Solar Energy Surpasses Coal in the EU in 2024: A Historic Turning Point for the Sector

For the first time in 2024, solar energy has surpassed coal in electricity production within the European Union. This marks a significant milestone in the EU's energy transition, with renewable energy accounting for nearly 50% of electricity production.

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In 2024, the European Union reached a major milestone in its energy transition. For the first time, solar energy produced more electricity than coal, according to a report published by the think tank Ember. This shift symbolizes the accelerating move toward renewable energy sources, a trend further bolstered by the ongoing decline in the use of fossil fuels in the region.

The share of renewable energy in the electricity production of the 27 EU countries reached a new record, representing nearly 47% of the total. This marks a significant increase from 2019, when renewable energy accounted for just 34% of electricity production. In parallel, the share of fossil fuels, including coal and natural gas, dropped from 39% in 2019 to 29% in 2024.

This progress has been largely driven by the rapid growth of solar energy, which, combined with a rebound in hydropower production, has significantly reduced the EU’s dependence on fossil fuels. Indeed, electricity generation from gas has declined for the fifth consecutive year, a sign of a structural transformation underway in the European energy sector.

The economic impact of this transition is also noteworthy. Chris Rosslowe, the lead author of the report, highlighted that the growth of solar and wind energy has allowed the EU to avoid fossil fuel imports worth 59 billion euros since 2019. These savings have strengthened the region’s energy resilience and contributed to the reduction of greenhouse gas emissions.

However, despite these advances, experts warn that much remains to be done. While solar continues to grow, wind energy must expand further. According to Ember, the EU’s wind capacity needs to more than double by 2030 to meet the Union’s climate goals and maintain this momentum in the energy transition.

The reduction in coal production is also evident in several European countries. More than half of the EU member states have either completely eliminated coal from their energy mix or reduced its share to less than 5%. This phenomenon demonstrates the rapid shift in Europe’s energy priorities, where climate concerns are intertwined with economic and geopolitical considerations.

The Challenges to Overcome

While the EU has made significant progress, integrating renewable energy into the electricity grid remains a major challenge. The fluctuations in solar energy production, depending on the seasons and weather conditions, require strengthening energy storage and demand management infrastructures. Solutions such as energy storage and smart grid technologies will be essential to ensure the stability of energy supply.

A Model for the Future?

The evolution of the European energy mix could serve as a model for other regions of the world, particularly emerging economies. As the costs of solar and wind technologies continue to decrease, the EU demonstrates that the energy transition is not only possible but also economically advantageous in the long term. However, the path ahead is still fraught with challenges, and greater cooperation between member states will be crucial to maximizing the benefits of this transformation.

The company has secured a 108 MW solar project in Sicily, its largest in Italy, following the second national FER X auction, strengthening its portfolio of energy investments in the country.
Independent power producer GreenGo strengthens its portfolio to 193 MW under public schemes, after winning a new 48 MW solar project through the FER X NZIA programme.
Italy awarded over 1.1 gigawatts to 88 solar projects using no Chinese equipment, in a European first, at an average tariff of €66.38/MWh, 17% above previous auctions.
French firm Newheat forms a joint venture with Sunmark Chile to develop large-scale solar thermal heat projects for the mining sector, targeting decarbonisation of copper extraction processes in Chile.
Scatec has begun commercial operation of the second phase of its 120 MW solar project in Mmadinare, marking a strategic step in Botswana’s energy sector.
Origis Energy finalised a $290mn financing with Natixis CIB and Santander for the Swift Air Solar II and III projects, totalling 313 MWdc of installed capacity in Ector County, Texas.
ACWA Power and Bapco Energies signed a joint development agreement for a solar power plant integrated with storage technology in eastern Saudi Arabia, to supply electricity to Bahrain.
The Tilley Solar project, led by Indigenous and private partners, has reached full commissioning, adding 23.6 MW to Alberta's power grid and marking an economic milestone for Alexander First Nation.
Waaree Solar Americas will supply next-generation bifacial modules to Sabancı Renewables for two utility-scale solar plants in Texas, strengthening its presence in the North American market.
A court in Illinois has dismissed a lawsuit filed against ECA Solar, removing legal barriers to the construction of a planned solar facility outside the city limits of Morris.
EDF power solutions acquires a 20% stake in Obelisk, a 1.1GW hybrid solar and storage project in Egypt led by Scatec and Norfund, marking a new milestone in its regional strategy.
Mitsubishi HC Capital Energy and Ecokaku will develop 10 MW of non-subsidised solar power plants annually in Japan, targeting direct contracts with industrial buyers through long-term power purchase agreements.
Canadian company NU E Power plans to fund the development of its solar projects in Lethbridge and feasibility studies in Mongolia, Malaysia, and Africa through a $1.8mn private placement.
Citicore Renewable Energy Corporation signed a PHP3.975bn ($71mn) project finance loan with Bank of the Philippine Islands to accelerate the completion of its 113MW solar power plant in Pangasinan province.
Norwegian producer Scatec launches commercial operation of its 273 MW solar plant in Western Cape under a 20-year power purchase agreement.
Scatec has signed two shareholder agreements for its 1.1GW hybrid project in Egypt, reducing its economic interest while retaining operational control.
The French subsidiary of Solarwatt has filed for court-ordered restructuring, hit by reduced public subsidies and a downturn in the residential solar segment.
Zelestra sells its Latin American platform to Promigas, including 1.4 GW of operational or under-construction assets and 2.1 GW of advanced-stage projects in Chile, Peru and Colombia.
Over 140 solar sector companies have urged Congress to lift a directive from the Department of the Interior blocking permit approvals, putting hundreds of energy projects in the United States at risk.
Un terminal portuaire en Espagne alliera réfrigération industrielle haute performance et production solaire pour optimiser les coûts énergétiques et les capacités logistiques de PTP Ibérica, avec un démarrage prévu d’ici mi-2026.

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