Equinix Inks 10MW Virtual PPA in Singapore

Equinix has signed a 20-year 10MW virtual Power Purchase Agreement (vPPA) with Tokyo Electric Power Company (TEPCO) in Singapore. Under the terms of the agreement, 

Equinix will offtake power from a portfolio of rooftop solar assets, with a maximum capacity of 10MW. The assets are owned and operated by a Special Purpose Vehicle established by TEPCO and ESR Group. 

Unlike a physical PPA, a vPPA is a scheme that allows power producers to supply offtakers with power using a price-hedge mechanism to settle the difference between a fixed price and a floating price determined by a price index, rather than physically delivering the energy.