Transport for Greater Manchester is to enter into a power purchase agreement with AGR Power covering 42 GWh/year, broadly equivalent to the amount of power currently used to run the Metrolink light rail network and over half of TfGM’s current energy usage.
PPAs are long-term contracts where an organisation buys renewable energy at a fixed price from a company which produces it, protecting against spikes in energy prices caused by geopolitical or supply issues while also reducing overall running costs.
Under the proposed 20-year agreement, renewable electricity generated by AGR’s solar development at Burwell in Cambridgeshire which is to open in 2028 would be supplied to the National Grid. In return, TfGM would benefit from a long-term supply of renewable energy at an agreed price.
