2024 was a ‘landmark year’ for solar energy according to a new study by SolarPower Europe. Their research ‘Global market outlook for solar power 2025-2029’ found that new global solar installations in 2024 fell just shy of 600 GW, marking a 33% increase on the 449 GW added in 2023. In addition, solar energy accounted for 81% of all renewable energy capacity added last year[i].
The researchers note that whilst solar continues to be a ‘modest’ contributor to overall electricity generation, its global share has increased- reaching 7% in 2024, almost doubling in just 3 years. This means that solar has seen the fastest growth amongst all forms of power generation, with three-times as much as second-placed wind energy. Further, the report highlights that whilst it took almost 70 years to reach the first terawatt of solar energy, it took just two more to double this figure and surpass 2 TW, as of end 2024. In fact, by the end of last year solar installations made up 46% of global renewable capacity. The researchers state that global solar installations are projected to exceed 7 TW by 2030 accounting for 65% of the 11 TW of renewable capacity required by the end of the decade.
Rapid technological advancements, the versatility of solar technology, as well as record-low solar component prices, are all credited with helping to facilitate the energy sources recent rapid adoption. As a result, solar is increasingly outperforming other power generation technologies across the board.
Source: SolarPower Europe[ii]
However, the research cautions that whilst growth is positive, the deployment of solar is skewed towards certain markets, with the top 10 nations accounting for a considerable 81% of total global solar installations. China alone accounted for more than half (55%) of global solar additions in 2024, followed by the United States (8%), India (5%), Germany (3%), and Brazil (3%).
SolarPower Europe claim that 2025 will be a pivotal year for the global PV industry, with growth continuing to be fuelled by China along with the technology’s competitiveness (low prices, unique versatility, and further decreasing cost) helping boost rollout. However, it cautions that external pressures are growing, including resurging political support for fossil fuels, macroeconomic headwinds, and shifting geopolitical dynamics. The researchers claim these factors are introducing a higher degree of market uncertainty, with market performance likely to diverge sharply based on how these risks evolve.
This, they argue, shows that there is an urgent need for energy system flexibility solutions. They suggest that policymakers and regulators have underestimated the pace of solar development, leading to underinvestment in grid infrastructure and outdated networks. This misalignment is already resulting in major system challenges in more advanced markets, such as rising curtailment rates and more frequent instances of negative electricity prices, which in turn reduce solar capture prices, threatening the economic viability of new solar projects. The researchers stress that it is critical that regulators in markets all over the world (both mature and nascent) plan for the necessary system flexibility to solve these challenges before they occur.
Walburga Hemetsberger, CEO of SolarPower Europe, said: “The solar age is truly here. While the uptake of solar varies across regions across the world, a common theme is the importance of flexible, electrified energy systems – underpinned by critical technology like battery storage. Decisionmakers across the globe should ensure that their flexibility plans match, and maximise, the solar reality.”[iii]
[i] Global Market Outlook for Solar Power 2025-2029 - SolarPower Europe
[ii] Ibid
Lauren has extensive experience as an analyst and market researcher in the digital technology and travel sectors. She has a background in researching and forecasting emerging technologies, with a particular passion for the Videogames and eSports industries. She joined the Critical Information Group as Head of Reports and Market Research at GRC World Forums, and leads the content and data research team at the Zero Carbon Academy. “What drew me to the academy is the opportunity to add content and commentary around sustainability across a wealth of industries and sectors.”
