What are non-utility generators?
What are non-utility generators?
An independent power producer (IPP) or non-utility generator (NUG) is an entity that is not a public utility but owns facilities to generate electric power for sale to utilities and end users.
What is IPP contract?
PPA – Power Purchase Agreement: Contract between the utility or other customer to purchase electricity from a power generation facility. IPP – Independent Power Producer: Private or public corporation who is in the business of developing power projects, often globally.
How do IPPs work?
Independent Power Producers (IPPs) or non-utility generator (NUG) are private entities (under unbundled market), which own and or operate facilities to generate electricity and then sell it to a utility, central government buyer and end users.
How do independent power producers make money?
Independent power producers sell electricity on the open market. They are fueled by coal, oil, and gas, as well as renewable sources like solar and wind. Though the price of the fuel required to generate this energy, natural gas, is down, this is not creating extra power capacity.
What is captive generation?
From Wikipedia, the free encyclopedia. A captive power plant, also called autoproducer or embedded generation, is an electricity generation facility used and managed by an industrial or commercial energy user for their own energy consumption.
What is PPA rate?
The PPA rate usually increases by 1-5% each year for the contract term (i.e. a price escalator) to account for gradual decreases in system operational efficiency, operating and maintenance costs, and increases in the retail rate of electricity. PPAs are generally long-term agreements of 10-25 years.
How many power stations are in Nigeria?
Nigeria has 23 power generating plants connected to the national grid with the capacity to generate 11,165.4 MW of electricity. These plants are managed by generating companies (Gencos), independent power providers and Niger Delta Holding Company (NIPP).
Who regulates independent power producers?
The CAISO is regulated by the Federal Energy Regulatory Commission (or FERC), an independent federal agency that regulates the interstate transmission of electricity, natural gas, and oil. The California Public Utilities Commission regulates investor-owned utilities operating in the CAISO balancing authority area.
