Bloomberg New Energy Finance (BNEF) in a report revealed that corporations entered into a record number of PPAs – short for power purchase agreements – in 2017 in the domain for green energy. This welcome development was a result of the sustainability initiatives and lessening cost of renewables.

As per the report, in all energy contracts worth 5.4GW were signed by corporations numbering to 43 in 10 countries in 2017. In was increase from the 4.3 GW signed in 2016 and 4.4GW in 2015. This impressive increase came despite an evolving policy that could impact corporate procurement in the Europe and the U.S., two of the main markets.

U.S. and Europe Frontrunners in PPAs

The U.S. was at the forefront of power purchase agreements in 2017, with 2.8GW worth of PPAs signed by corporations. This was an increase of 19% from 2016. The most noteworthy of them was Apple’s 200MW PPA to purchase electricity from the Techren Solar project. This is touted as the biggest ever agreement signed in the U.S. between a utility and a corporation.

Meanwhile, European countries, not to be left behind, accounted for about 1GW worth of PPAs signed. Norway, Netherlands, and Sweden accounted for about 95% of this volume. The most prominent deal in the region has been that of aluminum producer Norsk Hydro’s tie up to purchase 650MW Markbygden Ett wind farm in Sweden, between 2021 and 2039.

Apart from Europe and the U.S., where the main action centered on, Egypt, Burkina Faso, Ghana, Eritrea, Panama, Namibia, and Thailand accounted for most PPAs in the developing world.