From October 23rd to 25th, Flexidao had the privilege of attending RE-Source 2024 as a key sponsor at the annual event in Amsterdam. This gathering of industry leaders in renewable  energy saw our CEO Michael Kessler, CPO Simone Accornero, and Head of Sales Daan Terpstra take centre stage to share insights on Mastering Clean Energy Operations. We were also honored  to welcome Miguel Ángel Pescador, an EMEA Procurement Manager from Kimberly Clark, who brought valuable perspectives to the discussions, along with other global energy buyers.

In our session on Mastering Clean Energy Operations, we focused on how to simplify the complexities of clean energy management, addressing both current challenges and future opportunities. We explored ways to streamline energy operations today while laying the groundwork for the future, emphasizing the importance of accessing real-time energy and emission data, implementing end-to-end performance tracking, and managing global clean energy contracts and certificates more effectively. The session also highlighted how better data and improved practices can reduce operational costs by actively managing the risks—both volumetric and financial—associated with Power Purchase Agreements (PPAs). By optimizing the management of Energy Attribute Certificates (EACs), contracts, and invoices, organisations can gain a comprehensive and auditable view of their performance. Finally, we discussed the operational  and regulatory challenges organisations face, and how leveraging data not only helps to overcome these hurdles but also positions them for a future of energy resilience and strategic advantage.

We would like to thank everybody who attended our session on Mastering Clean Energy Operations or spoke to the team at our stand. It was great to reconnect with familiar faces and meet new ones!

Key Insights from RE-Source 

From emerging trends to new opportunities, we uncovered key takeaways that we believe are worth sharing. Here, we’ll dive into the most important discoveries and how they could shape the future of the industry. The first two key insights we gained were that de-risking Power Purchase Agreements (PPAs) is crucial to unlocking corporate clean energy demand and that guarantees of origin are the key to decarbonization tracking.

Our team also noticed that there is an increase in collaboration between procurement  and sustainability teams, working together more closely to address the operational and strategic challenges of clean energy management and reporting. Finally, Scope 3 decarbonization, specifically through reducing supplier’s Scope 2 emissions, was identified as an area of growing importance. Watch out for more blogs and insights on these key topics from Flexidao in the coming months as well! You can subscribe to our newsletter to stay informed.

‍

The Key to Unlocking Corporate Clean Energy Demand: De-risking PPAs

According to Annie Scanlan from RE-Source Platform, the European  corporate PPA market is booming in 2024, with a record-breaking  10.7 GW signed. Despite this, corporate demand still represents only 20% of the total PPA market. To meet decarbonization targets by 2040, corporate participation must increase significantly but to do so, businesses need to overcome the inherent risks associated with signing and managing  PPAs. Unfortunately this is still a complex and often daunting task. There are two crucial stages during the PPA journey, each entailing different risks:

1. Scoping and Signature:

Before diving into a PPA, companies need to align on the investment's value, objectives, and risks. Early buy-in from key stakeholders, accurate market intelligence, and access to well-organised PPA marketplaces can streamline the decision-making process and significantly reduce risk. This alignment ensures that the contract terms and project scope support long-term sustainability goals. It’s exciting to see a thriving ecosystem of solutions that tackle these needs, from procurement  advisory services to market intelligence platforms and advanced, liquid PPA marketplaces.

2. Post-Signature:

As Miguel Ángel Pescador from Kimberly Clark shared during our panel discussion, “Everyone thinks the complexities of PPAs end at signing, but the reality is that most issues arise post-signature, once they become operational.” Relying solely on developers’ data is risky, so it is crucial that companies navigate the ongoing complexities of verifying volumes, forecasting generation and cash flow, monitoring contract terms, and enforcing under performance  penalties.

This is where Flexidao’s PPA Monitoring and Risk Management solution steps in. It empowers operational  teams to minimize ownership risks and maximize the return on investment (ROI) of their PPA contracts. By offering tools to track and manage your energy generation and manage EAC’s and PPA’s efficiently, we help companies navigate the ongoing complexities of clean energy contracts.

‍

The Key to Decarbonization Tracking: Guarantees of Origin

Guarantees of Origin (GOs) have become the go-to tool for tracking decarbonization progress and supporting additionality claims. However, there are significant system improvements still needed  to build a robust, liquid voluntary certificates market. The digitalization of registries, improvements in transaction infrastructure, and increased contract standardization across Europe are essential steps toward this goal.

At Flexidao, we are committed to supporting these developments with our Global EAC management solution. By integrating with most registries across Europe, North America, APAC, and Latin America, we simplify the process of collecting, processing, and standardizing certificates, tracking balances and cancellations, and identifying clean energy coverage gaps.

‍

Procurement and Sustainability Teams are Working Closer Together

One of the most encouraging trends at RE-Source 2024 was the increased presence of sustainability professionals alongside their procurement counterparts. As companies adopt more sustainable procurement  practices, there is still work to be done in defining roles and responsibilities related to clean energy procurement and reporting.

At Flexidao, we understand  the importance of providing the right tools to support this transition. Procurement and sustainability teams must work together to ensure that clean energy procurement is not only cost-effective but also aligned with decarbonization goals. This is why we’re committed to delivering solutions that empower  both teams to collaborate effectively, making clean energy procurement and management simpler and more impactful.

‍

Scope  3 Decarbonization: Addressing  Supplier Emissions

As corporate sustainability goals evolve, Scope 3 emissions tied to supply chain activities are becoming increasingly important. Companies are also placing greater focus on supplier emissions, especially those related to Scope 2, or indirect energy use. As technologies such as AI continue to grow, the electricity consumption associated with powering these technologies is driving significant Scope 3 emissions, posing a challenge to sustainability ambitions.

This concern offers an opportunity to engage vendors across the supply chain by enabling them to monitor their consumption, purchase EACs, and allocate them effectively to offset their emissions. By providing these tools,they can significantly reduce their Scope 3 emissions and advance their decarbonization strategies.

‍

Looking to the Future

Flexidao is proud to be part of this movement, providing the necessary infrastructure to de-risk PPAs, manage renewable  energy certificates, and streamline the clean energy procurement  process. We look forward to continuing to support our clients and the broader industry in unlocking the full potential of corporate clean energy. Please feel free to reach out to any of our experts if you’d like to discuss the topics above any further or learn more about what we do at Flexidao. You can also subscribe to our newsletter to stay up to date on these key topics and other evolutions in the clean energy landscape.

‍