More than 100,000 workers in Germany's solar industry are dedicated to promoting the energy transition and climate protection. Last year, the German solar sector achieved a turnover of around 30 billion euros, resulting from the sale of over one million solar power installations and approximately 575,000 storage systems, as reported by the German Solar Association (BSW-Solar). These findings were released at the opening of The smarter E Europe exhibition in Munich.
After a significant increase in domestic sales of photovoltaic systems and solar power storage last year, BSW-Solar predicts continued growth in the low double-digit percentage range for newly installed PV and storage capacity in 2024. This would mark a crucial phase in the photovoltaic expansion, vital for the energy transition. By 2030, the share of solar power in Germany's electricity supply is expected to nearly double, from the current 12% to around 25%.
40% of the target achieved
Carsten Körnig, Managing Director of the German Solar Industry Association, indicated that around 40% of this ambitious target has been achieved, thanks to widespread support for solar power from the general public. He noted that the next stages of the energy transition will require even greater efforts from all involved and emphasized the need for business and political leaders to remain committed to climate protection.
BSW highlighted that the COVID-19 pandemic and the energy crisis provided additional growth momentum for the solar industry. Körnig explained that these developments spurred a significant economic boom in residential solar power in Germany, leading to a minor energy revolution on domestic balconies. Despite a slight cooling in demand for solar rooftop installations among private property owners recently, interest remains high. Moreover, the number of plug-in solar devices installed per month in April and May of 2024 was unprecedented.
81% more solar power on company roofs
Körnig identified the primary growth drivers for the next two years as the "solar electrification of open spaces and company rooftops." According to the Bundesnetzagentur, Germany's federal network agency, 81% more solar power was commissioned on company roofs in the first four months of this year compared to the same period last year. A YouGov survey conducted in late May on behalf of BSW-Solar found that over half (56%) of 450 companies with PV-compatible rooftops plan to install a solar system within the next three years, with 40% also planning to electrify their vehicle fleets during this time.
The growing demand for photovoltaics, coupled with innovative storage and charging infrastructure, is expected to drive rapid growth in the coming years. As the transition in the transport and heating sectors gains momentum, there will be even more advancements in solar technology. Electromobility is on the rise globally, and the heat pump is poised to become the new heating standard despite its initial challenges.
80% photovoltaic customers also have storage system
A survey by BSW-Solar revealed that around 80% of photovoltaic customers in Germany's residential sector now also have a home storage system. Additionally, 40% have installed a heat pump and/or a wall box for electric car charging alongside their solar system.
According to SolarPower Europe, Germany moved up from sixth to fourth place in the global ranking of newly installed photovoltaic capacity last year, behind China, the United States, and Brazil. Körnig remarked that as a pioneer in the energy transition, Germany is once again accelerating the expansion of solar technology.
Despite these advancements, BSW-Solar emphasized the need for improvement in the production of solar modules and their upstream products. Unlike the installation of solar power plants, the German government has yet to establish the necessary investment security for constructing solar giga-factories in the competitive and capital-intensive international market. There is also significant room for reducing bureaucratic hurdles.
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