European Energy Secures Long-Term Offtake Agreements for 1.2 GW of Projects in 2025

European Energy has secured 20 contracts for difference (CfDs) and power purchase agreements (PPAs) during 2025, covering a total capacity of approximately 1.2 GW across Europe and Australia. The agreements represent a broad range of long-term commercial arrangements designed to provide predictable revenue structures for renewable energy projects in different regulatory and market environments.

The portfolio spans multiple technologies and countries, including onshore wind, solar PV projects and battery storage in the UK, Italy, Greece, Poland, Germany, Lithuania, and Australia. The offtake structures vary from fixed-price, pay-as-produced contracts to arrangements with price floors, curtailment compensation and market-indexed mechanisms. Across these markets, long-term electricity supply contracts continue to play an important role in providing clarity on expected revenues and enabling project developers to plan with greater certainty.

“By securing established offtake agreements, our project assessments can be based on long-term contractual assumptions rather than short-term fluctuations in the electricity market. This allows for clearer expectations regarding revenue stability, which can support funding considerations and reduce uncertainty during investment evaluations,” says Gregor McDonald, Vice President and Head of PPAs at European Energy.

This development reflects broader industry trends in which long-term PPAs and CfDs are increasingly recognised as key instruments for enabling new renewable energy capacity.

“European Energy applies a flexible commercial approach that adapts to different regulatory frameworks and market preferences. Some markets rely on CfDs for price stability, while others favour corporate PPAs,” says Jens-Peter Zink, Deputy CEO of European Energy.

“This enables engagement with a broad range of counterparties, from corporate buyers to utilities and state-supported schemes.”

The geographic and technological spread of the 2025 offtake agreements illustrates the growing appetite for long-term renewable energy sourcing across different regions. The favourable market conditions reflected in these long-term agreements will enable the build-out of more renewable energy assets across the markets.

As European Energy’s development pipeline grows, the company will continue to work with long-term commercial arrangements that offer greater revenue visibility and transparency for project stakeholders. This approach is intended to align renewable energy projects with the expectations of investors and electricity buyers while accommodating the commercial and regulatory characteristics of each market.

European Energy remains engaged in additional CfD auction processes, which could further increase the number of contracts awarded in 2025.