Solar auctions and PPAs helped shield Europe after 2022 energy crisis – EnergyShiftDaily
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Solar auctions and PPAs helped shield Europe after 2022 energy crisis

Solar auctions and corporate power purchase agreements helped protect European citizens and businesses in the aftermath of the 2022 energy crisis, according to a new report.

Analysis from SolarPower Europe shows that public auctions and corporate PPAs accounted for 92 GW of solar installations across the EU between 2022 and 2025.

That capacity is equivalent to the electricity needs of around 28 million EU homes, representing more than 10% of households.

The report highlights the role long-term contracts played in stabilising electricity costs and supporting the expansion of renewable energy during a period of high fossil fuel prices.

Dries Acke said: “EU leaders are looking for effective ways to enhance energy price competitiveness and shield Europe from a yet another fossil fuel price crisis.”

He added: “They already have proven solutions in the form of corporate PPAs and auctions which award contracts for difference.”

Solar auctions faced significant challenges earlier in the decade. After reaching a peak of 14.8 GW in 2021, auction performance dropped during 2022 and 2023 as rising equipment costs outpaced auction price ceilings.

Performance rebounded after 2023, with 25.2 GW of solar installed through auctions and tenders in 2025. That represents a 23% increase compared to 2024 and the highest level on record.

However, the report warns that nearly half of EU auction rounds between 2021 and 2025 attracted bids below the capacity available.

Simon Dupond said: “To ensure that auctions can continue playing their growing role in driving solar deployment, EU policymakers should prioritise improving auction frameworks.”

Corporate PPA markets have also begun to slow. In Germany, signed solar corporate PPA volumes fell by 56% as price cannibalisation, grid congestion and curtailment reduced demand.

Spain remains Europe’s strongest PPA market, with more than 2 GW of corporate solar PPAs signed each year between 2023 and 2025.

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