Overview of the Cross-border cPPA

An Innovative Energy Solution for Deutsche Telekom’s Green Goals

Deutsche Telekom’s commitment to 100% renewable energy has taken a significant leap with a pioneering cross-border Corporate Power Purchase Agreement (cPPA) in partnership with Rezolv Energy. This 12-year agreement delivers over 100 GWh of clean wind power annually, sourced from the Vifor project in Romania.

By addressing key challenges like currency fluctuation and energy price discrepancies, this deal ensures Deutsche Telekom’s operations in Czechia and Slovakia are powered by sustainable, reliable energy, supporting their long-term green energy objectives.

Yearly Volume100GWH

Expected CODEnd of 2025

Duration12YEARS

Offtakers

Industry: Telecom
Countries: Czech Republic and Slovakia
Countries: T-Mobile Czech Republic (50 GWh) CE Colo Czech Republic (10 GWh) Slovak Telekom (40 GWh)

Generating Asset

Project: Vifor
Country: Romania
Technology: Wind Onshore
Installed capacity: 461 MW
Development stage: In construction
Owners: Rezolv Energy

Navigating Cross-border Complexities

Overcoming the barriers of Cross-border cPPAs

Deutsche Telekom faced several challenges in securing renewable energy through a cross-border cPPA. These included the lack of wind-based energy offers in Czechia and Slovakia, currency risks between countries, and differences in renewable energy certification schemes. By partnering with Rezolv Energy, these challenges were tackled head-on, with buyer-friendly solutions that minimized risk while ensuring a steady supply of green energy.

Challenges faced by Deutsche Telekom

Green energy challenges

  • EBRD Performance Requirements (PR) for 2019, as outlined in the EBRD's Environmental and Social Policy
  • “Green” electricity compliant with RE100

Low availability of new or existing wind onshore projects in Czechiaand Slovakia

  • Limited installed capacity of wind projects (3 MW in Slovakia and 340 MW in Czechia) and distant pipeline of new capacities at the moment of signing
  • Lack of cPPA offers for wind profile from projects located in the countries

No interest in signing a purely solar cPPA

  • Local cPPA offers only from PV projects
  • Lack of willingness to sign cPPA only with solar technology due to solar “profile cost”/cannibalization and coverage of consumption mainly during peak hours and summer months

Unwillingness to bear specific Cross-border cPPA risks

  • “Basis” risk – spread between wholesale energy prices in various countries (e.g. Slovakia and Romania)
  • Currency risk – Fluctuations in FX rate
  • Different GoOs schemes – Romania is not a member of AIB, which results in no possibility of transferring GoOs to Slovakia/Czechia

Innovative Solutions toOvercome Barriers

Solution

Cross-border virtual wind cPPA with Project Vifor
(owned by First Look Solutions S.R.L & Rezolv Energy)

Reasoning

  • Competitive price
  • No cross-border specific risk borne by offtaker – implemented buyers friendly solutions
  • Early start of contract settlement
  • Smooth signing process ensured by professional teams at Rezolv Energy
  • The only available wind cPPA offer in the countries