One could almost take it for granted that solar is breaking deployment records year after year. And indeed, the global solar power fleet passed the 3 TW milestone in early 2026, less than two years after reaching 2 TW and only four years after entering the terawatt era. What is even more impressive is that solar now supplies 9% of global electricity demand – three times as much as just five years ago.

In 2025, the world installed a record 664 GW of new solar capacity, a 12% increase over the previous year. Once again, solar was by far the largest contributor to new renewable power generation worldwide, accounting for around 80% of renewable capacity additions. It also outpaced the combined additions of fossil fuel and nuclear power generation. These remarkable achievements reflect the extraordinary pace at which solar has become the backbone of the global energy transition.

But now is not the time for complacency.

In an increasingly uncertain geopolitical and economic environment, shaped by repeated energy security crises and fossil fuel price volatility, solar paired with battery storage is becoming more important than ever. No other technologies can deliver affordable, resilient and rapidly deployable energy at scale while simultaneously strengthening national and individual energy security. This edition therefore includes a dedicated chapter exploring the growing relationship between solar deployment, energy independence and resilience.

The solar message is crystal clear: the technology is ready for much more, the economics are compelling, and the strategic rationale has never been stronger

Yet a closer look at the numbers reveals that the industry is entering a new phase. While solar continues to grow, the pace of expansion is moderating. We expect the global market to contract by 8% in 2026, primarily due to a projected 24% decline in China following major changes to its solar market design. The rest of the world keeps mostly growing, but, as the world’s dominant solar market, developments in China inevitably shape global trends.

Looking ahead, growth remains firmly on the horizon. Under our Medium Scenario, global solar capacity is forecast to more than double to 6.6 TW by 2030. Impressive at first sight, this represents a downward revision from last year’s forecast of 7.1 TW, reflecting the structural constraints that increasingly accompany solar’s success. Grid congestion, insufficient storage, limited system flexibility, permitting delays, financing barriers and supply-chain resilience are already key challenges hampering further growth.

For this reason, the Global Solar Council has expanded its policy recommendations. In addition to longstanding priorities, governments should integrate solar into national energy security strategies and accelerate the deployment of battery storage, recognising its dual role in strengthening resilience and providing system flexibility.

The case of Australia, our region in focus this year and the upcoming COP31 co-host, demonstrates the benefits of strategic investment in storage, showing how even a very mature solar market can continue to unlock new opportunities. Policy support has triggered an unprecedented battery storage boom in the country already home to the highest per-capita solar deployment globally, adding more than 10 GWh of residential storage in less than a year and beginning to decrease gas generation during evening peak demand periods.

If more countries follow the Australian approach, our High Scenario could turn into reality, pointing to over 15% additional upside potential, with the global solar fleet reaching 7.6 TW by 2030. That pathway becomes increasingly achievable, and could be even conservative, if governments accelerate electrification, modernise power systems and draw the appropriate lessons from the recent fossil fuel energy crises.

The COP31 Presidency’s proposal for a 35% global electrification target sends a strong and positive signal. At the same time, promising solar developments in Southeast Asia in response to the latest fossil fuel crisis in particular highlight the region’s growing momentum. Home to more than half of the world’s population and heavily dependent on imported fossil fuels, the region has a unique opportunity to strengthen both its energy security and economic competitiveness through solar
and storage deployment.

The solar message is crystal clear: the technology is ready for much more, the economics are compelling, and the strategic rationale has never been stronger. The task now is to ensure that policy frameworks keep pace with the extraordinary momentum of solar and battery storage. If they do, the next terawatts will arrive even sooner than currently expected.

Finally, we would like to thank the national solar and renewable energy associations that contributed their expertise and market intelligence to this report. Their insights and feature articles help make the Global Solar Market Outlook a unique and comprehensive assessment of solar market developments around the world.

Enjoy reading our report.

Global Solar Market Outlook 2026-2030

22 June 2026