Covid-19 and the impact on PPAs in Spain: economic and legal consequences

In the past years, the Spanish power market has become the epitome of subsidy-free renewables in Europe. With rising wholesale power prices and plummeting cost for large-scale PV, the Spanish market has built up an impressive subsidy-free pipeline. In 2018 and 2019, wholesale market revenues of PV projects exceeded levelized cost of generation (LCOE) by up to 30 €/MWh.

Against this backdrop, more than four GW of solar PV projects signed a power purchase agreement (PPA) in 2019. Three more GW of PV and onshore wind projects reported ongoing negotiations to close PPAs in the near future.

ICC Spain, Rödl & Partner and enervis have published a publication on this topic. If you would like to learn more about it, please download the publication below.