Author: PPD Team Date: 15/04/2025
The European Union is projected to install 89 GW of new renewable energy capacity in 2025, according to European Commission estimates reported by Reuters. This includes 70 GW of solar and 19 GW of wind power. If achieved, this would surpass 2024’s total of 78.4 GW, marking a new record in annual additions.
The EU’s accelerated deployment of renewables is central to its climate targets and its goal to eliminate Russian gas imports by 2027. However, the renewable sector is facing hurdles, particularly in permitting and financial support.
SolarPower Europe, an industry body, has warned that recent policy reversals could hinder solar expansion. France’s reduction in feed-in-tariff support for rooftop solar has raised concerns about growth prospects. CEO Walburga Hemetsberger remarked that several key markets have pulled back, making the 70 GW solar target for 2025 harder to reach.
In 2024, the EU added 65.5 GW of solar and 12.9 GW of wind capacity. Growth in solar installations slowed to 4%, a significant drop from 50% in 2023. The EU must sustain 70 GW in annual solar additions to stay on track for its 2030 targets.
WindEurope has forecasted a 35% rise in wind installations in 2025, with 17.4 GW expected. However, wind developer Ørsted flagged challenges from rising costs and supply chain disruptions, which could affect project timelines and investment.
To support its decarbonisation goals, the European Commission in February 2025 announced plans to mobilise over €100 billion ($104.9 billion) under the Clean Industrial Deal. The initiative aims to scale up clean manufacturing across the bloc and reduce dependency on external supply chains.