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Renewable Exchange vs. PPA auctions: What’s the best way to sell your power?

January 29 2025

One of the most common questions we are asked by prospective clients is whether they should sell their power through a PPA marketplace such as Renewable Exchange, or in a PPA auction.

This question really comes down to why Renewable Exchange exists—we believe in giving generators back control over their power and their incomes.

Our platform allows you to register an asset for free, track bespoke prices, then respond to market price signals to tender and secure your PPA at the optimal time- rather than waiting for a PPA auction to come around only to find prices have dropped. It’s a model that works in the favour of generators, unlike auction models that often do not.

 

Why Tendering with Renewable Exchange is Superior to PPA Auctions:

 

1. You Stay in Control

In auction-only systems, you have little to no control over the pricing process. Brokers may insist you participate in an auction where prices are dictated by market conditions, often leading to suboptimal returns.

Renewable Exchange’s tendering model flips the script. You receive competitive bids from multiple buyers, allowing you to compare offers and choose the one that best aligns with your goals. The control is entirely in your hands.

2. Market Visibility

Auctions often lack transparency—leaving you uncertain about whether the final price truly reflects the market value of your electricity. Renewable Exchange’s tendering process provides full visibility into offers and pricing, ensuring you’re making informed decisions.

3. Tailored Solutions, Not Standardised Rates

Auctions typically deliver a single outcome, with limited flexibility in contract terms. Through our tendering process, you can explore customised PPA structures, whether you prefer fixed-rate, floating, or hybrid contracts across multiple duration options.

4. Avoid Market Volatility

Auction prices can fluctuate dramatically based on market demand at the time of bidding. Renewable Exchange’s tendering process allows buyers to evaluate your project’s unique value and submit competitive offers without being swayed by short- term market swings.

5. Maximised Revenue Potential

By receiving multiple bids in a transparent tendering environment, you’re assured of securing the best possible deal for your electricity. Auctions often result in “winner’s curse” scenarios, where the final price benefits the buyer far more than the generator.

 

Tailored Solutions for Every Generator:

 

1. Institutional Investors: Large Portfolios

For institutional-scale operators, tendering with Renewable Exchange offers portfolio-wide optimisation. Our platform ensures that every asset—regardless of size—achieves competitive, tailored PPA terms, freeing you from the constraints of auction-only processes
that fail to adapt to your unique requirements.

2. Medium-Scale Generators: Growing Ambitions

For operators managing multiple assets or mid-sized projects, Renewable Exchange provides the tools to tender PPAs efficiently. By avoiding auctions, you can ensure that your electricity fetches true market value, without being tied to rigid auction timelines or fluctuating prices.

3. Small-Scale Generators: Farmers and Community Projects

For smaller operators, the auction model can feel overwhelming and limiting. Renewable Exchange makes it easy to tender your electricity, even if you’re new to the market. Whether you’re maximising FIT payments or exploring REGO opportunities, we guide you through the process with simplicity and clarity.

 

Why Renewable Exchange Works for All Projects, From Development to Operation:

 

Route to Market: Developing a new project? Tendering with Renewable Exchange
connects you with buyers who see your project’s long-term value—not just its market
snapshot during an auction. We could also help with your application for CfDs.

Post-FIT Opportunities: We help existing generators navigate life beyond FIT
payments, offering clear and competitive options to maximise revenue.

Monetising REGOs: Many generators overlook the potential of REGO certificates.
Renewable Exchange ensures you capitalise on this often-untapped revenue stream.

 

Don’t let brokers or auctions dictate your outcomes. With Renewable Exchange, you’re in charge, backed by a platform that delivers transparency, flexibility, and results.

Get started today by registering your renewable asset for free, giving you access to site-specific bespoke PPA forecasts.

Alternatively email [email protected], call us on 0117 405 7931

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