Alaska Powerline
Alaska Powerline
Alaska Power Association
Evaluating the Benefits & Challenges of Power Purchase Agreements
31 minutes Posted Aug 11, 2025 at 7:06 pm.
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A Power Purchase Agreement, or PPA, is a contract allowing an electric utility to purchase power from a nonutility electricity generator for a predetermined price and period of time. These contracts can help cooperatives increase reliability by having more resources available to meet load demands. However, the decision to enter into a PPA should be made carefully. Travis Million, CEO of Golden Valley Electric Association, discussed how economics, reliability, rates and weaknesses in i...