SolarPower Europe Says Net Zero Industry Act Implementation Remains Slow and Uneven

The implementation of the Net Zero Industry Act (NZIA) across European Union member states is progressing slowly and unevenly, according to a new study by SolarPower Europe. The industry body said the inconsistent application of the rules is creating additional complexity for renewable energy market participants.

The NZIA is designed to support clean technology manufacturing in Europe by creating demand for products from resilient, non-dominant sources through public procurement, renewable energy auctions, and other support schemes. Member States were required to implement relevant provisions from January 1, 2026.

However, SolarPower Europe’s assessment found that only six EU Member States have implemented the provisions so far. The countries are also adopting different approaches, with some applying requirements that are stricter than SolarPower Europe’s recommended benchmark, while others have adopted less stringent measures.

Anett Ludwig, Head of Supply Chains at SolarPower Europe, said implementation was moving in the right direction but remained too slow. She also highlighted the concern created by the different approaches being adopted across Member States.

The report examines the initial approaches to solar PV under the NZIA, including the use of resilience criteria and emerging ‘Made in EU’ requirements.

The NZIA currently focuses on supply-chain resilience by encouraging sourcing from non-dominant suppliers rather than establishing mandatory ‘Made in EU’ requirements. Such requirements are being considered separately under the Industrial Accelerator Act (IAA), which is currently under negotiation.

Austria has already introduced a 20% ‘Made in Europe’ bonus, while several Italian support schemes have established ‘Made in EU’ eligibility requirements. According to SolarPower Europe, these approaches effectively introduce criteria ahead of the finalisation of the IAA.

Dries Acke, Deputy CEO of SolarPower Europe, said the NZIA provides Member States with an opportunity to use the EU Single Market to strengthen European clean technology manufacturing, but its potential remains underutilised. He called for easier and more consistent implementation of the framework.

SolarPower Europe also said that demand-side measures under the NZIA alone would not be sufficient to establish a competitive European solar manufacturing sector. The organisation is calling for additional financing support through a Cleantech Manufacturing Bank under the European Competitiveness Fund, with financial support linked to production.

The report noted that the impact of the NZIA cannot yet be fully assessed because implementation remains at an early stage. However, SolarPower Europe said a more consistent and balanced approach across Member States would be necessary to leverage the EU Single Market effectively.

The organisation has called on the European Commission to establish a central repository of national NZIA measures to improve transparency and support a more harmonised implementation across the EU.

SolarPower Europe also supports strict ‘Made in EU’ criteria, covering the EU, European Economic Area (EEA), Switzerland, and the UK, as part of the evolving industrial policy framework.

The findings come as negotiations on the Industrial Accelerator Act continue, with the legislation expected to further strengthen the NZIA framework and shape the future of European clean technology manufacturing.