LevelTen Energy’s Q1 2026 European PPA Price Index Report is now available for subscribers.
Each quarter, the LevelTen Energy PPA Price Index reports the prices that wind and solar project developers have offered for power purchase agreements (PPAs) on the LevelTen Energy Marketplace, the world’s largest collection of PPA pricing offers.
This quarter’s edition includes a deep dive into European onshore wind, exploring the regulatory context, future opportunities, and PPA values that this technology provides.
Key highlights from the report:
Solar prices decline – again
Solar PPA prices declined for a fourth consecutive quarter, recording a 8% decrease year-on-year. As negative price risk and solar price cannibalisation make buyers wary, hybrid deals (combining storage with generation) are gaining traction as a means to improve PPA values.
Buyers are still signing deals for standalone solar, but are adopting sophisticated contractual structures to address concerns around negative settlements.
Wind offers strong value
Wind PPAs continue to offer buyers an attractive proposition, especially in markets where midday price cannibalisation is of high concern. The robust capacity factor of wind and its broader generation profiles make wind PPAs a compelling addition to solar-heavy PPA portfolios, particularly for data centres and industries with demanding consumption profiles.
Wind development is also undergoing some degree of hybridisation, notably in Finland and Sweden, where curtailment threatens project values.
Energy shocks bring complications – and lessons
As Europe navigates its second fossil fuel crisis of the last five years, the importance of renewables for European energy security has been emphatically underlined. While conflict timelines are unpredictable, damage already inflicted on energy infrastructure in the region means that months of disruption are already priced in. Countries like Spain – where gas prices are largely decoupled from wholesale power prices – have proved greater resilience than others.
Subscribers of the PPA Price Index can log in to the new LevelTen Report Center to read the full report. Not a subscriber? Contact us today to get access.
Complete the form below to download the Executive Summary.
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