The European Solar Manufacturing Council (ESMC) has submitted its official feedback to the European Commission regarding three critical aspects of the Net-Zero Industry Act (NZIA): the regulations on renewable energy auctions, the selection criteria for net-zero strategic projects, and the list of essential components for net-zero technologies. ESMC strongly supports the ambition of the NZIA to strengthen European clean energy manufacturing but urges improvements to ensure the effectiveness and resilience of the policy framework.
“Renewable energy auctions should be a powerful tool to strengthen Europe’s energy independence and sustainability. However, without stricter criteria, there is a risk that China will continue to dominate the market, undermining the goal of building a robust European solar PV industry,” said Christoph Podewils, Secretary General of ESMC.
“A Made in Europe clause should be put in the proposal. It would send a clear signal to all EU Member States to prioritize European solar technology in public auctions. European taxpayers’ payers money should support what benefits both Europe and the planet, and that is sustainably made solar modules, inverters, and other essential materials made in Europe,” Podewils added.
Strengthening Renewable Energy Auctions to Support European Manufacturing
ESMC welcomes the European Commission’s proposal to establish pre-qualification and award criteria for renewable energy auctions under NZIA Article 26. These criteria aim to promote European solar PV manufacturing capacity and align with the EU’s target of achieving 30 GW of solar PV production across the full value chain by 2030. However, ESMC highlights several risks and potential loopholes that could undermine these objectives:
- The proposed criteria must include a robust “Made in Europe” clause to ensure that European manufacturers benefit from the auctions.
- A comprehensive carbon footprint assessment methodology should be implemented, preventing greenwashing and ensuring transparent sustainability standards.
- Stronger cybersecurity and data security measures are needed to prevent foreign control over critical solar PV infrastructure.
- Provisions against the use of forced labour should be explicitly incorporated, with clear references to EU legislation such as the Corporate Sustainability Due Diligence Directive and the Forced Labour Regulation
Clean Industrial Deal opens the door for Solar PV “Made in Europe”
ESMC welcomes the aim for domestic content regulation in the leaked EU Clean Industrial Deal document. With this tailwind, the Net Zero Industry Act should follow.
“The EU must establish clear ‘Made in Europe’ criteria,” says Christoph Podewils, Secretary General of the European Solar Manufacturing Council.
Podewils has read the leaked draft of the Clean Industrial Deal, which is expected to be published by the European Commission next week. Podewils welcomes the proposal to introduce both “minimum local content requirements” and “resilience and sustainability criteria” for public tenders involving net-zero technologies such as solar.
However, while the draft Clean Industrial Deal proposes to set local content criteria as standard for public tenders, another key piece of EU legislation, the Net-Zero Industry Act (NZIA), avoids the concept. Podewils argues for greater coherence between EU policies and urges that the same local content provisions be included in the NZIA, which focuses on strengthening public demand for European clean technologies.
“We strongly welcome the EU’s proposal for local content criteria in public procurement and renewable energy auction schemes. But EU legislation needs to be streamlined along these lines. A ‘Made in Europe’ clause should be included in the NZIA’s draft proposals,” says Podewils.
“European solar manufacturers are under extreme pressure from unfair Chinese competition. That’s why it should be a matter of course that when European Member States use public funds, they should invest in high-quality European clean technology products – such as solar – and not in Chinese products,” he adds.
This week, the ESMC will submit it’s feedback to the four public consultations on various secondary legislation under Regulation 2024/1735 of the Net-Zero Industry Act (NZIA). Meanwhile, on Wednesday 26 February, the European Commission will present the Clean Industrial Deal.
