The Chairman of the Board of the Solar Energy Association of Ukraine (SEAU) shared the results of the solar energy market’s performance last year and outlined what lies ahead for the solar industry in 2025.
On January 9, 2025, a press conference was held on the topic: “Sun, Wind, Biogas: How Green Energy Will Help Ukraine Stand Strong in 2025.”
The event was attended by the leaders of prominent renewable energy associations:
- Vladyslav Sokolovskyi – Chairman of the Board of the Solar Energy Association of Ukraine;
- Oleksandr Dombrovskyi – President of MHP Eco Energy, Chairman of the Board of Global 100% RE Ukraine;
- Andriy Konechenkov – Chairman of the Board of the Ukrainian Wind Energy Association;
- Heorhii Geletukha – Chairman of the Board of the Bioenergy Association of Ukraine.
During the press conference, Vladyslav Sokolovskyi, Chairman of SEAU, delivered a speech.
He noted that 2024 was a challenging year for the national energy sector:
“Everyone remembers the missile strikes in April of last year, which destroyed many generation facilities. But we held out, and we are moving forward.”
According to SEAU estimates, approximately 800 to 850 megawatts of solar capacity were installed last year, the vast majority of which were installed by businesses for self-consumption and households.
“This was facilitated by the cancellation of VAT and import duties on solar panels and other equipment during the summer. Of course, this growth is not comparable to, for instance, 2019, when industrial solar power plants were actively constructed. Nonetheless, we are seeing positive changes,” Mr. Sokolovskyi stated.
Numerous preferential loan programs have been launched. Support is being provided by the Ukrainian Decarbonization Fund, state banks, and international NGOs offering grant funding for the installation of solar power plants at critical and social infrastructure facilities.
In 2025, the expert forecasts continued growth in new solar capacity installed by businesses, primarily with energy storage systems for self-consumption.
In the second half of 2025, an increase in industrial solar power plant projects is anticipated. Some of these were announced in 2024.
The Chairman of SEAU also mentioned that this year, greater penetration of solar energy in the agricultural sector is expected. He also noted the potential beginning of classical agrivoltaic development, which is currently scarce in Ukraine: solar panels installed at a height of 6–7 meters on fields, allowing machinery to operate on the site.
Currently, many agricultural companies, such as MHP, are installing solar power plants with energy storage systems for self-consumption—for office operations and farm energy supply.
“Primarily, solar installations are needed by agricultural companies located far from power substations or requiring new power transmission lines. Economic feasibility will drive the agrivoltaic issue, whose global growth we are observing. Agricultural companies should seriously consider this opportunity. This year, we will certainly see the first results,” Mr. Sokolovskyi concluded.
The expert also highlighted the expected development of distributed generation based on solar power plants with energy storage systems. Factors supporting this goal include relatively low prices for solar panels, the implementation of military risk insurance mechanisms for investors (a topic under active discussion), preferential lending, and grant programs.
“Until 2022, distributed generation was largely overlooked, with the state paying no attention to these issues. It was only the full-scale invasion that pushed the state to start developing distributed generation processes,” the SEAU Chairman noted.
In addition, the removal of price caps in the day-ahead and intraday electricity markets, market coupling with European energy markets, and accelerated EU integration are expected to support the renewable energy market and the broader energy sector.
The legal mechanism of corporate PPAs (Power Purchase Agreements) is expected to gain traction for regulating relationships between investors and entrepreneurs looking to install solar power plants. This mechanism is widely used in Europe and the Americas.
The solar sector’s development will be driven by businesses seeking energy security and reduced energy production costs. Solar power plants can be installed relatively quickly, but now it must be done with energy storage systems. Solving energy security issues will allow businesses to reduce electricity bills in the future as the situation stabilizes.
Mr. Sokolovskyi also pointed out certain challenges market participants face in their relations with the state. Specifically, he emphasized that private investors are the primary contributors to Ukraine’s energy development, including the renewable energy sector. Trust in relationships with the state is crucial for these investors to effectively secure their energy needs.
“Thus, the state must think of its main ally—private investors. If the state begins implementing non-market regulatory mechanisms in the energy market, including in the renewable energy sector, in my view, the system will collapse,” Vladyslav Sokolovskyi stressed.
Next year, the expert believes solar, wind, and bioenergy will move forward together, providing the country with greater energy security and development opportunities.