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Home - Policy - Norway to add 117 MW of solar power by 2025 – SPE
Policy

Norway to add 117 MW of solar power by 2025 – SPE

solarenergyBy solarenergyJanuary 13, 2026No Comments4 Mins Read
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The Norwegian solar market experienced a slowdown in 2025, especially in residential installations. The outlook for 2026 looks more optimistic, thanks to policy reforms to support larger projects and continued demand from commercial and industrial customers.

January 13, 2026
Patrick Jowett

Norway has installed 117 MW of solar power by 2025, according to figures published by the Norwegian Water Resources and Energy Directorate (NVE).

The result is lower for both The result of 2024 and the country’s record year for solar energy deployment in 2023, bringing the cumulative capacity to approximately 876 MW.

The commercial and industrial market segment added the majority of Norway’s solar energy in 2025, installing 81 MW in the commercial, institutional and other service sectors, as defined by NVE. Hassan Gholami, senior consultant in solar energy and storage at Multiconsulttold pv magazine that the main market driver last year was commercial actors seeking energy independence and cost savings, amid moderately high daytime energy prices.

In contrast, the residential market, once the dominant segment in Norway’s solar mix, added 13 MW in 2025. Gholami said this downturn was heavily influenced by lower spot prices, reduced subsidies and economic growth. insecurity.

“High interest rates, which were among the highest in Europe, also made many projects less attractive, especially for households and small to medium-sized enterprises,” Gholami explained, before adding that 2025 was also marked by a wave of bankruptcies and layoffs in the sector, with companies scaling back their activities, which in turn undermined confidence and reduced market capacity.

See also  Solar PV needs more nuanced assumptions when modeling energy systems – SPE

Housing demand has also been affected by the Norgespris programme, a capped electricity price for households introduced last year. “Stakeholders consistently cited it as a misstep that directly contributed to reduced demand and bankruptcies of companies operating in this field,” Gholami said.

Although the Norwegian utility-scale solar market remains marginal in terms of installed capacity, Gholami believes that 2025 marked an important turning point with the licensing and early construction of Norway’s first multi-megawatt solar farms.

Last year, the Norwegian government increased the threshold for a permit requirement from 1 MW to 10 MW. Gholami explained that this has helped drive significant growth in interest in medium-sized pre-licensing projects, with developers actively preparing projects under this regime.

Other regulatory changes include the implementation of energy sharing regulationswhich will come into effect from this month and enable shared solar generation within local networks. The Norwegian government is also reviewing a guaranteed minimum feed-in tariff, for which a feasibility study should be carried out this year.

Gholami said that while 2025 marks a clear market bottom, the outlook for 2026 remains cautiously optimistic.

“Deployment could increase to between 150 MW and 200 MW, driven by policy reforms and the continued strength of the commercial and industrial segments,” he said. “Utility-scale projects are advancing, and the new energy sharing rules will support more integrated, community-based solar initiatives.”

But he also warned that housing demand could continue to weaken unless specific incentives are introduced. Gholami suggested that the Norgespris should be scaled back or balanced with incentives that reward solar energy production, that a guaranteed feed-in tariff or minimum compensation scheme should be introduced for self-produced solar energy exported to the grid, and that energy sharing should be extended to residential blocks and housing cooperatives.

See also  London Underground signs private-wire solar deal with SSE Energy Solutions – SPE

“It would also be useful to make solar energy mandatory for all new commercial and public buildings above a certain size, improve grid connection processes and reserve local grid capacity for renewable energy sources,” Gholami added. “Reintroducing or increasing capital subsidies for residential systems, through Enova or tax credits, would help restore growth.”

In October, a Norwegian research team found that rooftop solar could theoretically offset solar emissions 20% of Norway’s current electricity needs while developing the country’s first complete solar map.

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