European Solar Industry Shifts Focus to Hybrid PV and New Financing Models Amid Regulatory Changes
Event summary
- Germany led EU solar expansion in 2025, followed by Spain, France, Italy, and Poland.
- Contracts for difference (CFDs) are replacing feed-in tariffs in many EU countries.
- Stationary storage prices dropped to $70/kWh in 2025 due to manufacturing overcapacity and competition.
- Intersolar Europe 2026 expects 2,800 exhibitors and 100,000 visitors from June 23–25.
The big picture
The European solar industry is adapting to regulatory changes by embracing hybrid PV systems and new financing models. With global PV capacity nearing three terawatts, storage solutions are becoming critical for grid stability and project profitability. The shift from feed-in tariffs to CFDs represents a significant governance change that will test the resilience of solar investments across the continent.
What we're watching
- Regulatory Transition
- How the phase-out of Germany's feed-in tariff will impact project financing and solar expansion.
- Storage Integration
- The pace at which hybrid PV systems with storage will become standard in European projects.
- Market Adaptation
- Whether new financing models like CFDs can sustain investor confidence amid regulatory shifts.
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