The UK solar market is set for significant growth in the coming years, driven by a surge in solar photovoltaic (PV) and battery storage installations. A report by Solar Media highlights the increasing value of the UK solar and battery storage market, which is expected to exceed ยฃ30 billion annually by 2028. This growth is bolstered by substantial new funding, with recent government and state-backed investments expanding solar rollout schemes to a total of ยฃ255 million, targeting public sector buildings like hospitals and schools.
UK Solar Market: Capacity to Triple by 2030
The UKโs solar capacity is projected to triple by 2030, with an additional 50GW of solar PV expected to be installed by the end of the decade. Recent figures show this momentum is already building, as the UK added 190 MW solar capacity in Q1 2024, pushing the nation closer to its ambitious goals.
This growth will be accompanied by significant advancements in battery storage, with Solar Media forecasting a six-fold increase in battery capacity over the next five years. This expansion is crucial for balancing energy supply and demand, particularly as the UK continues to decarbonize its energy mix and integrate more intermittent renewables.
The Role of Battery Storage in the UK solar market
Battery storage is set to play a critical role in the UKโs energy transition. Solar Mediaโs report predicts that by 2028, there will be 34.6 GW of battery storage capacity in Great Britain (GB), up from 5.7 GW in 2024. This growth is fuelled by increasing demand for renewable energy and supportive government policies, enabling the grid to store excess solar power and dispatch it during periods of high demand or low generation.
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The report also highlights a shift in the types of projects being developed. While there is currently a large pipeline of projects, Solar Media anticipates that the volume of new applications will decrease after 2025. This is attributed to the maturity of the market and the expectation that many of the necessary large-scale projects will already be in development by that time.
Challenges and Opportunities in the UK solar market
Despite the optimistic outlook, there are challenges facing the UK solar market. The report notes that while there is a substantial pipeline of projects, many have stalled due to various factors, including grid connection issues and financing challenges. Weather variability, such as increased cloud cover in Northern UK, can also impact solar output. As a result, Solar Media expects the pipeline to shrink by 50% as more projects reach financial close and move into the construction phase.
However, there are significant opportunities for growth. The domestic solar market is booming, with new data showing over 1.6 million UK homes are now generating their own solar power. On a larger scale, major investments continue to pour in, exemplified by projects like the Quinbrook Acquires 350 MW Mallard Pass Solar PV Project, which represents a major boost to the UK’s renewable energy capacity. This increasing role of solar PV is critical as the country moves towards its net-zero targets.
The Future of Solar in the UK solar market
The UK government has set ambitious targets for solar PV, outlined in the UK solar targets 2035: Essential Roadmap to 70GW. This goal, aiming to increase capacity from 15.3 GW in 2023 to 70 GW by 2035, is supported by a combination of government policy, market incentives, and technological innovation.
One of the key drivers of this growth is the falling cost of solar PV technology. Over the past decade, the cost of solar panels has decreased significantly, making it one of the most cost-effective forms of electricity generation and delivering real financial benefits, as one Guest Centre Counts ยฃ5000 Savings in Solar Transition. This trend is expected to continue, further boosting the adoption of solar PV in the UK.
In addition to cost reductions, technological advancements are also playing a crucial role. Innovations in solar panel design, energy storage, and grid integration are making solar power more efficient and reliable. Understanding the basics of solar panel manufacturing reveals how improvements in the solar panel manufacturing process lead to higher-efficiency modules. These advancements are helping to overcome some of the traditional barriers to solar adoption, such as intermittency and grid constraints.
The UK solar market is set for substantial growth, driven by a combination of policy support, technological innovation, and declining costs. While challenges remain, particularly in terms of project financing and grid integration, the overall outlook for the UK solar market is positive.
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