Germany has firmly positioned itself among the top-tier global leaders in solar energy. By the end of 2024, the country had installed a total of 105 GW of photovoltaic capacity, achieving a twofold increase in just five years. This remarkable accomplishment was presented by the German Solar Association (BSW-Solar) during the opening of The smarter E Europe 2025, in Munich.

This rapid expansion reflects a sustained upward trend: 2024 marked the eighth consecutive year of double-digit market growth, with 17.5 GW of new PV capacity added nationwide. Ground-mounted systems alone accounted for 6.6 GW—up by 50% compared to 2023—while commercial rooftop systems added 3.8 GW, representing a 30% increase.

“Germany has tripled its annual PV deployment in only three years,” stated BSW-Solar. These numbers underscore the country’s robust commitment to decarbonising its power supply and building a more resilient energy system.

Small-scale systems and shifting market dynamics

Residential uptake has been mixed. Traditional home rooftop installations under 30 kWp experienced a decline of 15% year-on-year, totalling 6.7 GW in 2024. This reversal is attributed to a cooling of the post-boom market, where lower prices and subdued demand curbed momentum.

Nonetheless, interest in residential solar remains high, with 60% of German homeowners expressing interest in installing solar panels. Balcony PV systems, or “plug-and-play” modules, surged dramatically in popularity, reaching nearly 800,000 units by the end of 2024, and delivering around 0.4 GW of new capacity—a 110% jump from the previous year.

Battery storage hits 2 million units: a turning point

One of the most transformative trends in Germany’s energy transition is the scale-up of storage. As of May 2025, there are two million operational battery storage units, providing a total capacity of 20 GWh.

The most dynamic growth came from large-scale commercial and utility storage systems, which expanded by 185% in the first quarter of 2025 alone. This more than compensated for the slowdown in the residential storage segment.

According to BSW-Solar, battery systems are central to achieving high levels of household energy self-sufficiency, with fully electrified homes reaching a median of 73% autonomy when combining solar, storage, EVs, and heat pumps. These so-called solar dream teams are becoming standard among German consumers, with 40% of private customers now opting for integrated energy systems.

The energy transition as an economic engine

Beyond environmental benefits, the solar industry is now a vital pillar of the German economy. In 2024 alone, the sector generated over €30 billion in revenue and supported approximately 120,000 full-time jobs.

On the global stage, Germany climbed to fourth place in installed PV capacity, surpassing Japan. The country was also the fifth-largest market for annual capacity additions, trailing behind Brazil, India, the United States and China, which added an astounding 329 GW last year.

Regulatory priorities for 2025–2030

To sustain this momentum, BSW-Solar proposed a ten-point agenda for the current legislative cycle. The priorities include:

• Simplifying permitting and grid connection processes

• Enabling multi-use storage systems through legal reform

• Modernising the electricity market to support decentralised generation

• Speeding up the rollout of smart meters and digital infrastructure

• Scaling up heat integration and decentralised supply models

“Now is the time to activate the storage turbo,” the association urged, underlining the urgency of regulatory action to meet Germany’s 2030 target of 215 GW installed PV capacity and covering 30% of national electricity demand from solar power.

Solar set to outpace lignite in 2025

BSW-Solar predicts that solar energy will overtake lignite coal generation in 2025, a historic shift that mirrors the European trend reported by the International Energy Agency (IEA), which noted that solar had already surpassed coal EU-wide in 2024.

Since 2020, Germany’s PV fleet has helped avoid more than 200 million tonnes of CO₂ emissions, making it a cornerstone in the fight against climate change.

Global leadership and future outlook

Globally, the PV sector installed 600 GW in 2024, and projections suggest this could rise by another 10–17% in 2025. Solar power now supplies around 7% of global electricity, and investments in the sector have surpassed all other electricity generation technologies, totalling $500 billion in 2024 alone.

“Solar power is no longer an alternative; it is a primary driver of global energy systems, investment, and employment,” BSW-Solar concluded at Intersolar Europe 2025.