Portugal added 499 MW of solar between December 2024 and May 2025, according to figures from the Portuguese Association Of Renewable Energy (APREN). By May, cumulative solar capacity reached 6.17 GW.
The association told pv magazine that during the first half of the year, Portugal’s cumulative solar power generation reached 2,865 GWh, equivalent to 10.9% of the country’s renewable electricity production. In June, solar surpassed wind generation in Portugal’s energy mix for the first time.
The 499 MW of solar installed between December and May consists of 264 MW from centralized utility-scale solar plants and 235 MW from decentralized systems comprising both residential rooftop and commercial and industrial solar units, primarily operating under self-consumption frameworks. APREN says the distributed generation segment is steadily expanding, driven by growing interest from households and businesses in producing their own clean energy.
The market drivers supporting Portugal’s solar market are the result of “years and years of work”, APREN said, and include continued policy support for renewables, growing awareness of the benefits of clean energy, the expansion of self-consumption schemes, greater availability of financing options and ongoing efforts to streamline permitting procedures.
But the association warned that not all of these driveres remain a reality. “For instance, it is getting harder to finance these types of projects, and the country has endured some political instability in the past two years, with two governments stepping down and consequent elections slowing down the deployment of renewables” the association explained.
APREN is forecasting around 500 MW of solar will be added in the second half of this year, meaning it is unlikely Portugal will reach its record 1.77 GW in 2024. To meet the 20.8 GW solar target in the country’s National Energy and Climate Plan, Portugal needs to install around 2.6 GW of new solar capacity annually, more than double the current pace.
The association told pv magazine there is some concern around the recent slowdown in installations. It pointed to several regulatory changes that could unlock further growth in Portugal’s solar market, including the establishment of a centralized administrative platform for all necessary permits and approvals and enforcing a maximum two-year deadline for permitting processes.
Other recommendations from the association include defining acceleration zones for renewables, boosting grid availability and flexibility and expanding the use of contracts for difference and power purchase agreements to help improve project bankability, reduce investment risks and encourage further capital inflow into the solar sector.
“These regulatory reforms would create a more conducive environment for solar energy development by reducing administrative burdens, enhancing investment certainty and fostering market stability,” the association said. “Accelerating these changes is critical if Portugal is to meet its ambitious renewable energy targets and maintain its leadership in clean energy deployment.”
Following the April 2025 blackout, Portugal commenced an emergency plan centered on grid resilience and large-scale battery storage, APREN added.
The Portuguese government has committed over €400 million ($462.2 million) to modernize grid operations and control systems, while scaling up battery capacity from 13 MW to 750 MW through an auction planned for early 2026. Meanwhile, a separate €25 million scheme is planning to fund solar-plus-battery systems for hospitals, utilities and other critical infrastructure.
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