Solar energy has already proved that it can shake up the global solar energy scene, allowing millions of people to tap into clean and sustainable power and steer us toward a net-zero future. Due to advanced technology, government incentives, and lower costs, its potential to fight climate change and boost energy access has put solar energy sources in the spotlight.
The reasons for this dazzling performance are crystal clear. It all boils down to solar’s unbeatable flexibility — fueling individual energy independence and rolling out utility-scale projects in no time at all, and all at affordable prices. Solar energy worldwide enjoys wide acceptance as the go-to tool for achieving local energy security in the midterm.
In this blog post, we will discuss the solar energy shift and its expansion to the European market. We will also explain the reasons for renewable energy growth and discuss the best place in the world for solar panels.
Global Solar Energy Growth
You may ask, “Which country leads in installed solar power capacity?” Several countries are leading the solar power charge, making hefty investments and ramping up installations. However, China is the prominent leader, contributing nearly 40% of the world’s solar capacity.
The United States and India are also big players, with massive solar projects and ambitious plans for the future. They made this energy shift earlier, being pioneers in the solar market.
In Europe, Germany and Spain are making waves with their rising commercial solar panels and forward-thinking energy policies. These trailblazers aren’t just setting the bar for solar adoption but also encouraging others to follow suit.
Tech advancements are the wind beneath the wings of solar energy growth. Innovations like high-efficiency photovoltaic (PV) cells, bifacial panels, and solar tracking systems have supercharged the performance and reliability of solar setups. Plus, improvements in energy storage solutions, like lithium-ion batteries, are tackling the problem of solar energy’s intermittent nature.
These tech breakthroughs are making solar power renewable energy more accessible, affordable, and efficient, speeding up its global adoption and paving the way for a greener solar energy future.
Developing Europe Markets
We know about Germany, Spain, and the UK, which actively expand their solar energy transformation and invest in renewable energy growth. However, Europe is bigger than that. The age of solar energy is dawning in Eastern Europe.
Easter European Energy
According to the European industry association SolarPower Europe, Poland has been one of Europe’s top ten leading countries for PV deployment since 2016. Hungary joined the list after adding 1.6 gigawatts (GW) of PV capacity in 2023, marking a 45 percent increase from the previous year, making it the country’s most successful solar year ever.
With their solar energy shift, Bulgaria, Romania, and the Czech Republic have also surpassed the one-gigawatt mark. In 2023, solar energy supplied 41 percent of Bulgaria’s power on sunny days, thanks to the country’s annual average of 2,000 to 2,600 sunshine hours.
Romania saw a staggering 308 percent solar energy growth compared to the previous year, adding over one GW of new capacity. After 13 years, the Czech Republic is back in the gigawatt PV market with a new solar surge. The Czech Solar Association reported 82,799 new solar systems installed last year, up by 49,039 from the previous year. It has boosted the country’s solar power output by 970 megawatts (MW).
A quest for greater solar energy shift and a commitment to environmental and climate goals drives the PV boom in Eastern Europe. Key factors of solar energy growth worldwide are:
- Cost efficiency
- Technological advances
- Government subsidies
Major projects are moving full steam ahead, like the new solar farm in Sényő, Hungary, built by the joint venture Iqony Solar Energy Solutions (SENS) and LSG, which will save nearly 40,000 tons of CO2 annually. Hungary has been increasing its reliance on renewables since 2020, backed by 433 million euros in government funding for an energy shift towards solar power.
SENS is also developing a PV market pipeline in Poland. Contracts for the first four projects, totaling 355 MW capacity, have been signed. Poland is already the second-biggest player in the European energy renewables scene and has a lot of room to grow. Experts predict that installed capacity will double in the next three years, and Sunly is geared up to play a major role in making that happen.
Meanwhile, in Bulgaria, Jinko Solar supplied 220,000 bifacial modules for the Verila solar power plant, the country’s largest PV project at 132 MW. The area boasts wonderful solar energy growth.
Western Balkans and Solar Energy Shift
A major new report says the Western Balkans have more than enough potential solar and wind projects to generate four times the electricity of gas-fired plants, saving billions of euros and slashing carbon emissions.
Albania, Bosnia and Herzegovina, Kosovo, Montenegro, North Macedonia, and Serbia boast 23 GW of potential utility-scale solar and wind capacity — 70% more than last year and on par with Germany’s potential capacity.
Serbia currently leads with the most operating (444 MW, or 29%) and potential (10.9 GW, or 47%) utility-scale solar and wind capacity in the region. However, it risks being left behind as Albania, Bosnia and Herzegovina, and North Macedonia have been adding new capacity to accelerate this energy shift in recent years.
The western Balkan region nurtures solar energy growth. Its geographical position is highly beneficial, as are its over 2,000 annual sunshine hours.
We have already visited the European energy market, so let’s see solar energy international activity overseas.
PV Market Spreading To Other Continents
Solar Energy Growth in Africa
The abundant solar energy source offers Africa a golden opportunity to provide affordable, reliable, and sustainable electricity, especially in rural and remote areas with limited or no grid access. Most North, West, and Southern African countries receive over 2,100 kWh/m² annually. These solar resources translate to 60,000,000 terawatt-hours per year (TWh/year), nearly 40% of the world solar energy.
Despite its immense potential, the PV market in Africa is still in its early stages and needs to be more developed. The International Energy Agency (IEA) reports that Africa has 60% of the world’s best solar resources, yet its solar generation capacity is just 1%. In 2020, Africa’s installed solar capacity was around 10.4 gigawatts (GW), with 9.4 GW from photovoltaic (PV) systems and 1 GW from concentrated solar power (CSP). This accounts for only 2% of global solar capacity and less than 1% of Africa’s total electricity capacity.
Nevertheless, Africa has the potential for a bright solar energy future. What’s slowing down the solar energy shift in Africa compared to other regions? Is it a lack of finance or Africa’s risk premiums? It’s a mix of both. If this disparity isn’t addressed — say, by providing substantial support to African countries to meet their renewable energy growth targets — the new global goals might worsen the existing inequalities.
Source: Development Reimagined
Latin America and Solar Energy Growth
According to think tank Ember, solar energy currently accounts for just 3-4% of the electricity produced in Latin America and the Caribbean (LAC). However, with nearly 250 projects under construction, adding 19,429 megawatts (MW) of solar capacity, the region’s solar power supply is set to increase by at least 70% once these projects are completed.
Source: Reuters
With economic growth and population booms in Latin American countries, energy demand is slowly but surely on the rise, making renewable energy growth more critical than ever. Nations like Brazil, Mexico, and Chile are catching the eye of investors due to their sunny climates and solar market potential. However, the Latin American market has its fair share of hurdles.
Despite persistent funding challenges and limitations in grid infrastructure and storage technology, there is significant potential for solar energy growth in Latin America. Numerous pending projects are ready to meet future demand. With increased capital investment, supportive policies, reduced financing barriers, and streamlined approval processes, Latin America could see a surge in solar energy demand.
Harnessing the Sun: A Global Shift Towards Solar Energy
The world solar energy market has been expanding over the last decade. Many factors, including technological advancements, local government policies, environmental awareness, and the strive for energy independence, are pushing new regions to adopt renewable solar energy as the major energy supplier.
While China, the US, and Western European energy markets steadily run on solar power, Latin American countries, African countries, and Eastern European markets are on the track of solar energy transformation. They have started their journey towards a greener future and see huge potential due to their geographical location basking in the sunlight. The latter makes such an energy shift easier and smoother.
Dmytro Kovtoniuk is an SEO and automation specialist at SolarPowerSystems. Dmytro’s experience in solar projects and automation and passion for applying mathematical principles to real-life tasks—a commitment shared with the rest of the team—are crucial in shaping the company’s strategy for presenting accurate and user-friendly information on solar technology.
