Solar photovoltaic capacity worldwide surpasses 2.2 TW in 2024

The global solar photovoltaic (PV) market set a new milestone in 2024, according to the latest Snapshot of Global PV Markets report by IEA PVPS. Global cumulative capacity surpassed 2.2 TW, with more than 600 GW added in just one year. This marks a steep rise from the 1.6 TW recorded in 2023, driven primarily by China, which accounted for nearly 60% of new installations. Solar PV now covers more than 10% of the world’s electricity demand, signaling a landmark achievement for renewable energy.

China leads solar PV growth, emerging markets accelerate

China spearheaded the expansion, adding between 309 and 357 GW in 2024, pushing its total installed capacity beyond 1 TW. Europe ranked second with 71.4 GW of new additions (62.6 GW within EU countries), followed by the United States at 47.1 GW. India (31.9 GW) and Pakistan (17 GW) also stood out, with Pakistan's capacity increasing 13-fold from 2023. Brazil and Germany maintained strong positions in the global top five, while Japan, South Korea, and Australia showed signs of slowing in the Asia-Pacific region.

Solar PV reshapes the global energy mix

In 2024, solar PV represented over 75% of all new renewable capacity installed worldwide. Solar power alone provided more than 10% of global electricity consumption. In 27 countries, including Greece, Spain, Chile, and Germany, solar PV’s share exceeded 10%, reaching over 20% in some cases.

This growth was driven by declining module prices, supportive policies, and the expansion of power purchase agreements (PPAs). In regions with high solar penetration, challenges such as curtailment and the need for grid flexibility have emerged.

Low prices and overcapacity fuel global PV expansion

The year 2024 was marked by a surplus in solar module production, particularly in China, resulting in significant price drops. Supply outpaced demand, prompting companies to cut costs in order to maintain positive cash flow. This created favorable conditions for installations in emerging markets such as India, Pakistan, and Brazil.

However, the pressure on local manufacturers in Europe and North America intensified. This overcapacity may drive new business models, including applications in green hydrogen, Direct Air Capture, and agrivoltaics.

Residential solar, storage, and smart grids on the rise

Global solar growth is not limited to large-scale deployments. The residential and prosumer segments continue to expand, supported by self-consumption models, incentive tariffs, and energy communities. Policies promoting energy storage are becoming critical, especially in countries with high solar penetration.

Grid integration remains a key challenge: as full-capacity solar generation increases, cases of congestion, negative pricing, and storage needs are multiplying. Grids must evolve to support a more distributed energy landscape.

The report also highlights the emergence of floating PV as a growing solution in dense areas and land-constrained regions.

Floating solar gains traction in the renewable mix

Floating solar photovoltaic (FPV) is gaining momentum worldwide. According to IEA PVPS Task 13, as of early 2024, at least 7.8 GW of floating solar capacity was operational globally, with a project pipeline exceeding 60 GW. Originally developed to limit agricultural land use, the technology has rapidly evolved, now commonly installed on water reservoirs, artificial lakes, and dams. Leading markets include China, India, South Korea, the Netherlands, and Brazil, with installations growing across Europe and Africa. The global technical potential for FPV is estimated between 3,000 and 4,000 GWp, leveraging just a fraction of available freshwater surfaces.

Key benefits include up to 10% higher efficiency than ground-mounted systems, reduced water evaporation, minimal land impact, and compatibility with hybrid hydro-solar setups.

Challenges remain, including costs, mechanical durability, biofouling, ecosystem impact, and lack of regulatory standardization. Still, FPV is increasingly seen as a strategic asset for large-scale solar deployment.

Climate goals, supply chains, and the path forward for solar PV

Solar PV has become a cornerstone of the global energy transition. Yet, the industry remains vulnerable to geopolitical and industrial dynamics. Heavy dependence on Chinese manufacturing raises concerns about supply chain resilience. Policymakers in Europe, the United States, and India are ramping up support for local production, but competitiveness gaps persist. IEA PVPS member countries expect steady growth in 2025, driven by new regulatory incentives and expanding PPA markets.

Solar PV’s future will take center stage at KEY – The Energy Transition Expo, a leading event for clean energy technologies across Europe, Africa, and the Mediterranean region. From March 4–6, 2026, companies from across the sector will showcase innovations and connect with stakeholders, policymakers, researchers, and institutions. The event will provide in-depth insight into the present and future of solar energy, with hundreds of sessions, panels, and workshops, alongside a high-level lineup of international exhibitors and guests.

Article developed in collaboration with Rinnovabili.it