Ukraine added roughly 1.5 GW of solar in 2025
Industry estimates indicate that Ukraine installed about 1.5 GW of new solar PV capacity in 2025, up significantly from around 800 MW added in 2024. This brought the country’s cumulative solar capacity to well over 8.5 GW by year-end, demonstrating robust growth despite ongoing challenges.
The expansion was driven by strong interest from commercial and industrial (C&I) users, utility-scale developers, agriculture customers, municipalities and residential consumers alike, especially for projects combined with battery energy storage systems (BESS). Ukraine also commissioned its first megawatt-scale BESS projects in 2025, while hybrid solar-plus-storage installations gained traction across multiple segments.
Policy incentives supported deployment
A key factor behind this acceleration was policy support. The Ukrainian government abolished VAT and import duties on both solar modules and battery storage equipment, initially in July 2024 and since extended through 2028. These fiscal incentives lowered upfront costs and helped solar + storage become economically more attractive.
In addition, concessional lending programs through state-owned banks and grant schemes via the Decarbonization Fund of Ukraine provided financing pathways for developers seeking to build PV and energy storage capacity. These measures helped mitigate investment risk and supported project pipelines across sizes and use cases.
Electricity supply risk was another driver: the prospect of shortages and blackouts encouraged businesses and communities to prioritise distributed generation and storage to secure energy autonomy and resilience.
BasenPower commentary: what this growth trend means
From BasenPower’s perspective, Ukraine’s 2025 solar and storage gains highlight several trends that are relevant to global PV+BESS markets:
1. Solar deployment can thrive even under complex conditions
Ukraine’s ability to almost double annual solar installations year-on-year shows that strong policy support and clear market incentives can unlock PV build-out in environments with structural challenges. Developers in other emerging or disrupted markets can take cues from combining fiscal incentives with concessional financing to drive adoption.
2. Battery integration is becoming mainstream, not optional
The increasing interest in co-located solar + storage — from industrial parks to municipalities and residential projects — reflects a global shift toward designing plants not just for daytime generation but for dispatchable, grid-supporting load shaping and resilience. For integrators and EPCs, offering packaged solar + storage solutions is now a critical competitive differentiator.
3. Policy design shapes investment confidence
Measures such as tax exemptions and low-cost lending helped reduce entry barriers and stabilise investor expectations. This underscores the importance of predictable, multi-year incentives for driving capital into renewables and storage, especially in markets tied to grid security or resilience.
As Ukraine continues expanding its solar and storage base, these trends point to broader opportunities for partners focused on hybrid power systems that deliver both clean energy and operational reliability in challenging grid environments.