Poland’s solar boom is no longer driven by prosumer microinstallations but increasingly by large photovoltaic farms. According to estimates from the Institute for Renewable Energy (IEO), these utility-scale projects will dominate both the PV market and the national power system within the next two years — shaping not only new capacity but also energy prices. Although Poland ranks among Europe’s leaders in both installed capacity and annual PV additions, the sector is facing several challenges that cast doubt on the sustainability of its rapid growth.
Solar PV remains the fastest-growing renewable technology in Poland. The latest IEO report, “The Photovoltaic Market in Poland 2024,” shows that Poland ranked sixth in Europe in total installed capacity and fifth in annual additions last year. By the end of 2024, the country had 21.157 GW of installed PV capacity and added 4.1 GW over the year. The report also highlights a structural shift within the market.
“The PV boom that lasted continuously from 2019 to 2022 was driven by prosumer installations. Since 2023, utility-scale solar farms have become the main engine. At first these were 1 MW farms winning renewable energy auctions, but after the gas price shock and soaring electricity prices in 2023, we began seeing projects of several dozen or even hundreds of megawatts. These large systems are now the primary force pushing the sector into the future,”
says Grzegorz Wiśniewski, President of the Institute for Renewable Energy.
A Structural Shift: From Rooftops to Utility-Scale Farms
The share of microinstallations (under 50 kW) in Poland’s total PV capacity fell from 64% at the end of 2024 to 60% by the end of Q1 2025. Small installations (50 kW–1 MW) declined from 25.1% to 21.9%. Meanwhile, the share of PV farms soared from 11% to 20% over the same period.
In 2024 alone, nearly 2.4 GW of large solar farms were connected to the grid — a record-breaking year with a 149% year-on-year growth rate.
“This shift from prosumers to large PV systems is beneficial for electricity prices, because the cost of generating energy in solar farms is two to three times lower than in small residential installations,”
notes Wiśniewski.
“We have now exceeded 26 GW of installed capacity. Looking at the pipeline of new utility-scale projects with grid connection conditions, we could reach 35 GW — or even more — by 2030.”
Solar PV now accounts for 38.5% of Poland’s renewable energy generation and 10.6% of its electricity mix. However, crossing the 10% threshold has exposed new challenges related to the so-called profile cost.
Negative Prices and Curtailment Become Regular Features of the Polish Market
“We now face two major problems. First, curtailment of PV farms and all installations above 50 kW — which is legally permitted. Second, during peak solar production hours we see very low, and in fact negative, electricity prices. Last year there were 200 such hours; this year we have already passed 300,”
says Wiśniewski.
The 2024 IEO report notes that PV curtailment in Poland is no longer an occasional emergency measure but has become a regular tool for balancing the system. Between January and mid-June 2025, the transmission system operator curtailed around 600 GWh of solar energy — one-third more than in the same period in 2024.
Poland is thus joining the group of European countries where excess PV capacity has become a real operational challenge. At the same time, persistent low energy prices — even outside curtailment periods — are undermining project profitability.
The Biggest Risks: Grid Capacity, Low Prices, and Slow Permitting
According to industry surveys, the three main risks for developers are:
- lack of available grid connection capacity,
- negative or low wholesale electricity prices, and
- long, burdensome permitting procedures.
Roughly 34% of investors also point to delays in securing essential documents, including grid connection conditions.
“Like all renewable energy, photovoltaics is highly dependent on regulations — especially formal and legal procedures such as obtaining grid connection terms, environmental decisions, and building permits,”
explains the IEO president.
“The biggest problem concerns large farms — especially their grid connection. Above 2 MW, a grid impact assessment is required, which is costly and time-consuming. The environmental procedure is another major burden — related to land access, soil classification, and ensuring that farmland used is of grade IV or lower. For the largest projects, social acceptance and lengthy consultations are becoming new obstacles.”
Municipalities across Poland are still preparing their General Spatial Development Plans, which must be completed by mid-2026. Until then, each new PV project must go through a full building permit procedure — adding time and cost to investments.
Accelerated Renewable Zones: A Potential Lifeline for Utility-Scale Projects
“The larger the installation and the cheaper the energy it produces, the longer the formal procedures. Investors must assume that only some projects will ultimately succeed,”
says Wiśniewski.
“A source of hope for large installations is the implementation of provisions from the EU Renewable Energy Directive, which require Member States to designate so-called renewable ‘acceleration areas’ by February 2026.”
These acceleration zones will be regions where administrative procedures for renewable energy projects are significantly simplified. Under the RED III directive, EU countries must designate such areas by 21 February 2026.
