European Commission Adopts Secondary Legislation for Net-Zero Industry Act, Paving Way for

May 24, 2025

EU takes step to support European solar manufacturing

The European Commission has adopted the Secondary Legislation under the Net-Zero Industry Act (NZIA), setting clear rules for EU Member States to reward sustainability and resilience in renewable energy auctions. The move is a significant development following the formal adoption of the NZIA in June 2024 and its public consultation phase in February 2025.

Under the new legislation, Member States are expected to begin implementation from 2026, with a focus on promoting solar and other clean technologies produced within Europe. The aim is to reduce reliance on external supply chains and strengthen Europe’s clean energy manufacturing base.

Reacting to the announcement, Dries Acke, Deputy CEO of SolarPower Europe, welcomed the legislative step, calling it a vital move toward reshoring solar manufacturing.

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“This Act marks an important step in the EU’s strive to diversify and reshore solar manufacturing to Europe. It creates a dedicated market for EU solar products, giving much-needed relief to European solar manufacturing,” said Acke.

He added that the organisation looks forward to the first auctions taking place in 2026 and urged Member States to effectively implement the resilience provisions of the Act—particularly by including premiums for solar panels manufactured in Europe.

“With solar manufacturers in peril, there is no time to lose,” Acke emphasized.

SolarPower Europe further called on the EU to bolster its industrial policy with enhanced financial support for clean tech manufacturing, proposing the creation of a dedicated EU solar or clean tech manufacturing bank to drive investment in the sector.