Sweden will install 652 MW of solar power in 2025.

Sweden added 652 MW of new solar capacity last year, as per estimates from Svensk Solenergi. This shows a decrease from the 848 MW installed in 2024, bringing the total capacity to approximately 5.4 GW.

In 2025, residential installations amounted to 239 MW, reflecting a 39% decline from the previous year. Alex Jankell, head of politics at Svensk Solenergi, mentioned to pv magazine that the household market was affected by the elimination of a tax rebate program at the beginning of the year. He noted that lower energy prices, as compared to the significant increases in 2022, along with rising interest rates and inflation, have also influenced this market segment.

Despite the downturn in the residential sector in 2025, installations under 20 kW still make up more than half of Sweden’s solar market, totaling just above 3 GW in capacity. Currently, there are over 287,000 solar power stations below 20 kW in Sweden, which represent 90% of all grid-connected solar installations.

Commercial and industrial installations saw 215 MW in 2025, a 35% decrease year-on-year, while utility-scale installations rose significantly, achieving a record deployment of 198 MW, which is 46% more than in 2024.

The large-scale segment constituted 30% of new solar capacity in 2025, a significant increase from 7% in 2024. The largest new installations included Sweden’s biggest solar facility thus far, the 100 MW Hultsfred solar farm, along with the 64 MW Ax-el solar park. Additionally, developer Svea Solar revealed plans to establish eight new solar parks in Sweden, aiming for a total capacity of around 500 MW.

Jankell remarked that there is a transition towards larger-scale solar projects, frequently paired with substantial battery systems. However, he pointed out ongoing challenges like high costs and lengthy wait times for grid connections. He advocated for Sweden to adopt suggested modifications to permitting processes to enhance their speed and predictability.

The residential battery market is expanding, with initial data from the Swedish Tax Agency indicating that approximately 75,000 individuals received a green reduction for battery installations in 2025, marking a 34% rise from the previous year.

Jankell proposed that Sweden’s solar market could be bolstered by eliminating the energy tax on electricity produced and consumed at the same meter, and by implementing appropriate power tariffs that adequately reward solar and battery systems for their contribution to the grid. He also recommended establishing fair revenue frameworks for Swedish grid companies that encourage flexibility rather than just grid expansion.

Jankell stated to pv magazine that more solar capacity is expected to be installed this year compared to 2025. He commented, “With the introduction of solar requirements in the Energy Performance of Buildings Directive, new permitting processes underway, and an overall decline in PV and battery costs, we anticipate that 2025 marks the lowest point in the installation trend.”