Wedoany.com Report-Aug. 15, In the first half of 2025, Ukraine added at least 500 MW of solar capacity, according to preliminary estimates from the Solar Energy Association of Ukraine. This follows the 800 MW of solar installed in 2024, primarily for self-consumption. The association projects that total solar installations for 2025 will reach approximately 1 GW by year-end.

Vladyslav Sokolovskyi, Chairman of the Board of the Solar Energy Association of Ukraine, told pv magazine: “Distributed generation, and in particular solar, has become not just an alternative, but a lifeline.” He noted that significant damage to Ukraine’s energy infrastructure, affecting up to 50% of its generation capacity, has led to widespread blackouts and reliance on imported energy.

Sokolovskyi emphasized the urgent need for additional capacity, stating: “To stabilize the power system, the country needs at least 4 GW of new or restored capacity – and it needs it fast. Solar generation can shoulder a significant part of this burden for the entire Ukrainian energy sector.” The focus on solar is supported by the removal of VAT and customs duties on imported solar panels and energy storage systems, a measure in place until early 2026.

Most new solar installations in Ukraine are for self-consumption, driven by businesses in food, logistics, and retail, as well as community organizations, healthcare facilities, and schools, often supported by grants. Sokolovskyi also highlighted growing interest among farmers, noting that agrivoltaics, while still a niche, is gaining traction.

Utility-scale solar projects face challenges due to unreliable grid connections and regulatory uncertainties. However, Sokolovskyi pointed to positive developments, including a deficit-free transmission tariff in 2025, a first in recent years. He also noted rising demand for solar paired with energy storage systems, which now offer costs comparable to standalone solar plants from a few years ago.

Ukrenergo, the state-owned transmission operator, recently initiated a competitive auction for a five-year contract to procure ancillary services from developers of energy storage facilities exceeding 1 MW. Winning contracts will be in euros, with services starting in 2026. Sokolovskyi described this as: “an unprecedented opportunity for stable investment returns.”

In July 2025, Ukraine commissioned its largest battery storage project to date, marking a significant step toward enhancing energy resilience. These efforts reflect Ukraine’s commitment to expanding renewable energy to address immediate needs and support long-term sustainability.