Advisory company Colliers advised CP Development on the conclusion of an fPPA (physical PPA) for the purchase of energy from renewable sources for one of its Warsaw office buildings, Central Point. Colliers’ scope of work included market analysis, selection of the optimal purchase model, as well as negotiation and implementation of the PPAs. The energy supplier and balancing entity is e.ON Polska.
Green energy will be supplied to the Central Point high-rise building from two photovoltaic farms of 868 kWp and 998 kWp. With this, its owner has joined the growing ranks of conscious investors committed to decarbonising their assets.
“Entering into PPAs is becoming an increasingly popular solution in the real estate industry, for several reasons. Firstly, the use of green energy enables building owners and managers to generate real savings, and secondly, it fits in with meeting environmental reporting requirements and climate targets – their own and their tenants’. In addition, it increases the value of the property,” says Mariusz Szymoński, property manager of Central Point from Colliers.
PPAs are just one of the solutions a property owner can opt for as part of the decarbonisation process. Others include replacing fixtures with LEDs or sealing air ducts (with a 5-year payback period), photovoltaics and heat recovery (10 years) or comprehensive HVAC and thermal upgrades (15-year payback horizon). Which solutions will work for a particular building is verified by Colliers experts on the basis of an audit and analysis of the property.
“It is worth noting that the decarbonisation process involves several stages, including an audit, the development of a decarbonisation strategy and its implementation. At Colliers, we also support clients in obtaining financial support from public funds, which some investors are not aware of. It is up to the owner to decide how many steps of the process he or she wishes to implement at a given time, but the possibility of obtaining up to 75 percent of the eligible costs is a strong motivator to carry out a comprehensive decarbonisation. As sustainability experts in various areas of real estate operations, we support owners and managers at every stage of the decarbonisation process,” says Dariusz Chrzanowski, Director of Energy Services at Colliers.
Central Point is a 21-storey building with 18,000 sqm occupied by offices and over 1,000 sqm dedicated to retail and service units. It is located in the very centre of the city. The project has been built to the highest standards of sustainable construction, as evidenced by the BREEAM certificate of Excellence it received.
