Remember when we were kids and climate change was just another topic we heard about on National Geographic? Little did we know, the invisible boogeyman of greenhouse gas emissions was slowly but surely becoming the Grinch stealing our Christmas. Rewind to today and it seems every conversation eventually circles back to climate change and renewable energy. But just like in a group project, there are always some who put in the work early while others, well, prefer to wait for the last minute. In the global drive towards sustainable energy, certain countries have taken the lead, paving the way for a sunnier future. This article shines a spotlight on the top 10 countries leading in solar energy adoption. If you want to know about the top 10 renewable energy countries in general, read our article. Let’s dive in.
Before we reveal the top ten countries leading in solar energy, keep in mind that this list reflects the state of solar energy up to 2022 (according to the International Renewable Energy Agency). As you probably imagined, this arena is fast-changing—think shifting investments, evolving policies, and the sheer human drive to harness that great big power station in the sky.
I know, it sounds crazy since they’re also the biggest carbon polluters on Earth. But the truth is, China’s transformation from a coal-dependent economy to the global leader in solar energy is nothing short of phenomenal. According to Bloomberg NEF, China spent $41 billion on large-scale solar projects in the first six months of 2022, up 173% from the previous year. But how did they get here? The Chinese government started investing heavily in renewable energy in the early 2000s, with a significant emphasis on solar power after the introduction of the Renewable Energy Law. This law provided a solid foundation for China’s solar boom, promising grid connectivity and favorable pricing for solar power providers.
The rise in China’s solar energy production has been remarkable, growing from just a few gigawatts in the mid-2000s to having a total solar energy capacity of 393 GW in 2022. This growth has been largely fueled by favorable policies and incentives, such as feed-in tariffs and financial support, to promote the development of solar energy. These actions improved the investment climate and prompted more solar energy project development. Second, China spent a lot of money constructing solar infrastructure including factories and farms like the Tengger Desert Solar Park, commonly known as the “Great Wall of Solar,” which allowed for the mass manufacture of solar panels and lowered their prices. Solar energy became more competitive with traditional energy sources as a result of this cost efficiency. Rapid economic development and increasing energy needs created a favorable environment for solar power, which accelerated its spread across the country.
China’s solar journey is not only about big numbers; it’s also about technological innovation. The country has taken a commanding lead in photovoltaic technology, pushing the boundaries of efficiency and affordability. Despite occasional bumps in the road, such as issues related to grid connectivity and project financing, China’s march towards solar dominance seems unstoppable.
The solar power journey of the United States dates back to the 1970s oil crisis, which triggered a rethink of the nation’s energy policy. This led to the establishment of the Solar Energy Research Institute (now the National Renewable Energy Laboratory) which became operational in 1977, marking the start of investments in solar technology. NREL’s objective was to develop renewable energy solutions and boost related R&D and transfer knowledge and innovations to achieve the nation’s energy and environmental goals. Over the years, continued expenditures in R&D have resulted in technological advances and enhanced the efficiency and affordability of solar energy systems.
Federal and state policies, such as the Solar Investment Tax Credit (ITC) which provides financial incentives for residential and commercial solar installations, have been instrumental in encouraging solar power adoption. State Renewable Portfolio Standards (RPS), net metering policies, and feed-in tariffs have been introduced, with California frequently setting the example. Furthermore, public-private collaborations, which frequently involve the US Department of Energy, have fuelled solar research.
In 2022, solar energy accounted for 4.7% of USA’s electricity, up 21% from the previous year, with a total of 113 GW of solar capacity in 2022, putting it only second to China in the list of countries leading in solar energy adoption. We can surely say that solar energy in the U.S. is a thriving industry, as of 2021, it provides jobs for over 255,000 people and drives technological innovation (a growth of 9.2% over 2020). Moreover, the decentralization of solar power production, with millions of homes and businesses installing solar panels, illustrates the broad appeal of solar energy across the country.
Japan’s push into solar energy became particularly urgent following the Fukushima nuclear disaster in 2011. This tragic event led to a major shift in the nation’s energy policy, with an increased emphasis on renewable resources, especially solar power. Japan’s Feed-in Tariff (FiT) scheme, implemented in 2012, incentivized the production of renewable energy and accelerated the growth of the solar sector. The FiT scheme required power companies to buy electricity generated by certified renewable sources such as solar, wind and hydro, at fixed prices set by the government for a set period of time, in order to encourage investment in renewable power generation.
Before 2012, the accumulated Japanese solar PV capacity was 5.6 GW. Fast forward to 2022, Japan had a solar energy production capacity of 78.8 GW, making it one of the top countries leading in solar energy adoption. Key to this achievement is a broad spectrum of solar installations, ranging from rooftop solar systems in urban areas to massive solar parks in rural regions, like the Setouchi Kirei Mega Solar Power Plant.
Japan’s commitment to solar energy also reflects in its industrial strategy. The country is home to several leading solar technology companies, including Sharp, and Kyocera. But it hasn’t all been smooth sailing, with limited land availability and grid stability posing occasional challenges.
Germany’s journey towards renewable energy began in the 1970s when the country experienced a growing awareness of the need for alternative energy sources. During this time, the oil crisis and concerns about nuclear power stimulated a strong interest in renewable energy solutions.
However, the key catalyst was the 100,000 Roofs Program in 1999, offering below-market loans to stimulate the installation of photovoltaic systems larger than 1 kW, aiming to develop an additional 300 MW capacity. The program successfully supported 55,000 installations and created 261 MW of extra capacity, terminating in July 2003. Another significant milestone in Germany’s renewable energy transition came in the early 2000s with the launch of the Energiewende, or “energy turnaround.” A cornerstone of this policy shift was the Renewable Energy Act (EEG) in 2000, which introduced the Feed-in Tariff (FiT) system. This innovative policy ensured stable returns for renewable energy producers, catalyzing a wave of solar installations.
As a result, by 2022, Germany had an impressive solar energy production capacity of around 66.5 GW, consistently among the top in the world. The country’s solar landscape is characterized by a mix of small rooftop systems and larger solar farms, making it a uniquely decentralized energy market. Furthermore, German manufacturers, such as Sonnen and SMA Solar Technology, have been at the forefront of solar technology innovation. Despite challenges, including a sometimes cloudy climate and regulatory adjustments, Germany’s commitment to solar energy has remained unshaken.
India’s solar energy journey has been nothing short of inspiring. In the early 2000s, India’s energy mix was largely dependent on coal, which accounted for more than half of its total power generation.
But this developing nation began to recognize the enormous potential of solar energy in the 2010s. With approximately 250-300 clear sunny days a year, India has one of the highest solar incidences in the world. This made solar energy an abundant, renewable, and economically viable option to meet the country’s growing energy needs, leading to the launch of the Jawaharlal Nehru National Solar Mission in 2010, aiming to make India a global leader in solar energy.
By 2022, India had a solar energy production capacity of about 63.1 GW, an impressive leap from just a few hundred MW a decade earlier. This growth has been driven by large-scale projects like the Bhadla Solar Park in the Thar Desert of Rajasthan, one of the world’s largest solar parks, as well as numerous rooftop solar installations.
Moreover, India’s focus on solar energy extends beyond mere production. The country is a founding member of the International Solar Alliance, an initiative aimed at promoting solar technology and investment globally. Despite India being one of the countries leading in solar energy adoption, it faces considerable challenges, such as grid infrastructure and financing issues.
Australia is a sunbather’s dream, and the country has been taking full advantage of this solar abundance. Australia’s solar journey began to pick up steam in the early 2000s, with the introduction of the Mandatory Renewable Energy Target (MRET) in 2000. Government incentives, including feed-in tariffs, spurred significant growth in residential solar installations.
By 2022 Australia had a solar energy production capacity of around 26.7 GW. Much of this from small-scale rooftop solar systems, reflecting a widespread public embrace of solar energy. Rewind to today and almost 1 in 3 homes in Australia is covered with solar panels. The country also hosts several large solar farms, including the expansive Solar River Project.
Australia is also a pioneer in solar technology, with the University of New South Wales (UNSW) leading numerous breakthroughs in solar technology, including the development of the first photovoltaic system with a 20% conversion efficiency in the 1980s and a world-record 40% efficiency system in 2015. Despite challenges related to grid infrastructure and policy uncertainty, the future of solar energy in Australia looks as bright as a sunny day on Bondi Beach.
In Italy, the sun doesn’t just ripen the country’s famous tomatoes; it also powers homes and businesses. While Italy has traditionally relied on foreign imports for a significant portion of its energy, there’s been a swift increase in solar power production over the past ten years. By 2021, renewables made up nearly 20% of the overall energy mix and had an even larger share in electricity generation, fulfilling 36% of the total electricity demand. The Italian solar journey started in earnest with the Conto Energia programs, introduced in 2005. This incentive scheme, somewhat similar to Germany’s Feed-in Tariff, was instrumental in driving Italy’s solar boom.
By 2022, Italy’s solar energy production capacity stood at about 25 GW. This capacity is spread across the country, focusing mainly in Apulia, Lombardy, Emilia-Romagna, Veneto and Piedmont, with a substantial number of rooftop installations in urban areas and solar parks in the rural countryside. Italy’s decentralized solar energy market is not just a reflection of the nation’s energy strategy, but also of Italians’ widespread embrace of renewable energy.
Italian companies, such as Enel Green Power, are also active in the solar sector, developing projects not just in Italy, but also abroad. The country has faced its share of challenges, including bureaucratic hurdles and grid stability issues. But the sun continues to shine brightly on Italy’s solar energy sector.
Say “Olá” to Brazil, a tropical powerhouse that is not just about samba, soccer, and coffee anymore. Brazil jumped into the solar energy fiesta relatively recently, but when it did, it went big. With around 24 GW of solar capacity in 2022, Brazil shows it’s as adept at harnessing the power of the sun as it is at throwing a fantastic Carnival.
The country’s solar energy journey began to take off with the introduction of net metering regulations in 2012, which allowed for excess solar energy generated by homes and businesses to be fed back into the grid. This made solar power generation more economically viable for the average Brazilian citizen and small businesses. To stimulate large-scale solar projects, the government also launched auctions which brought in private players from around the globe. These competitive auctions helped to rapidly decrease the cost of solar power and led to the creation of large solar parks.
The results? Impressive. As of 2022, Brazil had large solar parks, such as the Pirapora Solar Complex, and hundreds of thousands of small solar systems installed on rooftops across the country. This South American giant has also recently ramped up its solar investments, leveraging its tropical climate to produce clean, renewable energy.
However, Brazil faced and continues to face some unique challenges in its solar energy journey. Despite having a federal energy policy, energy regulations and incentives can vary greatly from one state to another, which can complicate solar energy adoption. The country’s vast geographical size can also pose challenges in connecting remote areas to the grid.
Next, let’s trade the sun-kissed beaches of Brazil for the tulip fields of the Netherlands. Despite its famously cloudy weather, the Netherlands managed to generate a whopping 22.5 GW of solar energy in 2022, which is quite impressive given the country’s relatively small geographical size.
This success story didn’t happen overnight. It’s the result of years of strategic planning, public and private investment, and a strong focus on sustainability. The Dutch government has incentivized solar power through grants and tax benefits, and companies and households alike have jumped on the solar bandwagon.
According to industry group Solar Power Europe, the Netherlands now has an average of two solar panels per inhabitant and an installed capacity of more than one kilowatt (KW) per person, making it Europe’s per-capita solar powerhouse.
In the Netherlands, apart from solar plants like Solarpark Wieringermeer, you’ll find solar panels on rooftops, along highways, and even floating on the country’s many water bodies, showing the country’s drive in finding creative solutions to increase the country’s renewable energy capacity. The country also hosts several innovative solar projects, such as SolaRoad, which involves integrating solar panels into bike paths. Despite its size, the Netherlands is proving that when it comes to solar power, it’s not about the space you have, it’s about the ambition you hold.
South Korea, well-known for its technological prowess, has also set its sights on solar energy. In 2012, its implemented the Renewable Portfolio Standard (RPS) program, replacing the previous feed-in tariff system, to stimulate a competitive market environment and accelerate the deployment of renewable energy. This system mandates the country’s 13 largest power companies, each with an installed capacity over 500 MW, to progressively increase their renewable energy share in total power generation from 2012 to 2024.
By 2021, South Korea had built a solar energy production capacity of about 20.9 GW. This capacity is the result of a blend of installations, from residential rooftops to large solar parks, such as the massive Saemangeum project. Not to mention, Korean companies like LG and Hanwha Qcells, have been global leaders in the solar sector, driving technological advancements and contributing to the country’s domestic solar industry.
Despite occasional regulatory hurdles and grid connection challenges, South Korea’s commitment to solar energy remains firm and it’s now one of the top countries leading in solar energy adoption. In 2020, the country established a goal of achieving carbon neutrality by 2050, a move designed to pivot its energy sector away from its current reliance on fossil fuels and heavy dependency on energy imports.
But how did these countries take the lead in the adoption of solar energy? Just as we’ve learned from our procrastination-filled school days, starting early can be beneficial. Some countries have truly taken this lesson to heart in their solar energy adoption journey. Germany, for instance, jumped on the solar train as early as the 90s. They’ve since become the poster child for solar energy, accounting for about 11.4% of their energy consumption in 2022.
China, the world’s most populous country, also made significant strides early on. It now boasts the largest solar capacity worldwide. However, it’s not just about being an early bird. A critical aspect of these countries’ success has been their sustained commitment to fostering a solar-friendly environment. Regular revisions to their energy policies, ongoing infrastructure construction, and continuous efforts to address problems such as grid compatibility and storage have all played a role in their success.
It has not been simple to overcome the barriers to solar energy adoption, but these countries have demonstrated that with the proper combination of policy, technology, and societal will, major gains can be achieved toward a more sustainable future.
Why have these countries succeeded where others have faltered? Well, it’s a combination of factors. Strong government policy and incentives play a significant role. For instance, Germany implemented the Feed-in Tariff (FiT) system, which guarantees fixed payments to renewable energy producers.
Infrastructure is another crucial element. Countries leading in solar energy adoption have heavily invested in their energy infrastructure, including power grids and solar power plants. But it’s not all about the Benjamins, or in this case, the Euros or Yens. Public awareness and education also play a part, much like the importance of a supportive audience at a concert. Countries like Australia and the United States have made significant efforts to educate their citizens about the benefits of solar energy, leading to higher adoption rates at the residential level.
Then there’s the factor of geographical advantage. Countries like Spain and Australia receive abundant sunlight, making them prime real estate for solar energy generation. You might say they’re quite literally basking in the sunshine of opportunity.
While the ten countries mentioned above are currently leading the global solar race, numerous others are hot on their heels. The following countries are investing heavily in the sector, demonstrating their commitment to a greener and more sustainable future.
In Africa, Morocco stands out. The country has made significant strides in renewable energy, with the ambitious Noor Solar Complex underscoring its commitment to solar power.
Saudi Arabia might be synonymous with oil, but the desert kingdom is eyeing a solar future. In 2023, ACWA Power and Badeel announced plans to construct the world’s largest single-site solar-power plant in Al Shuaibah, Mecca province. This 2,060 MW project is part of Saudi Arabia’s broader initiative to develop 70% of the kingdom’s renewable energy capacity by 2030, as per their Vision 2030 strategy. The undertaking is more than an environmental pledge—it represents a prestigious business opportunity and a step towards achieving carbon-neutrality by 2050.
Vietnam, despite being a developing nation, has made impressive strides in solar energy. The Trung Nam Solar PV Park, a ground-mounted solar project spread over an area of 264 hectares, generates 425GWh of electricity, providing clean energy to power 200,000 households and offsetting 250,000 tons of carbon dioxide emissions (CO2) annually.
These rising stars and others not mentioned here are proof that the global shift towards solar energy isn’t just limited to a few pioneering countries. It’s a worldwide movement, with nations from every continent recognizing that when it comes to energy production, the sun is the future.
So there we have it, the top 10 countries leading in solar energy adoption. As we journey through the solar system of renewable energy, it becomes clear that the drive towards solar energy is more of a team sport rather than a one-man show. From early adopters like Germany and China to up-and-comers like India and the UAE, each country has made a unique contribution in the grand narrative of solar energy.
We’ve learned how they strategically navigated this journey, from implementing smart policies and improving infrastructure to championing large-scale projects that would even make the sun blush. These efforts, of course, come with some perks, such as job creation, economic security, and a breath of fresh air for our planet. But let’s not forget the roadblocks. Yes, there are challenges, and yes, solar energy isn’t the perfect solution. But the sun never said it would be easy; it just promised it would be worth it.
As of the 2022 data from the International Renewable Energy Agency (IRENA), China leads the world in terms of solar energy capacity.
In terms of total installed solar photovoltaic (PV) capacity, cities like Los Angeles and San Diego in the United States have led the rankings.
Iceland’s power supply consists of 100% renewable energy, with 70% derived from hydro power and 30% from geothermal power. Paraguay, too, obtains 100% of the electricity it uses from renewable sources, specifically from large hydropower dams which also supply neighboring Argentina and Brazil. Costa Rica is another noteworthy example, striving to meeting its electricity needs from renewable sources such as hydro-power, geothermal, biomass, wind.
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