Spain's rooftop solar tops 9 GW but new installations slowing

Spanish households and companies installed fewer rooftop solar power systems last year after the withdrawal of some tax deductions, solar industry group UNEF said on Thursday, with overall installed capacity reaching 9.3 gigawatts.

The 2025 data showed a continued slowdown after breakneck growth through 2022 fuelled by generous subsidies.

Once the impact of those subsidies faded, new installations began to decline. Inflation squeezing household budgets and lower energy prices reducing the incentive to cover upfront costs also contributed.

Households and companies added 1,139 megawatts of rooftop capacity last year, 3.7% less than in 2024.

The decline was concentrated in smaller domestic systems, with new installations falling 17%, while larger industrial users added 0.7% more capacity than in 2024.

Fiscal incentives, regulatory changes and support for shared projects - in which solar panels supply power to a group of consumers rather than a single household - are key to sustaining the sector, UNEF said.

-Pietro Lombardi/Reuters