More than 1,000 GW of renewable capacity is currently awaiting grid connection approval across Europe, with Italy accounting for roughly 370 GW of the pipeline. This is according to analysts at Aurora Energy Research, writing in the just-published 2026 European Renewables Market Overview Report (RESMOR).

As documented in the new report, Europe will need about €1.5 trillion in cumulative investment by 2050 to support the expansion of renewable energy, as capacity is expected to more than triple from 2026 to 2050. The 150% growth of solar, onshore wind, and offshore wind capacity in the past decade sets the stage for one of Europe’s largest long-term infrastructure investment cycles, although there are still risks such as negative power prices, grid congestion, and permitting delays.

The report highlights that nearly €600 billion of investment will be required by 2030 alone, with spending set to accelerate thereafter as countries seek to meet climate targets and replace ageing thermal generation. In the near term, subsidies and power purchase agreements (PPAs) are expected to remain the dominant routes to market, though their attractiveness continues to vary widely by country and technology.

While two-sided contracts for difference (CfDs) will remain the primary support mechanism across most European markets, with 162 gigawatts of renewable capacity already announced for auction procurement by 2030, Aurora warns that the success of subsidy auctions hinges on the design as well as on competition levels and policy certainty.

Development risks remain a key constraint, with permitting timelines stretching up to a decade in some markets despite EU rules requiring decisions within two years. This is why more than 1,000 GW of renewable capacity is currently awaiting grid connection approval across Europe, with Italy accounting for roughly 370 GW of the pipeline.

Concludes Sameer Hussain, Research Senior Analyst at Aurora Energy Research, “Record levels of negative pricing and increasing curtailment are putting significant pressure on the profitability of renewable projects across Europe. To protect returns in this more unpredictable landscape, developers need to adapt—by investing in technological innovation, diversifying their portfolios, and integrating battery energy storage solutions.”

Request access to the redacted Aurora report here.