During the procurement process, the group will need to make at least three pitches for an aggregated deal:
During the procurement process, deal champions should plan on pitching the aggregated project at least three times to key stakeholders. The first pitch focuses on getting initial buy-in from senior leadership before forming a procurement group. The second pitch presents decision makers with an overview of potential outcomes alongside specific details included in the RFP. This third and final pitch is to secure final approval to sign the contract.
While governments, public institutions, and private businesses tend to have different decision-making structures, most if not all will need to secure final approval from senior leadership. Some local governments may require a resolution or council authorization before entering into the contract.
At this stage, senior leaders and decision makers should already be familiar with the proposed aggregated deal. The final pitch should focus on the specifics of the selected project and the benefits it will bring to the local government, including the following:
- A high-level overview of the deal, including how it will benefit the local government and help achieve its climate and energy goals.
- The specific details of the final project including the partners involved, the group’s offtake structure, and basic information about the renewable project. This should include resource type, project size, and the amount of energy or RECs the local government expects to receive annually.
- The estimated financial impact of the project on the local government’s expenses, both for the first year and over the contract’s lifetime.
- A summary of any local co-benefits associated with the project (e.g., job creation, enhanced tax revenue, health benefits).
Finally, each party to an aggregated PPA should sign its own separate contract with the project owner.
Groups may choose to update their governance structures with a new governance document at this stage that clarifies how buyers will work together throughout the duration of the PPA contract.