Solar Power Driving the Next Phase of Energy Growth

Solar energy is firmly establishing itself as the engine of global electricity growth. In 2025, it delivered around 75% of the net increase in power demand worldwide, showing a clear signal of how quickly the energy transition is progressing.

This momentum has been building for over a decade, with solar installations scaling at record levels year after year. The impact is now substantial, with solar generation capable of offsetting significant volumes of gas-fired power, strengthening both sustainability and energy security.

So what’s Behind the Rapid Rise?

The key driver is cost. Since 2010, solar PV costs have fallen by around 90%, making it the most affordable option for new electricity generation in many markets. Alongside this, battery storage is advancing quickly, growing by around 40% in 2025 helping to improve reliability and support wider adoption.

Accessibility is also playing a major role. The growth of rooftop and distributed solar systems is opening up opportunities across both developed and emerging markets, giving businesses and consumers more control over their energy use while reducing costs.

Strong Momentum, With Challenges to Address

This rapid growth has helped renewables overtake coal in global electricity generation for the first time, marking a significant turning point. Solar, with its strong annual expansion, is at the centre of this shift away from fossil fuels.

That said, challenges remain. Grid infrastructure is under pressure and struggling to keep up with demand, while higher financing costs continue to slow progress in some regions.

One thing is becoming clear, solar is now a cornerstone of the global energy mix. The focus moving forward will be on ensuring the systems around it evolve just as quickly to support continued growth.

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📩 If you have any questions about your business energy needs or would like support navigating the evolving energy market, we’re here to help. Please get in touch at hello@gleg.co.uk