Auctions and Corporate PPAs

EU policymakers are seeking effective ways to enhance energy price competitiveness. They already have proven instruments at their disposal with long-term power purchase agreements (PPAs) and contracts for difference (CfDs) allocated through competitive auctions. This briefing paper analyses the latest European trends in these two routes to market for solar, and makes clear recommendations on how to reinforce their ability to rapidly deliver low-cost solar energy. 

The report shows that solar auctions and corporate power purchase agreements (PPAs) delivered 92 GW of solar capacity across the EU between 2022 and 2025, helping protect citizens and businesses during and after the energy crisis. Together, these long‑term contracting mechanisms supplied the equivalent electricity needs of around 28 million European households, underlining their central role in stabilising energy prices and reducing exposure to volatile fossil fuel markets.

The analysis highlights that auction performance weakened during the height of the energy crisis in 2022 and 2023, as rising equipment costs clashed with inflexible auction designs, low ceiling prices, and administrative delays. However, targeted reforms have delivered results: 2025 marked a record year for solar auctions, with 25.2 GW awarded. Despite this rebound, nearly half of EU auction rounds over the past five years were undersubscribed, signalling continued design challenges and missed deployment opportunities.

Corporate solar PPAs are following a different trajectory. After booming in 2023 and 2024 as companies sought price stability, PPA volumes eased in 2025, reflecting tighter market conditions in some countries. Grid congestion, curtailment, and falling price expectations have dampened demand, particularly in mature markets such as Germany. By contrast, Spain and several gas‑dependent countries continue to see strong PPA growth, driven by high wholesale electricity prices and strong incentives for long‑term hedging.

The report concludes that well‑designed auctions and healthy PPA markets remain essential for Europe’s energy security and competitiveness. It calls on policymakers to improve auction frameworks, support technology‑specific tenders, integrate energy storage, ensure fair carbon accounting for PPAs, and accelerate electrification across the economy. Maintaining continuity and confidence in these routes to market will be critical as Europe faces renewed energy price volatility.

Full access to the data featured in the Auctions and Corporate PPAs: European Market Review 2025  is now available exclusively to SolarPower Europe members through our new interactive Market and Policy Navigator. 

Explore the Policy Data platform under the “Routes to Market” section and dive into our interactive data to discover: 

Solar PV Auctions, detailed insights for the last 5 years (2021-2025): 

• Awarded PV capacity per segment, and price levels  
• Geographical breakdown 
• Technology specific vs technology-neutral auctions, 
• Over/undersubscription rates, 

Solar PV corporate PPAs, annual breakdown since 2023: 

• Announced cPPA capacities by technology, country, sector, and quarter, 
• Announced cPPA deals by sector and sub-technology, 
• Full datasets available for download by members. 

Bonus: Discover our Utility-scale BESS Support Schemes Tracker for 2025! 

All datasets are available for download to SolarPower Europe members. For any questions or support accessing the Navigator, please contact navigator@solarpowereurope.org.

A solar and BESS project at Capu di Padula, Corsica © Akuo