The UK has witnessed a steady rise in the adoption of solar energy in recent years. The combination of government incentives, technological advancements, and growing environmental awareness have fuelled its growth in the domestic and commercial markets.
We have also seen fresh policy commitments, with the new government promising a “rooftop revolution”, which aims to triple the UK’s solar capacity by 2030. Since coming into office, the government has also greenlit 2GW worth of solar farm capacity—more than the last 14 years combined. With further eco-friendly policies set to come into force over the coming years, there is huge optimism for the future of the country and its potential to become a leading green power.
August 2024 saw reliance on fossil fuels fall to less than one-fifth of all electricity generated across the country. The most recent renewables report from the National Grid indicates that 4.9% of the UK’s energy is attributable to solar—a figure that has no doubt increased since the report was published in 2023.
In terms of the power produced by solar, data from August 2024 also shows that the UK has installed over 16.9GW of solar power capacity, enough to power 2.8 million UK homes annually.
We are also seeing large-scale solar farms becoming increasingly common in rural settings. The most recent government data indicates that there are 1,336 operational solar farms in the UK, and factoring in projects awaiting construction or planning permission, there are set to be over 4,000 solar farms in the UK—with many more on the horizon.
In addition, several recent commitments from asset management companies state their intent to spend billions on solar power and other renewable technologies in the UK by the end of the decade.
This underlines the bullishness that many key players in the renewables sector have placed in the UK as a region in which they can do business, and that is receptive to their aims.
So, this growth in solar farms and interest from private equity is absolutely critical as we not only seek to reach our ambitious net-zero carbon target by 2050 but also as we aim to provide the UK consumer with greater energy independence and less of a pinch on their purse strings throughout the year.
‘Are solar panels worth it?’
Consumer interest in solar panels has also grown in tandem with government support. Online searches for the phrase “Are solar panels worth it?” increased by nearly 350% between 10-21 September compared to the eight-week period from early February to late March earlier this year.
This indicates a growing interest from consumers in installing solar panels and perhaps provides some optimism ahead of what will be a trying winter for installers and consumers alike.
In addition, the rising energy price cap presents a huge opportunity for installers to push harder to sell the benefits of solar, especially at a time when consumers will likely be seeking to reduce their reliance on ever-volatile energy prices.
However, when we factor in the awful summer we have just had—which is saying a lot for a British summer–it is clear that poor weather is impacting consumers and their perceived value of solar panels. According to analysis by the Department for Energy Security and Net Zero, whilst August 2024 saw higher installation levels than 2016-2021, the 15,732 installations were way below figures seen in the halcyon summer of 2023.
Traditionally, winter has been perceived as an unfavourable time to install solar panels, but we have a window to ensure consumers are in pole position to spend less money heating their homes heading into the new year.
Future Homes Standard
With the upcoming Future Homes Standard set to require new homes built from 2025 to produce 75%-80% less carbon emissions than current building regulations, there will be a new generation of homeowners living in properties who might not yet be fully aware of the energy benefits their new home can offer them.
The government’s house-building target, laid out in the 2024 Labour manifesto, was the delivery of “1.5 million new homes over the next parliament”, or five years. If we, as a nation and a sector committed to the championing of renewable energy, are committed to reaching our net-zero goal, it is imperative that this target is met, to further accelerate our net-zero goal.
The Climate Change Committee—an independent body that advises the UK government on its climate change efforts—has said solar installation rates must multiply by a rate of five if the nation is to meet its 2030 net zero goals.
Progress is good, but avoid complacency
Ultimately, it is clear that the entire renewable sector has enjoyed a strong year to date. The onus now falls upon leaders in our sector to capitalise upon this.
It’s apparent that solar energy is no longer confined to sun-drenched regions in Europe or America. It’s critical to the global energy transition and has proven to be a really effective way to minimise carbon emissions and address climate change.
A recent article in the Financial Times cited the work of leading academics from the University of Exeter, who argued that “we have passed a global irreversible tipping point where solar energy gradually comes to dominate global electricity markets”.
This might be true, and it is undoubtedly good news for our industry and for our race towards net zero. With supportive policies and incentives for consumers and suppliers alike, the UK can carve out its place at the forefront of the global move to net zero by adopting solar energy as a core component of the country’s energy portfolio.
But I urge against accepting this as a fait accompli. We’re heading in the right direction, but this shouldn’t be met with complacency.
Volatile energy prices continue to hold consumers hostage, and we—as those fortunate enough to shape renewable energy policy and drive consumer and commercial installations—have the duty to ensure we’re meeting their needs while the solar sector enjoys its moment in the sun.
