Power Purchase Agreement
A Power Purchase Agreement (PPA) is a business contract used in renewable energy projects, like solar or wind farms. It's a long-term agreement where one company agrees to buy clean energy from another company that produces it. Think of it like a subscription service - the buyer gets guaranteed clean energy at a set price, and the seller gets guaranteed income. Companies often mention PPAs in job descriptions because managing these agreements is a key part of renewable energy jobs. Similar terms you might see are "Energy Procurement Contract" or "Renewable Energy Agreement."
Examples in Resumes
Negotiated Power Purchase Agreement terms for 500MW solar project
Managed portfolio of PPA contracts worth $50M annually
Led due diligence for multiple Power Purchase Agreements across wind and solar sectors
Typical job title: "PPA Managers"
Also try searching for:
Where to Find PPA Managers
Professional Organizations
Job Boards
Professional Networks
Example Interview Questions
Senior Level Questions
Q: How would you evaluate the risks in a long-term Power Purchase Agreement?
Expected Answer: A strong answer should discuss checking the financial stability of both parties, understanding energy price forecasts, considering regulatory changes, and having backup plans if either party can't fulfill the contract.
Q: What strategies would you use to negotiate better PPA terms?
Expected Answer: Should mention understanding market rates, flexibility in contract length, pricing structures, and how to balance risk between buyer and seller while maintaining good relationships.
Mid Level Questions
Q: What are the key components of a Power Purchase Agreement?
Expected Answer: Should mention energy price, contract duration, delivery points, payment terms, and performance guarantees. Should also understand basic legal requirements.
Q: How do you ensure compliance with a PPA?
Expected Answer: Should discuss tracking energy delivery, monitoring payments, maintaining documentation, and regular review of contract terms to ensure both parties meet obligations.
Junior Level Questions
Q: What is a Power Purchase Agreement and why is it important?
Expected Answer: Should explain that it's a contract for buying renewable energy, helping companies secure clean energy supply while giving producers stable income.
Q: What's the difference between physical and virtual PPAs?
Expected Answer: Should explain that physical PPAs involve actual delivery of electricity, while virtual PPAs are financial agreements that help support renewable energy projects.
Experience Level Indicators
Junior (0-2 years)
- Basic understanding of energy contracts
- Contract administration
- Data tracking and reporting
- Understanding of renewable energy basics
Mid (2-5 years)
- Contract negotiation
- Financial analysis
- Risk assessment
- Relationship management
Senior (5+ years)
- Strategic planning
- Complex deal structuring
- Market analysis
- Team leadership
Red Flags to Watch For
- No knowledge of energy markets
- Lack of contract management experience
- Poor understanding of renewable energy basics
- No experience with financial analysis
Need more hiring wisdom? Check these out...
Workforce Solutions Aggregators: The Next Big Thing You Didn't Know You Needed
When Your Team Sells You Better Than Marketing Ever Could: The Power of Employee Advocacy
How to Choose the Right AI-Powered ATS for Your Company
