Green Brain Academy

Electricity Market Modeling Workshops

Electricity Market Modeling

Merit Order of Energy Markets
Forecasting electricity prices is one essential element in the pricing of Power Purchase Agreements (PPA). Our workshops provide a 360° overview of the fundamentals and mechanisms of electricity markets. You will get familiar with different modeling structures of power markets as the Merit Order model. With this knowledge, you will become a better negotiator by understanding major market drivers of PPA prices.

Selected contents of our workshop formats:

  • Key contents of electricity price reports
  • General structure of fundamental models
  • Modeling the Merit Order
  • Sensitivity analysis & simulation

Key content of Financial Modeling:

Our electricity market modeling workshops offer the basis to conduct a comprehensive and in-depth analysis of your independent renewable energy projects and track the overall project value regarding the Merit Order model and different pricing scenarios. Key contents of the workshops are:
  • Power market fundamentals
  • Systemizing the costs of electricity
  • Introducing the Merit Order model (excluding and including renewables)
  • Input data used for electricity market modeling
  • Excel-based modeling the Merit Order model
  • Implementation of different pricing scenarios
Grenn Brain Academy for Developer

Financial Modeling Workshops for Offtakers & Developers:

Electrcity market Modeling for Off-takers

For Offtakers / Industrial Consumers:

Electricity market modeling and the corresponding electricity price forecast are fundamental parts of your commercial analysis of Power Purchase Agreements (PPA). It would help if you had those price forecasts to understand your future costs related to PPAs better. In this context, it is crucial to understand the potential drivers of electricity markets and the interaction between different power markets.
Furthermore, it is necessary to comprehend these models' input parameters and the method used for calculating these price forecasts. Those aspects represent the core of our excel-based workshop which enables you to understand third-party power price reports correctly and choose the best data for negotiating the optimal structure of your Power Purchase Agreement.
Eelctricity Market Modeling for Developer

For Renewable Energy Producers / Developers:

The electricity price forecast is one of the most important input parameters in your financial model, having an enormous impact on PPA prices and PPA structures (e.g. pay as produced vs. fixed volume). However, only using forecasted prices without understanding the method behind those calculations induces a higher model risk and a higher risk of misleading decisions.

Our excel-based workshop perfectly prepares you to handle power price reports from third-party advisors and run your internal model. Through the gained knowledge, you will create a more robust business case in negotiations with your PPA counterpart and capital providers like equity investors or banks.

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