This is stated in the latest annual report ‘Snapshot of Global PV Markets’, by the IEA Photovoltaic Power Systems Programme.
Spain added 7.7 gigawatts (GW) of solar photovoltaic energy in 2023, which raised the cumulative installed capacity to 37.6 GW, according to data from the latest report “Snapshot of Global Photovoltaic Markets 2024” by the Photovoltaic Power Systems Programme of the International Energy Agency (IEA-PVPS).
Although the new capacity was 10% less than that installed a year earlier, it allowed it to place itself in sixth place in the world for added capacity, behind China, the United States, India, Germany and Brazil, and in the same place for cumulative solar capacity, with 37.6 GW, behind China, the United States, India, Japan and Germany. This last figure places Spain as the country with the highest penetration of solar photovoltaic energy in the world, with a rate of 21.1%, ahead of the Netherlands (20.5%) and Chile (19.5%).
In this case, generation is based on the theoretical production of all installed photovoltaic energy, calculated on the basis of the accumulated photovoltaic capacity at the end of 2023, close to the optimal location, orientation and optimal annual weather conditions, and includes commercial-scale production, self-consumption and even off-grid generation.
The figures, according to the report, may differ from the photovoltaic figures in some countries. This is obviously an optimistic assessment, and should be considered indicative, as it provides a reliable estimate for comparison between countries and does not replace official data.
Strong increases
The number of countries with theoretical penetration rates above 10% doubled from last year, reaching 18, and while countries with smaller populations such as Spain, the Netherlands, Chile and Greece were leaders, more populous countries including Germany and Japan also exceeded 10%. And while grid congestion has become an issue, policy measures, technical solutions and storage are already providing viable solutions to improve PV penetration.
Global cumulative PV capacity grew to 1.6 TW in 2023, up from 1.2 TW in 2022, with 407.3 GW to 446 GW [1] of new PV systems commissioned, and in the order of approximately 150 GW of modules in inventories worldwide. After several years of strain on material and transportation costs, module prices plummeted in a market with a huge oversupply, keeping PV competitive even as electricity prices declined after historic peaks in 2022.
With active development policies, China’s PV installations soared to a record 235 GW DC (or even up to 277 GW) or more than 60% of global new capacity reaching 662 GW of cumulative capacity. Remarkably, this annual capacity accounts for more than 15% of total global cumulative capacity and is almost equivalent to the second largest cumulative capacity – Europe. This represented once again an annual installed capacity of more than double, compared to 105.5 GW in 2023 and 54.9 GW in 2021.
China, US and Europe
Europe demonstrated continued strong growth installing 61 GW (of which 55.8 GW in the EU), led by a resurgence in Germany (14.3 GW) and higher volumes in Poland (6.0 GW), Italy (5.3 GW) and the Netherlands (4.2 GW) and a significant contribution from Spain (7.7 GW), although this was a 10% drop, as can be seen in the following chart from the report.
In the Americas, the two main markets grew: the US, after a slow 2022, installed 33.2 GW, and Brazil maintained its dynamic 2022 market to install 11.9 GW, placing its cumulative capacity in the top ten globally, immediately behind Spain.
India had a slightly slower year, with 16 GW, once again predominantly in centralised systems. Other Asia-Pacific markets also slowed, including Australia (3.8 GW), while Korea (3.3 GW) and Japan (6.3 GW) remained stable.
Solar power soars
Market growth outside China reached an honourable 30%, while China’s domestic growth exceeded 120%, which explained the tremendous development of the PV market.
Individual markets remain sensitive to policy support and domestic electricity prices despite competitiveness in most market segments in many countries. The ability to move forward with local manufacturing projects initiated in previous years is uncertain, as significant increases in manufacturing capacity in China have led to supply outstripping global demand and, in the meantime, the growth in the solar market is expected to reach 120% in 2018.
