Greece’s solar sector is under growing financial pressure as extended periods of zero and negative electricity prices, together with rising production curtailments, reduce revenues for solar generators across the country. Market participants say the pressure has been reflected in earnings performance during April.
April earnings hit for plants under feed-in premium schemes
Solar facilities operating under feed-in premium support saw a sharp fall in earnings in April, according to market participants. For a typical solar plant, revenues were more than 50% lower than in the same month of 2025. Industry sources also report that some large-scale operators recorded income declines of up to 60% versus what they would have earned without curtailments and negative pricing conditions.
Transmission-connected projects face more frequent output limits
The impact is described as especially severe for utility-scale solar projects connected to the transmission network. These plants are more often subject to output restrictions set by network operators seeking to maintain grid stability during periods of excessive renewable generation.
Some investors initially treated April’s weak performance as temporary, citing lower electricity demand during the Easter holiday period. Developments in May, however, indicate the issue may be taking on a more structural character.
May wholesale prices at or below zero most days
Industry executives say nearly every day in May included several hours when wholesale electricity prices fell to zero or below zero. This pattern continued to undermine project profitability as revenues deteriorated further. The ongoing decline is raising concerns about the long-term financial sustainability of solar investments and their ability to meet financing and debt repayment obligations.
Banking exposure flagged by Metlen and Aktor leaders
Senior industry leaders warned that effects could spread beyond the renewables sector. Metlen CEO Evangelos Mytilineos cautioned that sustained revenue pressure may increase problematic loans tied to solar projects where earnings are no longer sufficient to cover investment costs.
Aktor Group CEO Alexandros Exarchou raised similar concerns, pointing to rapid expansion of solar generation capacity without adequate investment in battery energy storage. He warned that the growing mismatch between renewable generation and storage capacity could create broader challenges for the electricity market and potentially expose the banking sector to significant financial risks in coming years.
