Almost 22GWh of battery storage was installed in Europe in 2024, despite slower year-on-year growth, according to the latest European Market Outlook for Battery Storage.
The installation of 21.9GWh of battery energy storage systems (BESS) marked the eleventh consecutive year of record breaking-installations, and bringing Europe’s total battery fleet to 61.1GWh.
However, the annual growth rate slowed down to 15% in 2024, after three consecutive years of doubling newly added capacity.
Walburga Hemetsberger, chief executive of SolarPower Europe, said: “If Europe has already entered the solar age, the battery storage age is just beginning.
“With solar energy mainstreaming across the continent, now is the time for European decisionmakers to put batteries at the centre of a flexible, electrified, energy system.
“We urge the European Commission to double-down on their efforts here and come forward with an EU Energy Storage Action Plan as part of a broader Energy System Flexibility Package.
“The recent electricity outage in the Iberian Peninsula is a stark reminder of why this is important.”
The BESS market in Europe is set to grow faster in the next years, although not at the levels required. In the most-likely scenario for 2025, 29.7 GWh of battery storage will be installed in Europe, representing a 36% annual growth, according to the report.
By 2029, the report anticipates a sixfold increase to nearly 120GWh, driving total capacity to 400GWh (EU-27: 334GWh).
However, this remains far below the levels required to meet flexibility needs in a renewable-driven energy system.
According to the Mission Solar 2040 study, EU-27 BESS capacity must reach 780GWh by 2030 to fully support the transition.
Europe’s 2025 growth hinges on the large-scale utility battery projects set to come online in the course of the year.
The large-scale battery segment is growing rapidly, and for the first time, is set to represent most of battery installations on the continent this year.
Historically, home batteries have driven the European battery storage market, but 2025 will mark their drop to represent 33% of the market.
As the effects of the energy crisis wane – and related support schemes – European citizens are less inclined to install batteries at home.
On the other hand, commercial & industrial battery storage is set to grow slightly in 2025, as businesses tap into the energy security and cost effectiveness that solar and storage can offer.
Markus Elsaesser, the chief executive of Solar Promotion, said: “Europe’s solar success has laid the foundation – now battery storage is stepping into its pivotal role.
“With solar power surging across the continent, the need for flexible capacity has never been clearer, and batteries are ready to deliver.
“As with solar cells and modules, prices for battery storage technology have fallen rapidly over the past decade.
“If we apply the same focus and ambition to storage that we once did to solar, Europe can build a resilient, renewables-based energy system faster than many think. The momentum is there – now it’s time to scale.”
In 2024, the top five national markets added 78% of Europe’s new battery capacity, though there was some movement in their exact standings, according to the analysis.
Germany maintained its leading role despite a drop in residential installations and the slow uptake of larger batteries.
Italy’s home battery segment also decreased, but the large-scale segment’s capacity surge brought the market to new heights.
The UK experienced a temporary slump due to project delays at the large-scale level, but remained at a higher altitude than Austria and Sweden, which both reached the GWh scale for the first time thanks to a very strong growth in the residential and commercial and industrial (C&I) market, the report found.