Unpacking the 5 Key Trends That Paint the Full Picture of Europe’s PPA & BESS Offtake Markets

Welcome back to The Pexapark Podcast! In this episode, we look at what shaped offtake in H1 2025. Wind remains under pressure – Europe is busy renegotiating old projects rather than launching new ones. Romania’s CfD round saw solar overshoot targets at ~€41.7/MWh, while wind missed volumes and pushed prices higher. In northern Sweden, oversupply has driven prices into the teens and forced curtailments, while Spain is fast-tracking co-located batteries after April’s blackout, though spreads remain too tight to add much PPA value. Meanwhile, the EU has introduced a new industrial support scheme to cut heavy-industry power costs in exchange for reinvestment into decarbonisation. And with PPA indices now just under €50/MWh, mark-to-market practices are quickly becoming the norm.In the second half, Dominique Hischier – VP - Analysis & Editorial at Pexapark joins us to break down the numbers:Volumes down 26% YoY, with the biggest hit in wind and multi-tech PPAs.Solar stays resilient, especially in Italy, while Germany slumps ~84% on cannibalisation and negative prices.Utilities return as pricing comes closer to fair value and appetite for risk grows.Corporates more cautious, less willing to pay “green at any cost” and wary of negative-price risk.BESS booming, with activity spreading across Europe, longer durations, and first hybrid deals shifting output into higher-value hours.Analysis notes:Why PPA Buyers and Sellers Turn to Mark-to-Market Valuations for Their DealsUnpacking H1 Deal Flow: 5 Key TrendsUnlock More PPA Market InsightsRegister for your free Pexapark account to stay updated on the latest energy transition trends. Learn more >