The European Union installed 27 gigawatt hours (GWh) of new battery storage capacity in 2025, a 45% increase from the previous year and the market’s 12th consecutive annual record, according to a new report from SolarPower Europe.
Utility-scale projects accounted for 55% of all newly added capacity, confirming large-scale assets as the main driver of growth, the industry group said.
Residential battery installations fell 6% to 9.8 GWh, weighed down by lower electricity prices and reduced support schemes, while commercial and industrial systems recorded modest growth.
“Europe’s battery storage market is growing fast and delivering the flexible capacity our energy system urgently needs,” said SolarPower Europe chief executive Walburga Hemetsberger.
“The strong uptake of utility-scale batteries in 2025 shows investors are ready, the technology is mature, and the system benefits are clear,” she added.
The report said Europe now operates 77.3 GWh of battery storage, up from 7.8 GWh in 2021, but warned that capacity will need to rise to around 750 GWh by 2030 to meet the bloc’s energy flexibility requirements.
It also highlighted 252 GWh of nominal EU battery cell production capacity in 2025, while pointing to persistent gaps in cathode and anode material supply and continued pressure from high production costs.
Lead author Antonio Arruebo said the latest figures show renewed momentum in the sector.
“This year’s data shows that the EU storage market is picking up speed again, particularly in large scale systems,” Arruebo said.
“At the same time, the decline in distributed batteries reminds us that we still need clearer policy support to unlock more investments for businesses and households,” he added, noting that faster deployment across all segments will be essential to meeting Europe’s energy transition goals.
