GS Utilities Daily: Public Power Corp Datacenter Opportunity and European Power Reforms

Goldman Sachs' daily European utilities update highlights upside potential for Public Power Corp from its Kozani datacenter hub alongside EU approval of Germany's €16-35 bn capacity mechanism. The note also reviews broader structural tailwinds for European electrification and power demand driven by Agentic AI.

Key Takeaways

• 1.Public Power Corp (PPC) may be close to announcing its first hyperscaler partnership for the Kozani DC Hub, which could add c.€4/share (+c.20% upside) if scaled to 1 GW.
• 2.The European Commission approved Germany's market-wide capacity mechanism with estimated costs of €16-35 bn starting in 2031, featuring up to 15-year contracts.
• 3.Germany reformed its offshore wind tendering framework with a flexible 2 to 4.8 GW annual corridor starting in 2027 and a two-stage auction model including CfDs.

Table of Contents

• Research you can't miss from past two weeks
• Public Power Corp: Assessing the upside from the DC opportunity
• European Commission approves €35 bn German capacity mechanism
• German government approves amendments to offshore wind tender rules
• Other news
• Research you need to read
• Powering Up Europe: Energy Security: Utilities at the core of Europe's Electrification (27 April 2026)
• Utilities and Artificial Intelligence: Agentic AI may boost an already strong power demand outlook (23 March 2026)
• Powering Up Europe: Upgrading power demand assumptions, and target P/E valuations (23 March 2026)
• Disclosure Appendix

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Reports in this series

GS Utilities Daily is shown in chronological order through this edition, published on September 3, 2026.

Part of the GS Utilities Daily series — view all 18 editions

1. May 24GS Utilities Daily Bids submitted for 1.8 GW Danish Offshore tender Datacenter development straining US Grid
2. Jun 4GS Utilities Daily National Grid submits £4.5bn proposal for Transmission Re-Openers Centrica Energy agrees 10-year LNG s...
3. Jun 5GS Utilities Daily EU calls on Germany to accelerate grid digitalisation JERA Nex bp in talks over future of 4 GW of Germ...
4. Jun 8GS Utilities Daily RWE Heading towards vertical integration The Amprion opportunity Acciona Energia sells 64 MW Spanish...
5. Jun 9GS Utilities Daily EU approves Italy's €23 bn renewables aid scheme Acciona Energia to build c.980 MWh BESS in Chile
6. Jun 11GS Utilities Daily Re-pricing the US Renewable industry EDPR upgraded to Buy (EDP up to Neutral) Pennon EPS downgrades a
7. Jun 15GS Utilities Daily: Public Power Corp.: A key electrification play; execution to unlock further upside: reinstate at Buy :: Germany
8. Jun 16GS Utilities Daily: Netherlands increases strike price for 2GW of Offshore Wind projects :: UK Government objects to proposed Thames Water
9. Jun 19GS Utilities Daily: Fortum: Q2 26 preview: Weak EPS expected, driven by lower nuclear volumes :: Siemens Energy: Restructuring to bring
10. Jun 23GS Utilities Daily: RWE: The Amprion deal: Moving into power grids would bring several positives :: Centrica: 1H26 Preview: Weak numbers
11. Jul 3GS Utilities Daily: Germany reveals reform accelerating grid build-out and new data center legislation :: Engie sign a ten-year agreement for
12. Jul 22GS Utilities Daily Iberdrola Solid quarter, guidance “qualitatively” improved Enagas H1 results FY guidance reiterated
13. Jul 24GS Utilities Daily Enel Q2 26 operating data output up c.4 on strong thermal & nuclear Belgium approves revised offshor...
14. Jul 27GS Utilities Daily Why Enel may surprise into Q2 Nordex announced new guarantee facility
15. Aug 3GS Utilities Daily Engie EPS upgrades and a new data center catalyst on the horizon Veolia Environnement Update numbers...
16. Aug 10GS Utilities Daily PPC signs agreement for 2 GW RES portfolio in Poland and Hungary Portugal approves grid development pl...(1)
17. Aug 27GS Utilities Daily Solaria Asymmetric risk reward Buy Spain drafts rules requiring 80 hourly renewable power for data ...

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