European PPA prices rise 5% in September

European Power Purchase Agreement (PPA) prices rose by 5% in September, according to data from Pexapark and Enervis. This increase was primarily driven by higher forward electricity and gas prices, as well as ongoing geopolitical tensions in the Middle East affecting the EEX electricity futures market.

Regional performance varied significantly. Great Britain saw the largest monthly increase at 10.9%, followed by Italy and Poland at 6.9% each. The Nordic countries rose by 4.3%, the Netherlands by 4.1%, Germany by 3.6%, and France by 3.1%. Conversely, the Iberian Peninsula experienced declines, with prices falling 3.5% in Spain and 1.4% in Portugal.

In Germany, generic prices for a ten-year solar PPA starting in October 2026 were estimated between 29 and 42 EUR per megawatt-hour.

Contracting activity showed signs of recovery following a summer slowdown. September saw 25 announced deals totaling approximately 1.2 GW, a significant increase from the 14 deals totaling 335 MW reported in August. Corporate buyers were responsible for 92% of this capacity. Notable activity included a 22-year, 507 MW agreement by Google to support operations at Finland’s Loviisa nuclear power plant.