
The China effect: Renewables to continue dropping in price in 2025
Solar, wind, and battery storage costs will keep falling, with reductions of up to 11% in 2025. China leads this trend, but Western protectionism may slow the decline of renewables.
Solar, wind, and battery storage costs will keep falling, with reductions of up to 11% in 2025. China leads this trend, but Western protectionism may slow the decline of renewables.
The European Commission warns of the urgent need for investment in electricity grids, hydrogen, and CO₂ storage to sustain the energy transition. More than 50% of the investment is concentrated in Germany, France, and the Netherlands.
The UK solar industry warns that current energy policies could stall solar and battery storage development after 2030, jeopardising £26 billion in investments. Solar Energy UK’s letter urges the Government to revise capacity limits to prevent higher energy costs and a potential industry slowdown.
The offshore wind sector faces key challenges in 2025, from the need for realistic subsidies of governments to financial uncertainty driven by interest rates and commodity prices. Peter Lloyd-Williams, Senior Analyst at Westwood Global Energy Group, analyses the factors that will shape the sector’s growth and the feasibility of new projects in conversation with Strategic Energy Europe.
With a record 62.7% of renewable energy in its electricity mix, Germany is making strong progress in renewables. However, Irina Peltegova, Senior Green Power Market Analyst at Veyt, tells Strategic Energy Europe that the country faces key challenges in storage, price volatility, and new renewable energy support schemes. PPAs are emerging as an increasingly attractive alternative for the sector.