged,” he added.