Hamburg/Essen, GERMANY – 10 February 2020 – innogy SE today announces to make parts of its renewable energy portfolio available to corporate energy buyers on DNV GL’s digital platform Instatrust, a renewable energy marketplace for renewable power purchase agreements (PPAs), providing the first major commitment on the marketplace for renewable energy trading.
Instatrust is a global digital marketplace connecting corporations committed to buying clean energy with suppliers of wind and solar energy. Instatrust uses a scoring methodology to allow potential corporate off-takers to screen projects in an online tender tool to easily source, screen and analyse wind and solar assets.
The renewables segment of innogy SE confirms to add 770 MW of renewable energy from PV and onshore wind projects across seven countries and across the globe to the Instatrust platform, opening their asset portfolio to interested corporate energy buyers. All of these projects are in an advanced development stage or already under construction. Being at the forefront of this merchant risk renewables era, innogy is of the opinion that it has tailored solutions for corporate organisations and therefore makes a part of its renewable energy portfolio available to interested renewable energy buyers with the goal of providing forecastable income for its projects.
“We did a thorough review of digital energy-trading platforms available on the global market and were looking for a solution that was user-friendly, provides ease of use and complete independence. DNV GL’s digital marketplace Instatrust combines all those features in one platform and together with the deep-rooted market expertise of DNV GL’s energy experts we are confident that the marketplace is ideally placed to speed-up and simplify the power purchase agreement process. Renewable energy usage is becoming more and more a service over a commodity according to us and digitisation enables us to connect easier and earlier with the right partners,” said Roland Kok, Head of Customer Solutions at innogy’s Renewables segment.
In 2019, corporates have more than doubled the volume of green power purchase directly, through Power Purchase Agreements, reaching a record of 19.5 GW or roughly 10% of the global volume of renewables installed last year1. Energy buyers intending to purchase renewable energy seek a streamlined tender process where renewable energy projects can be sourced and screened centrally. Simultaneously, they need to assess operational, weather volume, credit and price risks, to keep an overview of the growing PPA market.
Ditlev Engel, CEO of DNV GL’s Energy, said “We see that hundreds of corporations worldwide are committed to run their operations on 100% renewable energy. This new interest from corporations in clean energy trade requires a connection between suppliers and buyers of renewable energy, based on expertise, to allow transparent deals in renewable energy. We are very pleased that innogy is joining Instatrust, adding their diverse range of renewable energy projects to the platform, stimulating global growth of the PPA market and the uptake of clean energy worldwide, accelerating the energy transition.”
innogy owns and operates around 3,600 megawatts2 of renewable energy in ten countries with further wind and solar projects under construction and a development pipeline of 6.9 gigawatt.
“innogy trusting us to support them in accelerating their offering towards corporate energy buyers is a very exciting step for both companies. It is a clear indication that DNV GL’s Instatrust platform has a role to play to bring more transparency to the corporate PPA market and increase players’ confidence,” added Caroline Brun Ellefsen, Global Head of DNV GL’s Instatrust.
With energy buyers seeing opportunities to reduce energy costs, price volatility and their carbon footprint, they have strongly increasing interests to close power purchase agreements with renewable energy sellers. As renewable energy sellers want to reduce their exposure to merchant risks and to ensure the bankability of their projects, a platform to link these needs between each other solves their challenges.
More information about DNV GL’s digital marketplace Instatrust can be found here
1) Based on BloombergNEF (BNEF) 1H 2020 Corporate Energy Market Outlook, published 28 January 2020. BNEF mentioned in its report that some 19.5GW of clean energy contracts were signed by more than 100 corporations in
23 different countries in 2019. This was up from 13.6GW in 2018, and more than triple the activity seen in 2017. For further information: https://about.bnef.com/blog/corporate-clean-energy-buying-leapt-44-in-2019-sets-new-record/
2) As of 31 August 2019; 3.6 GW pro-rata view. innogy has further renewable capacity of 0.4 GW in consolidated participations related to the Grid & Infrastructure and Retail segment.
DNV GL – Instatrust Communication Manager