Watershed, a U.S.-based enterprise decarbonization platform, has partnered with renewables marketplace Ever.green to establish a fixed-priced virtual power purchase agreement (VPPA).
A VPPA is a multi-year bilateral renewable energy contract, which does not include the physical energy delivery from a vendor to a customer.
Watershed customers such as Samsara, Stripe, and TaskUs, will support the company in building a new 10 mega-watt solar plant in Laredo, Texas. According to Watershed, the fixed-priced VPPA is a simpler structure that allows businesses to fix their long-term costs, avoiding the risks of the volatile pricing typical for a traditional VPPA. At the same time, the deal with Ever.green still increases the project’s likelihood to receive full financing by decreasing the overall financial risk.
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“We’re working with Ever.green to develop the tools to launch us into the climate economy by enabling meaningful climate action by companies of all sizes,” said Taylor Francis, co-founder of Watershed. “This fixed-price VPPA lets Watershed customers lock in years of renewable energy production that would not exist without their commitments.”
As the world’s leading companies double down on ambitious climate goals, we’re making it easy for any company, regardless of size or sector, to fulfill those commitments toward a clean grid,” said Michael Leggett, co-founder of Ever.green.
Earlier this year, Watershed partnered with Frontier to help accelerate the development of CO2 removal technology by enabling CDR purchases at a wider range of commitment sizes for Watershed customers.
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