Solar PV leads global new renewables additions in 2023 – IEA

Facebook
Twitter
LinkedIn
Reddit
Email
Net additions of solar PV were 220GW last year, representing a 35% of increase year-on-year. Image: Unsplash

Solar PV additions have seen significant increase over the past few years, while it is also leading the increase in new renewable capacity worldwide this year, according to the International Energy Agency’s latest report Renewable Energy Market Update June 2023.

Globally, net additions of solar PV were 220GW last year, a 35% increase from 2021. However, overall renewable energy capacity additions rose by only 13% to nearly 340GW in 2022.

This article requires Premium SubscriptionBasic (FREE) Subscription

Unlock unlimited access for 12 whole months of distinctive global analysis

Photovoltaics International is now included.

  • Regular insight and analysis of the industry’s biggest developments
  • In-depth interviews with the industry’s leading figures
  • Unlimited digital access to the PV Tech Power journal catalogue
  • Unlimited digital access to the Photovoltaics International journal catalogue
  • Access to more than 1,000 technical papers
  • Discounts on Solar Media’s portfolio of events, in-person and virtual

Or continue reading this article for free

Expansions in China and the European Union (EU) accounted for more than 85% of the growth in annual PV capacity additions. The annual growth rose in almost all major markets last year except the US, as this market shrank by 15% due to supply chain challenges and rising costs.

Source: International Energy Agency

In the upcoming years, solar PV additions will continue to grow as the IEA expected that it will account for two-thirds of next year’s entire renewable capacity additions.

In 2023, solar PV will remain the main source of global renewable capacity expansion, accounting for 65% of growth with distributed applications, including residential and commercial systems that will account for almost half of global PV expansion. The growth of distributed applications is partly due to Russia’s invasion since it drove wholesale and retail electricity price hikes in many parts of the world. Therefore, small solar PV systems will become more economically attractive for residential and commercial customers.

Looking forward, the annual solar PV market growth is expected to continue, reaching almost 310GW in 2024, an increase of over 7% from 2023. Lower module prices, greater distributed PV system uptake and a policy push for large scale deployment will trigger higher annual additions in all major markets, including China, the EU, the US and India.

Source: International Energy Agency

IEA revised the forecast for renewable capacity additions for 2023 and 2024 upwards by 38% compared to its estimation made in December 2021, increasing from more than 80GW to about 120GW. In the EU, residential and commercial solar PV systems will account for 74% of the increase to IEA’s forecast, with the majority (82%) of the rise coming from six key markets: Germany, Spain, the Netherlands, France, Italy and Sweden. Retail electricity prices hike between 2021 and 2022, as well as policy changes after Russia’s invasion of Ukraine, contributed to the rapid growth of distributed solar PV.

Apart from solar PV capacity additions, manufacturing capacity for all solar PV production segments is expected to more than double to 1,000GW by 2024, led by China and increasing supply diversification in the US, India and Europe.

Last year, global solar PV manufacturing capacity increased by more than 70% to reach almost 450GW, with China accounting for over 95% of new facilities throughout the supply chain. In both 2023 and 2024, global solar PV manufacturing capacity is expected to double and China will claim over 90% of the increase.

Read Next

August 8, 2025
This week several solar developers have raised funds for projects around the world, including BRUC in Europe, Greenalia in the US, Qair in Mauritius and CREC in Philippines.
August 8, 2025
German renewable energy developer ib vogt has officially broken ground on a 99MWp solar PV power plant in South Cotabato, the Philippines.
August 7, 2025
US-based floating solar (FPV) developer D3Energy is constructing a 6MW floating solar system in Monroeville – a village in Huron County, Ohio. 
August 7, 2025
Infinity Power has signed two concession agreements with the Government of Côte d'Ivoire for PV projects with a total capacity of 80MWac.
Premium
August 7, 2025
July 2025, the peak of the Australian winter season, saw generation from utility-scale and rooftop solar increase by 12.78% year-on-year in the National Electricity Market (NEM).
August 7, 2025
Despite severe flooding in the Waiotahe Valley in New Zealand, Lodestone Energy has confirmed that its 42MW Te Herenga o Te Rā solar PV power plant has continued operations.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
September 16, 2025
Athens, Greece
Solar Media Events
September 30, 2025
Seattle, USA
Solar Media Events
October 1, 2025
London, UK
Solar Media Events
October 2, 2025
London,UK
Solar Media Events
October 7, 2025
Manila, Philippines