Implementing non-price criteria in renewable energy auctions

SolarPower Europe Position Paper

7 October 2025

The European Commission adopted the Net-Zero Industry Act (NZIA) Secondary Legislation on 23 May 2025, establishing the rules for Member States on how to incorporate non-price criteria into renewable energy auctions. This follows the adoption of the Net-Zero Industry Act in June 2024. It is now up to the Member States to implement these provisions as of 2026.

The NZIA offers a historic opportunity to reshore clean tech manufacturing in Europe. But its success depends on how Member States implement the non-price criteria in renewable energy auctions. As per the law, Member States are to apply non-price criteria (NPCs) to at least 30% of the auctioned volume per year, or 6 GW annually. These NPCs should account for 15% to 30% of the overall evaluation criteria, with some flexibility allowed in cases where associated costs exceed 15%. 

 

Given the flexibility that the secondary legislation leaves to EU Member States, SolarPower Europe has issued a set of recommendations for Member States to consider on how to implement non-price criteria in renewable energy auctions. 

 

We look forward to seeing the first auctions under the Act in 2026 and encourage Member States to effectively implement the principles in the Implementing Act.

Net-Zero Industry Act Secondary Legislation

SolarPower Europe's recommendations to the Member States on implementing non-price criteria in renewable energy auctions.

Download the position paper

Clarity

Member States should publish clear and transparent auction roadmaps with defined timelines, specifying in advance which tenders will use non-price criteria and which will be price-only. Non-price criteria must be applied simply and transparentlyto support resilience and sustainability without causing administrative complexity.

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Resilience

Solar PV systems are highly import-dependent, with over 80% of components sourced from abroad - primarily China - making them subject to the resilience criterion under Article 7(1). SolarPower Europe recommends applying resilience as an award criterion rather than a prequalification requirement to avoid cost and supply issues, and suggests incentivising EU-made components to support reshoring efforts.

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Sustainability

The sustainability criteria in Chapter IV of the NZIA set environmental and social standards for PV technologies, focusing on carbon footprint, energy efficiency, innovation, and system integration, which Member States can apply as prequalification or award criteria. SolarPower Europe recommends prioritising the carbon footprint criterion (Art. 8), avoiding overly strict thresholds, rewarding better performance using EU methodologies like PEFCR, and preventing fragmented circularity rules that hinder the Single Market.

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Responsible Business Conduct

The Responsible Business Conduct criterion in Article 4 requires companies to proactively identify and address social and environmental risks associated with their operations. To meet this criterion, it is recommended that companies participate in credible Multi-Stakeholder Initiatives such as the Solar Stewardship Initiative (SSI).

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Cybersecurity

The cybersecurity criterion in Article 5 mandates that bidders implement robust technical, operational, and organisational measures to secure network and information systems. Specifically, bidders from certain third countries, or those using ICT products from such countries, must submit a cybersecurity plan and store data within the EEA, while operational control of solar installations must remain with an EEA-based operator to prevent remote influence from untrusted jurisdictions.

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Ability to deliver

SolarPower Europe advises treating the developer documentation in Article 6 as best practices rather than strict requirements, allowing flexibility based on project-specific factors. Bidders must provide proof of financial capability and a construction and operation timetable to demonstrate their ability to deliver the project.

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Solar Mounting Structures

The Implementing Act identifies tracker-based mounting components as contributing to EU energy resilience, excluding widely used fixed-mount PV systems from the resilience metric. SolarPower Europe urges the Commission to clarify the role of fixed structures and recommends promoting broader national implementation using existing EU Customs Codes.

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