As of the beginning of 2024, Sweden solar energy capacity reached approximately 3.973 gigawatts (GW). This figure reflects significant growth, with around 1.6 GW added in 2023 alone.⁶

Svensk Solenergi expects Sweden to add between 1 GW and 1.3 GW of new solar power by the end of 2024.⁷

Official statistics from Swedish energy agency Energimyndigheten is predicting Sweden’s solar power will increase to 9 TWh in 2027.

⁸⁹¹⁰

• Coal: 66-87 $/MWh
• Natural Gas: 54-76 $/MWh
• Nuclear: 43.5-65 $/MWh
• Onshore Wind: 32.6-54 $/MWh
• Offshore Wind: 65-90 $/MWh
• Solar PV: 32.6-54 $/MWh
• Hydropower: 32.6-43.5 $/MWh

¹¹¹²¹³

• Hydropower: 41%
• Nuclear Power: 29%
• Wind Power: 19%
• Biomass and Waste: 8.55%
• Solar Power: 1%
• Fossil Fuels (including coal and natural gas): less than 2%

The Swedish government has established a reliability standard that aims for the production and import of electricity to cover the expected consumption requirement 99.989% of the time, equating to a maximum allowable shortfall of about 1 hour per year.¹⁴

As of the end of 2023, Sweden had about 252,000 solar panel installations connected to the grid, with 96,000 installations being added in 2023 alone.⁷¹⁵

By the end of 2024, an additional 65,000 solar panel installations are projected in Sweden.

Approximately 91% of grid-connected solar installations in Sweden have a capacity of less than 20 kW, which is common for residential systems.

Sweden had about 22,500 small-scale solar farms ranging from 20 to 1000 kW in capacity and 98 solar parks with an output of more than 1 MW.¹⁶¹⁷

At the moment there are around 360 solar projects with a combined total power of 11 GW waiting on permit decisions in Sweden.

At the end of 2024, the opening of a particularly large solar park in Studsvik, Nyköping municipality is planned. It will have an area of 23 hectares and an annual production of 25 GWh of electricity.

The majority of solar installations in Sweden are grid-connected systems, particularly for residential use.¹⁸

The off-grid market in Sweden has been small, mainly serving holiday cottages, marine applications and caravans.

Sweden aims for 100% renewable electricity by 2040, setting ambitious targets for renewable energy.⁷¹⁹

In 2024 only will be added between 1 GW and 1.3 GW of new on-grid solar capacity.

The residential sector leads the market as homeowners cut energy costs and boost sustainability. Businesses are also ramping up solar investments to reduce expenses and meet sustainability goals. This dual demand fuels a strong market for on-grid solar installations.

Government incentives, such as feed-in tariffs, tax credits, and grants, along with public support for renewables, drive solar market growth. Technological advances and better manufacturing efficiency have significantly lowered solar panel costs.

The average monthly salary in Sweden is around $3,757- 4,217 before taxes.²⁰²¹

The average monthly salaries for Solar Engineers range from $4,030 to $4,780.

The average monthly salary for Solar cell Installers is around $2,530 to $3,000.

The current population of the Sweden is 10,676,389.²²

Cost Structure for Installation²³

A study analyzing the cost structures of 15 Swedish installation companies for typical turnkey grid-connected roof-mounted residential PV systems indicates costs for a residential solar panel system (4-6 kWp) can range from $5,620 to $9,366, depending on the system’s complexity and size.

Levelized Cost of Energy (LCOE)²⁴

The LCOE for utility-scale solar power plants in Sweden is between $0.03 and $0.054 per kWh. This cost reflects capital expenditures (capex) ranging from $656 to $845 per kilowatt installed.

Operational and Maintenance Costs²⁴

The yearly fixed operations and maintenance costs for solar parks in Sweden average around $4.57 to $9.91 per kW installed.

Estimate for Factory Rent²⁵

In Sweden, factory land prices vary significantly by region. For instance, in Stockholm, the prime rent for industrial and logistics real estate is about $6.86 per square meter, which is the highest among Swedish cities.

Industrial Electricity Rates³²⁶

In June 2024, the average wholesale electricity price was reported at around $31.24 per MWh, The electricity market in Sweden is divided into four price zones, which affects pricing based on location:

• Luleå (SE1): Northern Sweden
• Sundsvall (SE2): Central Sweden
• Stockholm (SE3): Metropolitan area
• Malmö (SE4): Southern Sweden

Water Costs²⁷

The structure of water rates in Sweden:

• Fixed Charges: it is a base fee and usually constitutes about 32% of the total water bill.
• Variable Charges: This part is based on the volume of water consumed. For industrial users, the average price for water supply services is approximately 1.36 $/m³.
• Sewerage Charges: It is also a variable component based on usage, with average charges around 1.2 $/m³ for wastewater treatment.

Salaries and Wages²⁰²¹

Worker of solar industry in Sweden earn between from $2,530 and $4,780 monthly, depending on the position.

Rent for Office Space²⁸

Rental costs for the office space may vary a lot across Sweden. In central locations like Stockholm, office rent is approximately 775 $/m²/year.

Insurance²⁹

In Sweden, the average spending per capita in the property insurance market is approximately $770 USD for non-life insurance as of 2022.

Sweden’s energy infrastructure is characterized by a strong emphasis on sustainability and a diverse energy mix, primarily focused on renewable sources.³⁰³¹

Energy Mix

• Renewable Energy: Sweden generates approximately 98% of its electricity from renewable sources and nuclear power. The main contributors include:
  • Hydropower: Over 50% of electricity production, with more than 1,900 hydroelectric stations.
  • Wind Power: Accounts for around 10% of electricity generation and is rapidly expanding.
  • Biomass and Solar Power: Biomass is used for heating, while solar power capacity has increased significantly, reaching 3.9 GW in 2023.
• Nuclear Power: Contributes about 30% of electricity, playing a crucial role in maintaining low carbon emissions.
• Fossil Fuels: Sweden has phased out coal for electricity production and relies minimally on natural gas, which is imported from Denmark.

Infrastructure and Interconnections

• The electricity transmission infrastructure is managed by Svenska Kraftnät, which oversees the integration of hydropower from the north to meet consumption demands in the south. Sweden’s interconnection level with neighboring countries is projected to reach 28% by 2027.
• The natural gas network is relatively small, with limited access across municipalities, primarily serving large consumers.

Policy Goals

• Sweden aims for 100% renewable electricity production by 2040 and net-zero carbon emissions by 2045. The government supports these goals through various policies, including a high carbon tax that encourages the use of renewable energy.
• The country is also a major net exporter of electricity, exporting over 20% of its generation to other European countries.

Electricity Certificate System³²

• Sweden introduced a market-based support system for renewable electricity production based on electricity certificates in 2003.
• For every MWh of electricity produced from renewable sources, the producer receives a certificate that can be sold, providing additional income.
• Electricity suppliers and certain users are legally obliged to purchase certificates corresponding to a set quota of their sales/consumption, creating demand.
• The electricity certificate system aims to cost-effectively achieve the national goal of increasing renewable electricity production by 46.4 TWh from 2012-2030.

Regulation on State Subsidies for Solar Panels³³

• Regulation No. 2009:689, updated by Regulation No. 2011:1473, forms the basis for grants for all types of solar/PV installations in Sweden.

Lack of Incentives for Large-Scale Solar³⁴

• Current regulations and subsidies have favored small-scale ownership of photovoltaic systems in Sweden.
• To promote larger systems and solar-as-a-service, changes in regulations are required to align with the goal of 100% renewable electricity by 2040.
• Swedish policy instruments have favored small-scale systems where the consumer owns the system, limiting the development of community solar and leasing models

³²³⁴³⁵

Energy Investment Grant

The Swedish government offers an Energy Investment Grant that covers up to 20% of the installation costs for solar panel systems for both homes and businesses.

Net Metering

Sweden has a favorable net metering system, allowing solar panel owners to sell excess electricity back to the grid at competitive rates. This mechanism helps reduce energy costs and provides an additional income stream for solar producers.

Green Certificate System

The Green Certificate system rewards producers of renewable energy, including solar power. For every megawatt-hour (MWh) generated, producers receive certificates that can be sold to utilities or companies aiming to meet renewable energy targets.

Regulation on State Subsidies

Regulation No. 2009:689, updated by Regulation No. 2011:1473, forms the basis for grants for all types of solar photovoltaic (PV) installations.

Tax Reductions for Green Technology

As of January 1, 2021, support for solar panels transitioned to a tax reduction for green technology, which further encourages the installation of solar systems.

Community Solar Projects

There is a growing interest in community solar projects, which allow multiple individuals to invest in larger solar installations. This model aims to increase access to solar energy for those who cannot install systems on their properties.

Leasing and Power Purchase Agreements (PPAs)

Solar leasing and PPAs have gained traction, allowing consumers to benefit from solar energy without the upfront costs. Under these arrangements, solar companies install and maintain the systems, while users pay for the electricity generated.

³⁶³⁷³⁸

Installed Projects

Sparbanken Skanes Solar PV Park 1

• Location: Scania
• Capacity: 18MW
• Details: The project was commissioned in 2021. It was developed by SVEA Solar.

Swedbank Solar PV Park

• Location: Ostergotland
• Capacity: 12MW
• Details: The project was commissioned in 2020. It is owned by Alight.

Nya Solevi Solar PV Park

• Location: Vastra Gotaland
• Capacity:5.5MW
• Details: The project was commissioned in 2018. It was developed by Goteborg Energi.

Varberg Norra Solar PV Park

• Location: Halland
• Capacity: 5MW
• Details: The project came online in 2021. It was developed by Encavis, Solgrid.

Solpunkten Solar PV Park

• Location: Scania
• Capacity: 4MW
• Details: The project has been operating since 2021. It was developed by C4 Energi.

Projects under development

Ilmatar Energy Project – Halland county

• Location: Tönnersjö
• Capacity: 450 MW
• Details: Planned to be the largest solar plant in Northern Europe.

Ilmatar Energy Project in Grums

• Location: Värmland
• Capacity: 350 MW
• Details: Planned to have an annual generation capacity of 350 GWh, enough for 17,500 homes.

Kogshult PV solar park

• Location: Sjöbo
• Capacity: 150 MW
• Details: Being developed by OX2, expected to be operational by 2027.

Solar farm in Svedberga

• Location: Helsingborg
• Capacity: 128.5 MW
• Details: Being developed by European Energy, expected to be completed and fully operational by the end of 2024.

³⁹⁴⁰

Svenska Solar

• Website: https://www.svenskasolar.se/
• Details: A leading provider of solar energy solutions based in Gothenburg, specialized in the design, installation, and maintenance of high-efficiency solar energy systems, focusing on residential, commercial, and industrial projects.

SolTech Energy

• Website: https://soltechenergy.com/en/
• Details: Soltech Energy Sweden AB, headquartered in Stockholm, is a publicly traded company on Nasdaq Stockholm, specializing in solar energy solutions, with a focus on electricity, facade, and roofing sectors, and operates through various subsidiaries in Sweden, Spain, and the Netherlands.

Midsummer

• Website: https://midsummer.se/
• Details: Midsummer, headquartered in Järfälla, Sweden, specializes in the production of lightweight, flexible, and aesthetically integrated thin-film solar panels, suitable for various roofing materials.

Svenska Solar

• Website: https://www.svenskasolar.se/
• Details: A leading provider of solar energy solutions based in Gothenburg, specialized in the design, installation, and maintenance of high-efficiency solar energy systems, focusing on residential, commercial, and industrial projects.

Exeger

• Website: https://www.exeger.com/
• Details: Exeger, headquartered in Stockholm, manufactures innovative solar cells called Powerfoyle™ that convert any light into electrical power, offering customizable and durable solutions for integrating solar technology into various consumer products.

Melacs Energi

• Website: https://www.melacs.se/
• Details: Melacs Energi develops and supplies advanced renewable energy systems for industrial, commercial, and residential applications, offering products such as inverters, solar panels, optimizers, EV charging solutions, fuel cells, and batteries, all designed for both on-grid and off-grid integration.

HP SolarTech

• Website: https://hpsolartech.se/
• Details: HP SolarTech, headquartered in Stockholm, provides advanced solar energy solutions designed for efficiency and reliability. The company specializes in the development, installation, and maintenance of high-performance solar power systems, delivering tailored and durable solutions for harnessing solar energy across diverse applications.

SunRoof

• Website: https://sunroof.se/
• Details: SunRoof, headquartered in Stockholm, offers cutting-edge solar roof solutions that integrate seamlessly with modern architecture. Specializing in customizable solar roof tiles and panels, SunRoof combines innovative design with high-efficiency technology to provide sustainable and aesthetically pleasing energy solutions for residential and commercial properties.