Authored Books
Power Purchase Agreements for Philippine Business
A CFO's Guide to Onsite, Offsite and Virtual PPAs
Doc AndrieDr. Andrie Udal, PhD in Mineral and Energy Economics
About the book
Three routes to long-term clean power, explained for the people who sign
Philippine companies using 100,000 kWh or more a month can now choose between onsite solar PPAs, offsite PPAs supplied through a Retail Electricity Supplier (RES), and virtual PPAs. Each has a different economic, contractual, accounting and risk profile. This book walks CFOs and business owners through the choice.
It covers the current regulatory framework, including Retail Competition and Open Access at the 100 kW threshold, the Green Energy Option Program, the Department of Energy's 2025 virtual PPA circular and zero-export rules. It shows how to price a PPA and model it with levelized cost of energy, NPV, IRR and Monte Carlo analysis, how PPAs are treated under PFRS 16 and IFRS 9, and how to spot and price tariff and WESM exposure, developer credit, curtailment and change-in-law risk.
Who it's for
Written for the buyer's side of the table
CFOs and finance heads
Who must judge whether a 15- or 20-year power price is fair, and what it does to cash flow, the balance sheet and risk.
Facilities and engineering heads
Who manage the bills, load data and roof or land a PPA depends on, and live with the system for the term of the contract.
Owners and boards
Of Philippine businesses using 100,000+ kWh a month, such as hospitals, factories and malls, who give the final sign-off.
What's inside
13 chapters, from the bill to a signed PPA
- 1Why Electricity Is Now a CFO IssueHow a Philippine bill is built, rate trends, ESG disclosure and a CFO decision framework
- 2PPA Basics in Plain LanguageThe parties, the three models, key commercial terms, risk allocation and cash flows
- 3Buy, Lease-to-Own or PPAOutright purchase vs lease-to-own vs PPA, NPV and IRR, and PFRS 16 lease accounting
- 4Onsite PPA: Solar on Your Roof or Land
- 5Offsite PPA through a Retail Electricity Supplier (RES)
- 6Virtual PPA: The Financial Contract and Where It Stands in the Philippines
- 7Pricing a PPA: Fixed Rates, Escalators, Discounts to Grid and Indexed Prices
- 8Modelling Your Savings: NPV, IRR, Payback and Sensitivity, Step by Step
- 9Risk: Volume, Price, Counterparty, Regulatory and Curtailment
- 10Term Sheet Red Flags, Clause by Clause
- 11Choosing a Developer and Running a Competitive Tender
- 12Case Studies: A Hospital, a Factory and a MallIllustrative, composite cases
- 13A 90-Day Roadmap: From First Idea to Signed PPA
Plus Appendices A to G: Glossary, PPA Evaluation Checklist, Templates Guide, Regulatory Reference, Assumptions and Data Sources, Bibliography, and an Index of Figures and Tables. Every chapter ends with key takeaways and questions a CFO should ask. The book also describes six companion workbooks and templates, including a savings model, a risk register, a term-sheet scorecard and an RFP template.
About the author
Dr. Andrie Udal
PhD in Mineral and Energy Economics, MSHDS
Dr. Andrie Udal, who writes as Doc Andrie, is an energy economist and the founder and Managing Partner of SolarMD. He holds a PhD in Mineral and Energy Economics from the Colorado School of Mines and an MSHDS (Master of Science in Health Data Science).
Through SolarMD, he helps hospitals and commercial and industrial sites in the Philippines read their bills and load data, compare offers and structure power purchase agreements. He leads SolarMD's public research on solar at Philippine hospitals.
Want to see how a PPA would look for your site?
Send your last 12 months of electricity bills. SolarMD reviews them and tells you whether a zero-capex rooftop PPA fits your site.
The book is for general information and education only. It is not legal, tax or investment advice. Savings typically vary by site and tariff.