German speaking Analyst for leading PPA transaction firm (DK-based, student position)
Analyst Energy Markets and Infrastructure Part-time/student position – based in Denmark Get in touch Do you want to work with renewable energy, finance and advisory in an international environment, based in the heart of Aarhus? Our New Energy is currently looking for a student analyst to join our growing team, and we cannot wait to meet you. From our offices in Denmark, Spain, Germany, Italy, and Poland, Our New Energy (ONE) advises large energy consumers and leading renewable energy developers/investors across Europe. Our advisory is focused on helping our clients build more renewable energy faster, and since 2016 we have been spearheading the emerging market for Power Purchase Agreements (PPAs). As subsidies for renewable energy (wind/solar) in most European markets are being phased out, PPAs have become a key building block in the further development of wind and solar. We help our clients understand and navigate this market. Specifically, we assist them in quantifying the various risks and opportunities associated with the energy markets, and subsequently negotiating and transacting the the Power Purchase Agreement. ONE has advised and closed +6GW since 2016 with a transaction value exceeding EUR 2.5 Bil. This has positioned ONE as a leading advisor with this field. Analyst As an Analyst, we teach you everything there is to know about renewable energy, finance, and energy markets in general. As your skill set is gradually strengthened, you will assume increasing responsibility and start facing clients directly. We work with a clear career plan, and our ambition is that you transfer into a full-time position after graduation. We are open to internships and thesis collaboration as well. We work closely as a team, however, there is an expectation that from day 1 you will take responsibility for the tasks given. While the majority of your work will focus on projects in Germany, you will also contribute to selected assignments across Europe. Transaction Team You will mainly be supporting our Transaction Team, and your tasks will include market analysis, desk research, quantitative analysis and modelling in excel, preparation of presentations etc. Depending on your profile there is also scope for driving new business opportunities forward. We work on large deals with leading players across Europe. Qualifications We expect that you… Are enrolled in a Danish university in a relevant bachelor’s or master’s degree within Finance, Economics, Business Administration, Engineering, or similar with a minimum of 1½ years left of your studies. Are confident in using PowerPoint and Excel Are fluent in English and German – both written and verbal. Proficiency in other languages is a plus. Personal Skills We expect that you… Are passionate about renewable energy and wish to proactively contribute to pushing the world in a more sustainable direction. Are excited about helping develop Our New Energy’s presence in the German market and exploring new business opportunities locally. Are entrepreneurial by heart and seek responsibility. Are keen on working on many tasks at the same time and prioritize them independently. Have good social skills and enjoy iterative problem solving. Can drive your ideas convincingly and confidently in exchange with external stakeholders. Job start: as soon as possible Type: part-time/student position Location: Aarhus, Denmark Application: Cover letter, CV, and transcripts should be addressed to Mikkel Kring and Philipp Köhler on careers@ournewenergy.com. Please mark the subject Student Analyst. For questions, please contact Mikkel Kring on mkr@ournewenergy.com or +45 27 77 62 20 . Interviews will be held on an ongoing basis as applications are received.
Analyst for leading PPA transaction firm (DK-based, student position)
Analyst Energy Markets and Infrastructure Part-time/student position – based in Denmark Get in touch Do you want to work with renewable energy, finance and advisory in an international environment, based in the heart of Aarhus? Our New Energy is currently looking for a student analyst to join our growing team, and we cannot wait to meet you. From our offices in Denmark, Spain, Germany, Italy, and Poland, Our New Energy (ONE) advises large energy consumers and leading renewable energy developers/investors across Europe. Our advisory is focused on helping our clients build more renewable energy faster, and since 2016 we have been spearheading the emerging market for Power Purchase Agreements (PPAs). As subsidies for renewable energy (wind/solar) in most European markets are being phased out, PPAs have become a key building block in the further development of wind and solar. We help our clients understand and navigate this market. Specifically, we assist them in quantifying the various risks and opportunities associated with the energy markets, and subsequently negotiating and transacting the the Power Purchase Agreement. ONE has advised and closed +6GW since 2016 with a transaction value exceeding EUR 2.5 Bil. This has positioned ONE as a leading advisor with this field. Analyst As an Analyst, we teach you everything there is to know about renewable energy, finance, and energy markets in general. As your skill set is gradually strengthened, you will assume increasing responsibility and start facing clients directly. We work with a clear career plan, and our ambition is that you transfer into a full-time position after graduation. We are open to internships and thesis collaboration as well. We work closely as a team, however, there is an expectation that from day 1 you will take responsibility for the tasks given. Transaction Team You will mainly be supporting our Transaction Team, and your tasks will include market analysis, desk research, quantitative analysis and modelling in excel, preparation of presentations etc. Depending on your profile there is also scope for driving new business opportunities forward. We work on large deals with leading players across Europe. Qualifications We expect that you… Are enrolled in a Danish university in a relevant bachelor’s or master’s degree within Finance, Economics, Business Administration, Engineering, or similar with a minimum of 1½ years left of your studies. Are confident in using PowerPoint and Excel Are fluent in English – both written and verbal. Proficiency in German is a plus. Personal Skills We expect that you… Are passionate about renewable energy and wish to proactively contribute to pushing the world in a more sustainable direction. Are entrepreneurial by heart and seek responsibility. Are keen on working on many tasks at the same time and prioritize them independently. Have good social skills and enjoy iterative problem solving. Can drive your ideas convincingly and confidently in exchange with external stakeholders. Job start: as soon as possible Type: part-time/student position Location: Aarhus, Denmark Application: Cover letter, CV, and transcripts should be addressed to Mikkel Kring and Rasmus Degn on careers@ournewenergy.com. Please mark the subject Student Analyst. For questions, please contact Mikkel Kring on mkr@ournewenergy.com or +45 27 77 62 20 . Interviews will be held on an ongoing basis as applications are received.
Student Legal Manager for leading PPA transaction firm (DK-based, student position)
Student Legal Manager Energy Markets and Infrastructure Part-time/student position – based in Denmark Get in touch Company description Do you want to apply your legal training in a leading and highly specialised consulting company within the energy space? The world needs more renewable energy, and Our New Energy (ONE) is committed to facilitating this transition. ONE is one of the leading energy transaction advisory firms on market parity renewables in Europe, and we have ambitious growth plans. We assist developers and investors in renewable energy in navigating the rapidly evolving energy market. We do this by providing clear and competent transaction advisory services. We offer result-oriented and tangible real-life solutions – not merely power point presentations and ideas. At Our New Energy, the client is in focus and know that they can always expect us to deliver excellent work, no matter what. As we navigate through the renewable energy transition, our business is continuously evolving, and we need to stay at the forefront of innovation. Hence, if you are looking for an ambitious and dynamic environment alongside experienced colleagues with a strong drive and a mission to make an impact, then Our New Energy might be the right place for you. Work Tasks We are looking for 1-2 highly driven and business-oriented law and/or mercantile law students to join our team. A few examples of your responsibilities: Consulting Support: You will assist our business teams in assisting our clients in developing their business cases and in on-going negotiations Business Support: Participate in contracting and client onboarding. Streamlining and Managing Templates: You will assist in managing and updating templates and processes. HR/Company administration: As part of a group that is expanding in terms of head count, business areas and partnerships you will also have a role in both employee onboarding as well administrative operation of our companies. What We Look For We are looking for a knowledgeable person who would like to explore the legal profession outside the more traditional paths associated with law firms. We are seeking someone who can approach legal problems with a commercial outlook and help ONE to deliver innovative and value creating solutions for our clients: Experienced: We are seeking a student employee who as successfully completed their BA.jur or HA.jur. Skills: Has a good understanding of general contract law, ideally with an emphasis on energy related contracts English proficient: You are fluent in English, but the ideal candidate will also have proficiency in Italian and/or Spanish. Resilient and precise: You are energetic, pay attention to detail, can work under pressure, and persevere through adversity until the job is done — and done well. Client is king at ONE, no question asked. We do not count the hours, but we make the hours count. Passionate about sustainability: You have the ambition to change the world, and impacting the sector with your new ideas and concepts is an absolute thrill. Humble: You are eager to help and contribute to the team, at times sharing the ‘not so fun’ tasks. You are open to feedback and truly value others’ opinions. What We Offer Impact: We have contributed to more than 4.5 billion Euros of new renewables investments reaching the market (in the last five years alone!). Top-of-the-class team: You will be surrounded by an unparalleled level of talent and expertise in energy markets, all within the highly specialised sector of energy finance and sustainability business. Diverse workday: Boredom doesn’t happen here. In ever-changing renewables investment strategies, you will most likely never experience a monotonous day, and you will never know what to expect from the energy market when you clock in. International reach: Expanding from our core markets in Europe, we are present all over the world, so you will have the opportunity to work in very different markets. We expect you to be able to quickly adapt to negotiation habits from all over the world. Fun: Because work is a huge part of our days, it is essential that it is fun. That is why we celebrate our success with various social events. Location Our New Energy is a modern workplace with a flat organizational structure with a main office in Aarhus, Denmark and other offices in Copenhagen, Alicante, and Milan. You will be based at one of our Danish offices. Job start: as soon as possible Type: part-time/student position Application: Cover letter, CV, and transcripts should be addressed to Nikolaus Brost on careers@ournewenergy.com. Please mark the subject Legal Manager. For questions, please contact Nikolaus Brost on nbr@ournewenergy.com or +45 28 91 12 42. Interviews will be held on an ongoing basis as applications are received.
ITA BESS | Beyond MACSE: Alternatives Available for Italian BESS Investors
ITA BESS | Beyond MACSE: Alternatives Available for Italian BESS Investors Get in touch ITA BESS | Beyond MACSE: Alternatives Available for Italian BESS Investors Tuesday, September 30, 2025 The upcoming MACSE auction has naturally taken center stage in Italy’s energy storage sector. Yet some investors are already looking beyond the immediate results to a more diverse and enduring revenue landscape. As Italy has been preparing for this morning’s first MACSE auction, the energy storage community faces a critical question that extends far beyond the auction results. With a maximum premium set at 37,000 €/MWh-year for the 15-year delivery period—though a large share of the participants expects clearing prices to settle well below 30,000 €/MWh-year, depending on the market zone—the stakes are high. But perhaps the more strategic question isn’t who wins the auction, but rather: what lasting opportunities await projects that don’t secure MACSE support? Even as discussions around the auction reach a fever pitch, a robust merchant business case continues to remain interesting to capture the strategic value of Italian BESS. Recent developments suggest that this opportunity is compelling, even as revenue cannibalization concerns persist. If installed capacity grows in line with Terna’s ambitious targets set out in the development plan, the merchant model is set to remain strong. Two Core Revenue Streams Powering the Merchant Model Modern BESS projects thrive on two main revenue clusters, each offering distinct optimization opportunities: Time-shifting (arbitrage) on Day Ahead and Intra Day Markets– Charging during low-price periods (usually when renewables are abundant) and discharging during high-price periods (when demand rises). Our modelling for a 4h BESS shows that merchant revenues per cycle can achieve up to 60 €/MWh-cycle in the first years thanks to the time shifting activities, depending on the market zone. Ancillary services – Grid support functions such as frequency reserves, voltage support, and stability services. These are increasingly valuable as renewable penetration grows, even though the uncertainty remains high due to the ongoing regulatory change. These streams, though shaped by market dynamics, represent the intrinsic value BESS assets provide to the grid. Navigating Cannibalization: A Mature Market Outlook Revenue cannibalization is a real concern that requires dynamic strategies. For this reason, we have made a quantitative assessment of the risk in different market areas if the utility scale installed BESS capacity reaches Terna development plan’s target by 2030. Our model has shown a decrease of 10-25% of the revenues from the DAM compared to a minimal-competition scenarios, supporting viable business cases for well-positioned projects. Alternative and Complementary Revenue Streams Pioneering players are already securing value through market-based hedging structures in order to reduce the risk and enable project financing. This month, the first two tolling agreements have been closed in Italy, marking the maturation of alternative models to capture value of MACSE and beyond—or alongside—Capacity Market. These agreements can de-risk merchant exposure by fixing the totality or a part of the asset revenues. Different tolling structures are available on the market, from an “all inclusive” fixed fee to more sophisticated floor + profit sharing mechanisms. Strategic Implications for Non-MACSE Projects In conclusion, rather than seeing MACSE exclusion as a setback, strategic investors should consider: Market Differentiation – Merchant projects free from MACSE’s operational rules can pursue more agile optimization strategies. Contractual Flexibility – Market hedged projects adapt quickly to evolving signals, unburdened by incentive restrictions. Timing Advantage – Developers can align project schedules with shifting market conditions. Portfolio Balance – Blending MACSE-supported, merchant, and market hedged assets reduces concentration risk while maintaining exposure to Italy’s expanding storage sector. The Path Forward The Italian BESS market stands at an inflection point. While cannibalization requires careful management, the merchant model remains fundamentally interesting, especially in some market zones. The emergence of tolling agreements and risk-sharing PPAs shows the market evolving beyond binary “incentive vs. merchant” thinking. Success now requires combining, optimizing, and contracting different revenue streams into resilient, profitable strategies. The question isn’t whether to invest in Italian BESS after MACSE—it’s how to structure those investments to fully capture Italy’s evolving storage opportunities. At Our New Energy, we combine deep market insights with hands-on experience in battery technology to help investors navigate this dynamic landscape. From optimizing merchant revenues to designing innovative tolling and PPA structures, we support our clients in turning market complexity into strategic advantage. Whether you are exploring incentives-based projects, purely merchant opportunities, or hybrid models, our team is ready to partner with you in shaping resilient, profitable BESS investments that contribute to Italy’s energy transition while delivering attractive returns. Recent Post ITA BESS | Beyond MACSE: Alternatives Available for Italian BESS Investors ITA BESS | Beyond MACSE: Alternatives Available for Italian BESS Investors Get in touch ITA BESS | Beyond MACSE: Alternatives… Learn More 2025-09-30 Battery Tolling: The Flexible PPA Model Looking for Followers Battery Tolling: The Flexible PPA Model Looking for Followers Get in touch Battery Tolling: The Flexible PPA Model Looking for… Learn More 2025-07-28 Italian Biomethane – Navigating a Producer-Driven Market Italian Biomethane – Navigating a Producer-Driven Market Get in touch Italian Biomethane – Navigating a Producer-Driven Market Thursday, July 17,… Learn More 2025-07-28 Cargar más
Battery Tolling: The Flexible PPA Model Looking for Followers
Battery Tolling: The Flexible PPA Model Looking for Followers Get in touch Battery Tolling: The Flexible PPA Model Looking for Followers Wednesday, July 23, 2025 Article on Battery Tolling in Italy published by Qualenergia In this blog post, we are pleased to share the English version of the article originally published by Qualenergia (Battery Tolling), based on interviews with market experts including Partner at Our New Energy, Dario Gallanti, who shared his views on the use of tolling agreement and more evolved PPA structures for Italian storage. Battery Tolling: The Flexible PPA Model Looking for Followers 10 July 2025 – Lorenzo Vallecchi In Italy, interest is growing around specific PPA contracts designed to finance battery storage systems without relying on MACSE or public incentives, focusing instead on time shifting and flexibility. The classic business model for Power Purchase Agreements (PPAs), based on kilowatt-hours delivered, does not fully capture the intrinsic value of Battery Energy Storage Systems (BESS). Batteries do not generate electricity; rather, they provide flexibility and stability for both users and the grid. With batteries, when, how, and where electricity is discharged often matters more than how much is delivered. To better capture the value of storage, business models already used in the gas sector around the turn of the century are now being applied across Europe and Italy, adapted to this “new lithium era.” Among these models, the one attracting the most attention is “tolling,” applied to BESS as a variation on the PPA model for renewable energy generation. What Tolling Is—and Is Not A tolling agreement is a contract where the owner of the asset—in this case, a battery—retains ownership and operational control of the system, while granting a counterparty, the service buyer (or “toller”), the right to manage the battery, i.e., to decide when to charge and discharge. In exchange, the owner receives a fixed fee and/or a share of the generated revenues. Effectively, it’s like “renting out” the battery’s capacity and flexibility without transferring physical ownership. “In simple terms, tolling is like “leasing” a battery to maximize its value across all potential revenue streams. The optimizer can use the asset freely within predefined contractual limits, paying either a fixed price or a guaranteed minimum (‘floor’), with a revenue-sharing arrangement for any upside,” explained Dario Gallanti, Partner at Our New Energy (ONE), a leading European transaction advisory firm specializing in PPA and tolling deals, in an interview with QualEnergia.it. This type of agreement should not be confused with a simple capacity lease, where the lessee has limited or no operational control over the asset. It is essentially a private contractual model that can make a project bankable in the absence of public support schemes like Italy’s MACSE (Electric Storage Capacity Procurement Mechanism). An Alternative to MACSE In Italy, tolling is gaining traction outside the MACSE scheme, which was promoted by Terna to secure storage capacity in Central and Southern Italy. “Until a few months ago, investors relied almost exclusively on MACSE, at least in Southern Italy. But as authorizations have increased, investors have started to feel the competitive tension and the growing risk of losing auctions. As a result, they are also exploring market alternatives like tolling contracts,” says Gallanti. “The structure is straightforward: you negotiate a base price (a floor) and add a percentage split of the profit margin or upside—typically 80/20 or 90/10 depending on the floor value. We’re talking about contracts lasting 5 to 10 years, usually offered by major trading desks or utilities. In some cases, instead of a floor, it’s even possible to secure an all-in fixed price,” he explains. While there is growing curiosity around this model, it has not yet become a fully mature market. “To date, no tolling contracts have been published in Italy. We’re working on several, but battery tolling remains an emerging market,” Gallanti adds. He sees tolling as potentially working in synergy with the capacity market in Northern Italy, while in the South—although seen as the only option outside MACSE—the situation is more complex. “As with solar PPAs in the early market-parity days nearly a decade ago, many investors hope to offload most of the risk onto the offtaker while maintaining high prices. But in reality, achieving acceptable returns for this asset class requires a reasonable compromise,” he says. Time Shifting and Ancillary Services: Two Separate Worlds A positive sign for the development of the merchant market comes from Virginia Canazza, Partner at the advisory firm Key to Energy. “The merchant solution is becoming investment-grade, mostly thanks to a significant drop in capital expenditures,” she told Montel. According to her, battery revenues will come mainly from time shifting (60–70%) and partly from ancillary services (30–40%), such as balancing markets. A battery’s value comes from two key components: time shifting: arbitrage between low- and high-price hours and ancillary services: meaning reserve, balancing, frequency response, and other grid services. Gallanti notes that Italian offtakers are more open to pricing time shifting over five-to-ten-year terms, but remain skeptical about ancillary services. “With time shifting, it’s possible to reasonably model hourly price curves over 5–7–10 years—trading desks already have such forecasts. But for grid services, very few offtakers are willing to commit, due to regulatory uncertainty. So when a tolling contract asks the offtaker to cover ancillary services over the medium term, the recognized value is minimal,” he explains. As an alternative, new PPA products are emerging for BESS where only time shifting is priced with the offtaker—using a pre-agreed flexibility profile and a mid- to long-term horizon—while ancillary services remain under the asset owner’s direct control. “These structured products offer a more balanced risk allocation between parties, ensuring returns in line with investor expectations while maintaining bankability. In this setup, ancillary services revenues remain, at least partially, within the project, representing its merchant exposure and potential upside,” Gallanti clarifies. It is still essential to define technical operating constraints, which impact financial, regulatory, and engineering aspects. “A battery is not infinite. It has a limited number of cycles. Investing in a battery means purchasing a finite number of cycles. Therefore, any
Italian Biomethane – Navigating a Producer-Driven Market
Italian Biomethane – Navigating a Producer-Driven Market Get in touch Italian Biomethane – Navigating a Producer-Driven Market Thursday, July 17, 2025 In this blog post, we are pleased to share the English version of the article originally published by Staffetta Quotidiana (Biometano, orientarsi in un mercato del produttore | Staffetta Quotidiana), based on an interview with our colleague Sofia Ubaldini, who offered insights into the evolving biomethane market and the dynamics of Biomethane Purchase Agreements (BPAs) in Italy. Sofia Ubaldini from Our New Energy explains the key points of a BPA contract Biomethane is currently virtually the only viable tool for decarbonizing sectors that are not easily electrifiable, such as heavy transport or industry. However, supply remains limited and is expected to stay that way in the foreseeable future, shifting the balance of power in favor of producers—as is evident in the emerging market of Biomethane Purchase Agreements (BPAs) for molecule trading. Staffetta spoke with Sofia Ubaldini of ONE – Our New Energy, a consulting firm that has specialized in designing Power Purchase Agreements (PPAs) for renewables and is now also active in the BPA space, particularly in the application of Article 5-bis of the Agriculture Decree, which has expanded access opportunities to biomethane for hard-to-abate sectors. The scheme primarily involves two main players: the biomethane producer—usually using agricultural waste—and the industrial consumer, with the addition of a third party: the shipper. The shipper is responsible for transporting the molecule through the gas infrastructure, and sometimes also acts as a commercial counterparty. The Agriculture Decree stipulates that the buyer acquires the green gas along with its Guarantee of Origin (GO) at no additional cost, effectively paying for biomethane at the price of fossil gas. For the producer, nothing changes compared to the standard framework laid out in the 2022 incentive decree: they receive the commodity price from the buyer and the difference between that price and the incentivized tariff from the GSE, without having to deduct the value of the GO, which is transferred for free. In this context, the BPA becomes an additional revenue stream for the producer—on top of the primary income from incentives—through a premium that the consumer agrees to pay in order to secure the supply. The negotiation of this premium, Ubaldini explains, is understandably the core of any BPA deal. However, it’s not the only issue on the table: other topics include tax treatment, the shipper’s role, potential valorization of by-products (e.g., compost, CO₂), minimum quantity commitments, and operational management. “It’s a market that’s heavily tilted in favor of producers,” she notes. “There are few producers and many potential hard-to-abate clients, which is why the market favors the former.” Potential buyers fall into several categories: companies subject to the EU Emissions Trading System (ETS), for whom buying biomethane means eliminating associated costs, and non-ETS industries that are still hard-to-abate and thus interested in green gas for sustainability reporting purposes. The price of an emission allowance (EUA), currently around €15/MWh as per the 9-year EEX average, is the key benchmark in premium negotiations. This premium can be fixed or variable—indexed to market trends—but in both cases, it’s linked to EUA values, following a logic in which the consumer shares part of the avoided EUA cost benefit with the producer. For companies not subject to ETS, the sustainability level of the biomethane is also significant. This depends on how it’s produced, Ubaldini explains. For sustainability reporting, it matters whether the molecule guarantees an 80% reduction in emissions compared to reference fuel—the minimum level required to nullify ETS obligations—or whether it achieves 100% or even 120% reductions, as in the case of carbon-negative biomethane produced with CO₂ capture. Another key aspect is the role of the shipper, who can act as a mere “courier,” delivering the molecule from production to consumption site, or as a full-fledged buyer-reseller. This leads to differences in taxation and risk allocation, and consequently affects the level of the fee involved—typically borne by the consumer in either case. Among many other issues to address in a BPA, Ubaldini adds, are how to ensure supply starts on schedule even if the plant launch is delayed, how to guarantee minimum volumes, how to define the consumer’s role—who, according to the ministerial decree, has a say in operational management—and how to market by-products like compost or, in the future, captured CO₂. Going forward, the balance of power is still expected to favor producers. “Biomethane availability is extremely variable,” Ubaldini concludes, pointing upstream to the issue of feedstock availability. “This is a concern especially in more advanced Northern European markets, where producers, aware of the risk, are negotiating long-term feedstock agreements.” In the coming years, demand for green gas will further increase with the implementation of ETS2. One limitation in the Italian context, she notes, is the heavy reliance on incentives. This in turn hinders the development of a Guarantees of Origin and sustainability certificate market, and slows integration with the European market, as incentivized plants are not allowed to export GOs abroad, while merchant-based plants are not currently economically viable. This is not the case everywhere, Ubaldini explains. “In Spain, for instance, plants are being developed without significant incentives, thanks to cross-border certificate trading in Central Europe (e.g., Germany) and the UK,” driven by strong demand from sectors with decarbonization obligations set by EU regulations like RED II. Recent Post Battery Tolling: The Flexible PPA Model Looking for Followers Battery Tolling: The Flexible PPA Model Looking for Followers Get in touch Battery Tolling: The Flexible PPA Model Looking for… Learn More 2025-07-28 Italian Biomethane – Navigating a Producer-Driven Market Italy Launches a Public Guarantee Scheme for PPA Default Risk: Market Innovation or Redundant Layer? Get in touch Italian Biomethane… Learn More 2025-07-28 Italy Launches a Public Guarantee Scheme for PPA Default Risk: Market Innovation or Redundant Layer? Italy Launches a Public Guarantee Scheme for PPA Default Risk: Market Innovation or Redundant Layer? Get in touch Italy Launches… Learn More 2025-07-28 Cargar más
Italy Launches a Public Guarantee Scheme for PPA Default Risk: Market Innovation or Redundant Layer?
Italy Launches a Public Guarantee Scheme for PPA Default Risk: Market Innovation or Redundant Layer? Get in touch Italy Launches a Public Guarantee Scheme for PPA Default Risk: Market Innovation or Redundant Layer? Tuesday, July 8, 2025 By Laura Susta In Brief On June 20, 2025, the Italian government adopted a long-anticipated ministerial decree to activate a national platform for the negotiation of renewable energy PPAs, complemented by a state-backed guarantee scheme. Under this scheme, Italy’s GSE will intervene as a “guarantor of last resort” in case of counterparty default. This mechanism, developed under the REPowerEU reforms, sets a precedent in Europe — but it raises questions on its necessity and effectiveness for a market that thrives on tailored bilateral agreements. The Core of the Decree The decree, adopted jointly by the Ministry of Environment and Energy Security and the Ministry of Economy and Finance, implements Article 28 of Legislative Decree 199/2021. Key provisions include: The creation of a new organized market platform (MPPA) managed by the GME for long-term renewable PPAs. The GSE will serve as a guarantor of last resort, stepping in to fulfil the obligations of a defaulting party, whether seller or buyer, within certain financial limits. The platform is voluntary, and only counterparties that pass GSE-defined eligibility and financial criteria can participate. The guarantee mechanism is limited to €45 million/year for 2025–2027, financed via ETS auction proceeds. Contracts must have a duration between 5 and 10 years and follow standardized formats similar to those of the existing MTE (Mercato a Termine dell’Energia). The GSE will define “prezzo di riserva” (reserve prices) to apply in case of substitution. ARERA will set the fees that parties will pay to access the guarantee service, within 90 days from the decree’s entry into force. The EU Context: A First-of-its-Kind Model The measure draws its legitimacy from the EU Electricity Market Design reform, which calls on Member States to eliminate unjustified barriers to PPAs and promote aggregation and guarantee tools. While Spain and France have introduced similar support schemes, key differences remain—and both have seen limited market uptake. Unlike Italy, neither country operates a centralized trading platform, offering “only” credit guarantees that cover up to 80% of PPA termination costs, and focusing primarily on shielding industrial offtakers. Italy’s model is more balanced, offering symmetrical support to both buyers and sellers, and uniquely integrates a state-operated trading infrastructure. A Useful Tool, but Not a Game-Changer From the perspective of investors and corporate buyers, the guarantee may ease concerns in isolated cases, such as with smaller offtakers or developers with limited track records. However, given the current maturity of the Italian PPA market, the core value of these contracts still lies in their flexibility: custom tenors, price structures (e.g. pay-as-produced, baseload, floor), indexation clauses, ESG linkages, and carefully negotiated risk allocations. The platform is voluntary and built around standardized contracts, which may limit its appeal for sophisticated market players seeking tailored arrangements. Given the persistently low liquidity on the EEX Italian forward market—where no volumes are traded beyond year Y+3—it is difficult to foresee significant trading activity on the MPPA under a standardized product structure. Furthermore, credit risk is only one of many variables in a PPA: this scheme does not address risks related to shape, volume, imbalance, regulatory shifts, or offtake strategies. While the guarantee may offer a degree of additional security, particularly for new entrants, it is unlikely to substitute the need for thorough credit diligence, structured contracts, and tailored negotiation, which remain essential. What It Means for Market Participants For developers: The platform may help de-risk certain transactions, particularly with mid-sized industrial offtakers. However, developers with large pipelines will likely continue to pursue bilateral deals. For offtakers: The GSE backstop may lower entry barriers for buyers who might otherwise struggle to obtain parent guarantees or LC coverage. Yet, larger corporate buyers seeking custom structures and full hedging will find limited added value in the standardized format. For banks and investors: This may reduce perceived credit exposure in limited cases, but is unlikely to fundamentally shift underwriting criteria. As such, the decree may be more symbolically important, representing Italy’s commitment to scaling renewables and improving market liquidity. Final Takeaway Italy’s new GSE-backed PPA platform introduces a bold, state-supported innovation, potentially inspiring similar mechanisms elsewhere in the EU. However, its practical impact on the PPA market remains to be seen. For now, the most bankable and strategic PPAs will likely remain outside the platform — negotiated directly, privately, and uniquely. 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Analyst/Consultant, Energy Markets & Infrastructure (full-time, Spain)
Advisor Energy Markets and Infrastructure Full-time – based in Spain Get in touch Job title: Advisor, Energy Markets & Infrastructure Location: Alicante, Spain About ONE Our New Energy (ONE) is a Tier 1 transaction advisory firm uniquely positioned at the confluence of energy markets and strategic consulting within the dynamic green energy and infrastructure sectors. We are more than advisors; we are architects of the energy transition, providing unparalleled insights and strategic guidance to a global clientele. Our mission extends beyond mere transactions; we facilitate complex deal structuring, catalyze investment and drive profound value creation that accelerates the world’s shift towards sustainable energy. At ONE, we pride ourselves on a culture of intellectual rigor, quantitative precision, and a profound understanding of intricate market dynamics, enabling us to navigate and influence the most complex energy landscapes. We tackle challenges that demand deep analytical acumen, innovative solutions, and a truly global perspective. Key Responsibilities: The successful candidate will undertake a diverse range of tasks, predominantly supporting the Partner and the broader ONE team in Alicante, including but not limited to: Renewable Energy Project Support: Conducting in-depth analysis and due diligence for renewable Power Purchase Agreements (PPAs), project development and investment opportunities in solar, wind, batteries, etc. Quantitative and Financial Modeling: Developing and refining sophisticated financial and quantitative models for project valuation, risk assessment and market forecasting. Market Research & Analysis: Performing comprehensive market research, data analysis and preparing insightful studies on energy market trends, regulatory frameworks and competitive landscapes. Client Engagement & Presentation: Supporting client advisory mandates, preparing high-quality presentations, reports and analytical outputs for both internal and external stakeholders whilst assisting in client communication. Strategic Platform Development: Contributing to the continuous strategic development and enhancement of ONE’s proprietary quantitative and Artificial Intelligence platform. Interdisciplinary Project Involvement: Participating in cross-functional projects that span from early-stage research and development to the execution of complex energy transactions. Qualifications & Desired Profile: Linguistic Proficiency: Fluency in both Spanish and English is mandatory. Proficiency in any other language will be considered an advantage. Quantitative & Scientific Acumen: A strong academic background with a robust foundation in quantitative disciplines (e.g., Engineering, Mathematics, Physics, Computer Science, Economics, Finance or related fields). Demonstrated analytical and problem-solving capabilities are essential. Sector Interest: A keen interest in and, ideally, foundational knowledge or prior exposure to the energy sector, particularly renewable energy and electricity markets. Experience: Previous professional experience is not a prerequisite for this role, though relevant experience in finance, consulting, or the energy industry will be viewed favorably. Interpersonal & Communication Skills: Exceptional interpersonal, communication and presentation skills are required, given the direct client interaction and collaborative nature of our work. The ability to articulate complex ideas clearly and concisely is paramount. Why Join ONE? Joining Our New Energy means becoming an integral part of a forward-thinking collective that is actively shaping the future of global energy markets. This is not merely a job; it is an opportunity to immerse yourself in unparalleled professional development, gaining hands-on experience in high-stakes projects that define the trajectory of the energy transition. You will: Engage with Cutting-Edge Projects: Work directly on projects that blend sophisticated financial engineering with deep technical understanding of renewable energy assets, from nascent development to large-scale investment. Learn from Industry Leaders: Collaborate closely with, and receive mentorship from, Partners and senior advisors who are recognized experts in their respective fields across diverse energy market disciplines. Contribute to Tangible Impact: Your analytical contributions will directly inform strategic decisions, influence significant capital flows, and contribute to the tangible realization of a sustainable energy future. Thrive in a Collaborative Environment: We foster a culture where intellectual curiosity is celebrated, challenges are met with collective intelligence, and continuous learning is embedded in our daily operations. Experience Rapid Growth: Given ONE’s dynamic growth trajectory and the evolving nature of the energy sector, this role offers exceptional opportunities for accelerated professional advancement and skill diversification. Application Process: Interested candidates are invited to submit their CV and a cover letter detailing their motivation and suitability for this role to careers@ournewenergy.com.
ITALY – The effects of ARERA Resolution 128/2025/R/EFR on different PPA structure
ITALY – The effects of ARERA Resolution 128/2025/R/EFR on different PPA structure Get in touch ITALY – The effects of ARERA Resolution 128/2025/R/EFR on different PPA structure Thursday, June 19, 2025 By Sofia Ubaldini Until March 2025, all RES assets in Italy were potentially subject to curtailment orders by the TSO. However, only wind assets were eligible for financial compensation, as curtailment frequency was considered material only in their case. With Resolution 128-2025-R-efr.pdf, effective April 1, 2025, the Italian energy regulator ARERA has extended this compensation mechanism to all RES technologies, including PV assets. This marks a significant shift in regulatory recognition: PV curtailment is now acknowledged as potentially sustained and economically relevant, warranting a compensation framework. Therefore, through such Resolution, ARERA has extended this compensation mechanism to all RES plants, including PV assets. Under the new regime, PV operators are entitled to compensation for curtailed production, calculated as: Day-ahead zonal price (€/MWh), times Estimated producibility of the asset during curtailed hours The Market Operator (GSE) will determine, on behalf of Terna, the estimated producibility. While the official calculation methodology has yet to be published, it is expected to align with that used for wind assets and be based on solar irradiation data during the relevant curtailment periods. GSE is expected to confirm that compensation will apply retroactively from April 1, 2025, even if the calculation methodology is formalized at a later date. Implications for PPAs: «Pay-as-Produced» No Longer Equals «Pay-as-Shined» This resolution introduces a fundamental shift in how PV production profiles are treated under long-term Power Purchase Agreements (PPAs). Historically, PV curtailments were so negligible that the commonly called «pay-as-produced» (PaP) profile, meaning the electricity produced and delivered at the grid injection point, effectively matched a hypothetical «pay-as-shined» profile, i.e. the theoretical production based on solar irradiance. This meant the injected profile accurately reflected actual solar conditions. After the publishing of Resolution 128/2025, with recognized and compensated curtailments, this equivalence no longer holds. As curtailments increase, the volume of energy delivered to the grid may deviate more significantly from the asset’s theoretical producibility. How to align PPAs to this new mismatch? The following considerations have to be seen as commercial guidelines, while a legal due diligence on each existing PPA has to be conducted. On merchant PPAs In merchant PPAs it is normally agreed that whatever benefit is recognized to the trader from Terna is passed through to the asset. Please note that balancing costs are usually not charged on the curtailed volumes on which the curtailment compensation is calculated. On Fixed price PPAs If the PPA contract refers to actual injections into the grid, the PPA price implicitly assumes curtailment-free conditions with full solar cannibalization on the off-taker. However, this not commercially consistent with the reality, implying the need to commercially re-negotiate some of the PPA terms. There are two commercial approaches that are mostly being discussed to account for the effect of the new resolution: Keep the current PaP definition (payment on injected energy) but adjust the PPA price upwards to reflect the fact that during curtailed hours the PPA is not paid, leaving part of the solar cannibalization risk on the producer. Maintain the existing PPA price but redefine the profile to reflect «pay-as-shined», based on the asset’s theoretical production, and thus settling also in curtailed hours.This is the most widespread approach at the time being. Broader Considerations: Volume Commitment and Availability Guarantee Operationally, Resolution 128/2025 might also introduce implications for other commercial clauses of the PPA (if provided for in the contract): GOs and electricity volume commitment Availability Guarantee Relationships with the BRP, if the PPA is physical For tailored advice or to discuss how Resolution 128/2025 could impact on your ongoing and future PPA contracts, do not hesitate to reach out to our Italian team. 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Student Analyst for leading PPA transaction firm (DK-based, student position)
Analyst Energy Markets and Infrastructure Part-time/student position – based in Denmark Get in touch Do you want to work with renewable energy, finance and advisory in an internal environment, but based in the heart of Aarhus? Our New Energy is currently looking for a student analyst to join our growing team, and we cannot wait to meet you. Company description From our offices in Denmark, Spain, Germany, Italy, and Poland, Our New Energy (ONE) advises large energy consumers and leading renewable energy developers/investors across Europe. Our advisory is focused on helping our clients build more renewable energy, faster, and since 2016 we have been spearheading the emerging market for Power Purchase Agreements (PPAs). As subsidies for renewable energy (wind/solar) in most European markets are being phased out, PPAs have become a key building block in the further deployment of wind and solar. We help our clients understand and navigate this market. Specifically, we assist them in quantifying the various risks and opportunities associated with the energy markets, and subsequently negotiating and transact the Power Purchase Agreement. ONE has advised and closed + 5GW since 2016 with a transaction value exceeding EUR 2.5 Bil. This has positioned ONE as a leading advisor within this field. Analyst As an Analyst, we will teach you everything there is to know about renewable energy, finance, and energy markets in general. As your skill set is gradually strengthened, you will assume increasing responsibility and start facing clients directly. We work with a clear career plan, and our ambition is that you transfer into a full-time position after graduation. We are open to Internships and thesis collaboration as well. We work closely as a team, however, there is an expectation that from day 1 you will take responsibility for the tasks given. You will be involved in projects across Europe, aiding our colleagues in our offices in Germany, Spain, and Italy on their local cases. You will refer directly to one of our Danish partners. Transaction Team You will mainly be supporting our Transaction Team, and your tasks will include market analysis, desk research, quantitative analysis and modelling in excel, preparation of presentations, etc. Depending on your profile there is also scope for driving new business opportunities forward. We work on large deals, with leading players across Europe. Qualifications: We expect that you… Are enrolled in Denmark in a relevant bachelor’s or master’s degree within Finance, Economics, Business Administration, Engineering, or similar with a minimum of 1½ years left of your studies. Are very confident in using PowerPoint and Excel Are fluent in English – both written and verbal. Proficiency in other languages is a plus. Personal skills: We expect that you… Are passionate about renewable energy and wish to proactively contribute to pushing the world in a more sustainable direction. Are keen on working on many tasks at the same time and prioritize them independently Have good social skills and enjoy iterative problem solving. Possess the confidence to effectively communicate and promote your ideas when engaging with external stakeholders. Job start: as soon as possible Type: part-time/student position Cover letter, CV and transcripts should be addressed to Mikkel Kring on careers@ournewenergy.com. Interviews will be held on an ongoing basis as applications are received.
