Spain is paving the way for the rest of Europe when it comes to corporate renewable power purchase agreements (PPAs). Between 2013 and 2022, the country accounted for more than 24% of overall PPA capacity in Europe, shows data from trade association WindEurope. In 2022 alone, that share was almost a third.

For a country that did not enter the PPA market until 2018, the figures reflect massive growth. Sweden, which has hosted PPA deals since 2013, comes after Spain with almost 14% of total capacity. Lagging behind are Switzerland, Bulgaria and Romania, all of which did not have any PPA capacity until 2021.

Part of the reason why the Spanish market is so attractive is that PPA prices have remained relatively stable there, bucking the trend of rising prices elsewhere in Europe. An abundance of competition and strong wind and solar resources create good opportunities for corporate renewable PPA buyers in Spain, say market analysts.

Poland, on the other hand, has seen above-average price rises of more than 36% for PPA contracts in Q2 2022. The gap left by dwindling Russian gas imports has driven up demand for renewables far beyond what suppliers can deliver. That leaves renewables developers free to operate in a seller’s market.

Editor's note: This story is part of a series of articles Energy Monitor is producing as part of a media partnership with the RE-Source Platform (WindEurope, SolarPower Europe, RE100 and wbcsd) for RE-Source 2022, an annual gathering of European renewable energy buyers and suppliers, in Amsterdam, the Netherlands, on 6 and 7 October.