Solar build-out in Germany slowed last year. Biggest drop was among households

Germany is continuing to expand renewable energy, primarily through the construction of solar and wind power plants. According to the country’s solar association, however, newly installed photovoltaic capacity recorded a slight decline last year. While construction of ground-mounted solar parks was stronger than in 2024, the household segment saw a quarter-on-year decline.

In terms of installed capacity, solar power plants are by far Germany’s largest source. Their total installed capacity had already exceeded 100 GW by the end of 2024, and last year the country installed a further 17.5 GWp of capacity, according to preliminary data published by the solar association BSW-Solar. The association says this represents a slight slowdown compared with 2024, when plants with a capacity of 17.7 GWp were commissioned.

A look at the individual areas of Germany’s solar sector shows growth in ground-mounted installations. While this group of plants grew by 6.5 GWp in 2024, construction accelerated to 8 GWp last year. By contrast, the household installation segment saw a relatively sharp decline, falling year-on-year from 6.8 to 5.2 GWp. There was also a slight decline among businesses and industrial companies, from 3.9 to 3.7 GWp.

The situation among end consumers was partly offset by growing sales of small-scale systems, most commonly in the form of balcony solar panels. Germany added 0.5 GWp of these last year, up 25% year-on-year. The popularity of balcony solar panels has been growing rapidly in Germany in recent years, helped in part by changes to regulations and legislation.

According to BSW-Solar, Germany needs to add 20 GW of installed capacity annually to meet its 2030 target of 215 GWp of total installed solar capacity. With around 118 GW currently installed, the country is already halfway to reaching that goal.

Solar power plants are Germany’s second-largest source of electricity after onshore wind, although combined, hard-coal and lignite-fired plants still had a slight lead. According to data published on the ENTSO-E platform, German photovoltaic generation rose to 73.5 TWh last year, from 63.2 TWh the year before. However, these figures do not include all decentralised installations, so total generation may have been 10 to 15 TWh higher, according to other sources.