{"id":158123,"date":"2025-08-01T13:34:00","date_gmt":"2025-08-01T13:34:00","guid":{"rendered":"https:\/\/www.pv-tech.org\/?p=158123"},"modified":"2025-08-01T13:34:02","modified_gmt":"2025-08-01T13:34:02","slug":"maintaining-the-business-case-for-solar-and-storage-in-the-uk","status":"publish","type":"post","link":"https:\/\/www.pv-tech.org\/maintaining-the-business-case-for-solar-and-storage-in-the-uk\/","title":{"rendered":"Maintaining the business case for solar and storage in the UK"},"content":{"rendered":"\n
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Strong market fundamentals and government support have both helped the UK solar and storage sectors grow. Image: Solar Media.<\/figcaption><\/figure>\n\n\n\n

Sustained private investment into European solar is starting to produce results, at least with regard to the growing role of solar power in the continent\u2019s energy mix.<\/p>\n\n\n\n

Figures from the International Energy Agency (IEA) show that, in 2024, the EU had one of the highest ratios of clean energy to fossil fuel investment, with more than US$10 invested into renewable power for every dollar that went towards the fossil fuel sector, and in June 2025, solar power accounted for a higher proportion of the EU\u2019s energy mix than any other power source for the first time ever<\/a>.<\/p>\n\n\n\n

However, with solar accounting for 22.1% of Europe\u2019s generation in June \u2013 just a shade higher than the 21.8% covered by nuclear \u2013 there is still a way to go to meet the EU\u2019s Renewable Energy Directive targets. Adopted in 2023, this obligates renewables to account for 42.5% of EU countries\u2019 energy mix by the end of the decade.<\/p>\n\n\n\n

While no longer a part of the EU, the UK remains an important part of Europe\u2019s clean energy transition, particularly with regard to the solar industry. Renewable power accounted for more than half of the country\u2019s domestic electricity generation in 2024<\/a>, while the country\u2019s operational solar capacity had increased by 5.9% year-on-year as of the end of April 2025<\/a>.<\/p>\n\n\n\n

At this year\u2019s Clean Power 2030 Summits, held in the days after the government\u2019s launch of its long-awaited Solar Roadmap<\/a>, industry experts said that strong market economics behind solar could drive a \u201chigh-quality\u201d energy transition in the UK<\/a>, to help meet both the country and the continent\u2019s energy transition goals, provided the UK remains an attractive investment space for solar investors.<\/p>\n\n\n\n

An attractive investment space<\/h2>\n\n\n\n

Ensuring renewable power can stand on its own two feet as an investment decision, and not be overly reliant on support schemes such as government subsidies, has been a challenge for every renewable energy sector in every part of the world. Even in more mature markets, such as the European solar space, experts have recently highlighted the need to build more \u201ccreative\u201d financing solutions<\/a> amid a macroeconomic environment that has urged more cautious use of capital across all components of the solar supply chain.<\/p>\n\n\n\n

However, for those active in the UK space, investing in solar remains attractive because of the autonomy it offers. Tom Hutchinson, CEO of the Montrose Port Authority in Scotland, Europe\u2019s largest chain and anchor port that has secured Eco Port status for its clean energy commitments, said that the port is \u201cunfortunately\u201d a buyer of clean power, and that building more robust electricity generation facilities would help the port achieve a degree of energy independence.<\/p>\n\n\n\n

\u201cIt\u2019s good that it\u2019s a guaranteed green source from the grid, but going forward, in the future, it only makes sense if we manage to be a bit more autonomous, if you like, and start generating our own energy,\u201d Hutchinson told PV Tech Premium<\/em> at the Clean Power 2030 Summits. \u201cThat\u2019s what we\u2019re trying to do.\u201d<\/p>\n\n\n\n

\u201cIf we can get away from the grid it would give us more margin to expand the shore power facilities in Montrose \u2013 we\u2019d be taking more of the profit, if you like \u2013 but obviously it\u2019s got to make financial sense,\u201d he added, highlighting the importance of growing in a financially responsible manner to achieve this level of autonomy.<\/p>\n\n\n\n

The port is already involved in a number of renewable energy projects \u2013 including providing operations and maintenance services for the 1GW Seagreen offshore wind project, the largest off the Scottish coast \u2013 but Hutchinson highlighted that the port would like to do more to expand its own electricity generation facilities. This includes the acquisition of 45 acres of new land to form a new Industrial Park, with space for rooftop solar and battery energy storage system (BESS) facilities.<\/p>\n\n\n\n

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