Sweden Solar Energy Market Size
| Study Period | 2021 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2021 - 2022 |
| CAGR | 23.30 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Sweden Solar Energy Market Analysis
The Swedish solar energy market is expected to have an installed capacity of 2,178 MW by the end of the base year. It is expected to register a CAGR of more than 23.3% during the forecast period.
Though the COVID-19 pandemic negatively impacted the market in 2020, it has reached pre-pandemic levels.
- Over the short term, soaring electricity prices incentivized installing solar PV systems for self-consumption, which is expected to be a significant factor driving the market.
- On the other hand, rising investments in alternative renewable energy sources, such as offshore wind energy and hydropower, are expected to restrain the growth of the Swedish solar energy market during the forecast period.
- Nevertheless, Sweden's target of achieving 100% renewable energy generation by 2040 is expected to create several opportunities for the Swedish solar energy market during the forecast period.
Sweden Solar Energy Market Trends
This section covers the major market trends shaping the Sweden Solar Energy Market according to our research experts:
The Ground-mounted Segment is Expected to Grow Significantly During the Forecast Period
- Swedish solar energy is dominated by the rooftop segment, with the ground-mounted segment accounting for a minor share of the market.
- However, the interest and activity in this market segment have increased significantly since 2020. The number and sizes of ground-mounted solar PV parks are expected to increase during the forecast period.
- In 2021, Sweden's total installed capacity of solar PV systems with sizes greater than 1 MW was 129 MW, greater than twice the installed capacity in 2020 (53 MW). However, growing private investments and declining costs of PV systems are expected to drive the market during the forecast period.
- Ground-mounted installations ranging from 800 kW to 7 MW are being developed by local municipality-owned utilities, including Kalmar, Luleå, Falu, Trollhättan, and Lidkoping.
- Several large utility-scale projects are also being developed by private players. For instance, in March 2022, the Swedish renewable developer Recap Energy and Finnish investment company Korkia signed a joint venture (JV) to develop more than 200MWp of ground-mounted solar PV projects in Sweden over the next four years. The newly formed JV will aim to sell shovel-ready projects that are backed either by signing corporate power purchase agreements (PPAs) or merchant-based revenue schemes.
- Moreover, in 2022, Helios Nordic Energy AB entered into an agreement with Nordic Solar to acquire four ground mounted projects in Helios project pipeline in the south of Sweden, of which three are in SE3 and one in SE4. They have a total combined capacity of approximately 220 MWp.
- Therefore, with decreasing costs and increasing investments by municipalities and private players, the growth of the ground-mounted segment is expected to be the fastest-growing segment during the forecast period.
Soaring Electricity Prices to Incentivize the Installation of Solar PV Systems for Self-consumption
- In the past couple of years, there has been a significant rise in the demand for electricity from the residential and industrial sectors. According to the Swedish Energy Agency, the total energy consumption in Sweden is expected to increase by 5% to 523 TWh between 2020 and 2024. Further, the industrial sector is expected to witness a surge in demand for electricity; energy use will increase by 5.1% to 143 TWh in 2024. Energy demand in the residential sector is anticipated to rise by 3.6% to 145 TWh during 2020-2024.
- Additionally, since the start of the Russia-Ukraine conflict, energy prices in Europe have skyrocketed. Sweden already has one of the highest electricity prices in Europe. As of August 2022, the average monthly electricity wholesale price was EUR 190.12/MWh, up by nearly 350% from EUR 54.34/MWh in January 2019.
- The country largely depends on hydropower and nuclear power for its electricity generation. According to the Swedish government, as of August 2022, in the total energy generation mix, hydropower contributes more than 38%, and nuclear power provides more than 29%.
- Since 2012, there have been more than 17% decline in the electricity generated from nuclear power as the country started phasing out nuclear power. In 2020, the Swedish government shut down two nuclear power reactors, Barsebäck 1 and 2. Furthermore, Ringhals 2 and Ringhals 1 nuclear power plants were permanently shut down after 44 years of operation in 2020 and 2021, respectively.
- Moreover, Vattenfall AB, a leading nuclear power company, has five operational nuclear power plants in the country. However, due to a lack of government policies for storing nuclear waste, the company would have to halt the operations in four nuclear power plants in the country till 2025, which is likely to result in significantly higher electricity prices during the forecast period.
- Hence, due to falling nuclear generation and rising gas prices across the continent caused by the geopolitical effects of the Russia-Ukraine conflict, the price of electricity in Sweden is expected to increase significantly, incentivizing the installation of solar panels for self-consumption, driving the demand for solar energy during the forecast period.
Sweden Solar Energy Industry Overview
The Swedish solar energy market is moderately fragmented. Some major players in the market (in no particular order) include HPSolartech AB, ABB Ltd, Exeger Sweden AB, InnoVentum AB, and Vattenfall AB.
Sweden Solar Energy Market Leaders
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Exeger Sweden AB
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InnoVentum AB
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Vattenfall AB
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HPSolartech
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ABB Ltd
*Disclaimer: Major Players sorted in no particular order
Sweden Solar Energy Market News
- November 2022: European Energy, a Danish-based developer of solar parks, is set to build a 128.5 MW solar park near Helsingborg in southern Sweden. The plant is expected to produce 175 GWh of electricity annually. Production is expected to begin in 2024 after the completion of the project by 2023.
- September 2022: Ilmatar Solar AB, a subsidiary of Ilmatar Energy, planned to build a solar park in the municipality of Motala in Östergötland, Sweden. The agreement between Ilmatar Solar and the consultant company Vinnergi AB includes the planning of new, large-scale solar parks. The partnership is planning the construction of a solar park that will be among the largest in Europe, with a capacity of 550 megawatts and produce enough electricity for 32 thousand households.
Sweden Solar Energy Market Report - Table of Contents
1. INTRODUCTION
1.1 Scope of the Study
1.2 Market Definition
1.3 Study Assumptions
2. EXECUTIVE SUMMARY
3. RESEARCH METHODOLOGY
4. MARKET OVERVIEW
4.1 Introduction
4.2 Solar Energy Installed Capacity and Forecast, in Megawatt (MW), till 2027
4.3 Recent Trends and Developments
4.4 Government Policies and Regulations
4.5 Market Dynamics
4.5.1 Drivers
4.5.2 Restraints
4.6 Supply Chain Analysis
4.7 PESTLE Analysis
5. MARKET SEGEMENTATION
5.1 By Location of Deployment
5.1.1 Rooftop
5.1.2 Ground-mounted
5.2 By End User
5.2.1 Residential
5.2.2 Commercial and Industrial (C&I)
5.2.3 Utility
6. COMPETITIVE LANDSCAPE
6.1 Mergers, Acquisitions, Collaborations, and Joint Ventures
6.2 Strategies Adopted by Key Players
6.3 Company Profiles
6.3.1 SVEA Renewable Solar AB
6.3.2 Vattenfall AB
6.3.3 S-Solar AB
6.3.4 InnoVentum AB
6.3.5 Exeger Sweden AB
6.3.6 Eneo Solutions AB
6.3.7 HPSolartech AB
6.3.8 ABB Ltd
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Sweden Solar Energy Industry Segmentation
Solar energy is a type of renewable energy in which solar panels are used to generate electricity. Solar panels deployed on rooftops or mounted on the grounds are utilized effectively by end users, including residential, commercial & industrial (C&I), and utilities. Solar energy has become the fastest-growing renewable energy source owing to the country's supporting government initiatives and surging investments in renewable energy projects.
The Swedish solar energy market is segmented by location of deployment (rooftop, ground-mounted) and end user (residential, commercial, and industrial (C&I), utility). The report offers the market size and forecasts in terms of installed capacity in MW for all the above segments.
Sweden Solar Energy Market Research FAQs
What is the current Sweden Solar Energy Market size?
The Sweden Solar Energy Market is projected to register a CAGR of 23.30% during the forecast period (2024-2029)
Who are the key players in Sweden Solar Energy Market?
Exeger Sweden AB , InnoVentum AB , Vattenfall AB , HPSolartech and ABB Ltd are the major companies operating in the Sweden Solar Energy Market.
What years does this Sweden Solar Energy Market cover?
The report covers the Sweden Solar Energy Market historical market size for years: 2021, 2022 and 2023. The report also forecasts the Sweden Solar Energy Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
What are the opportunities for stakeholders in the Sweden Solar Energy Market?
The opportunities for stakeholders in the Sweden Solar Energy Market are a) Technological advancements, increasing energy demand b) Electrification of transportation, and rural electrification c) Emphasis on energy storage, and the rise of community solar projects
Solar Energy in Sweden Industry Report
The Sweden solar energy market is experiencing significant growth, driven by increasing demand for renewable energy and strong governmental support through favorable policies and incentives. Segmented into residential, commercial, and utility-scale projects, each sector caters to distinct needs, contributing to the market's expansion. Technological advancements and decreasing costs of solar panels have made solar energy more accessible and economically viable, encouraging adoption across these segments. Despite challenges like seasonal variations and high initial costs, ongoing innovations and the commitment of solar energy companies in Sweden are creating numerous opportunities, including advancements in technology and potential applications in rural electrification and transportation electrification. The positive future outlook for the solar energy market in Sweden is supported by expectations for continued growth and a significant role in Sweden's transition to renewable energy. For detailed statistics on market share, size, and revenue growth rate, refer to industry reports such as those provided by Mordor Intelligence™, which offer a comprehensive market forecast outlook and historical overview. Get a sample of this industry analysis as a free report PDF download.
