The EU installed a record 27.1 GWh of new battery storage in 2025, marking the 12th consecutive year of growth.
Deployment rose by 45% year on year, driven largely by utility-scale systems, according to SolarPower Europe’s EU Battery Storage Market Review 2025.
Europe’s total battery fleet has now reached 77.3 GWh, up from 7.8 GWh in 2021. To meet energy flexibility needs by 2030, the EU will need to scale this capacity to around 750 GWh.
Utility-scale systems accounted for 55% of all new capacity added in 2025, signalling a clear structural shift in the market. Improved market conditions and more supportive policy frameworks helped large-scale projects reach record deployment levels.
Behind-the-meter storage continues to play an important role but residential installations declined for the second year running.
Residential battery capacity fell by 6% to 9.8 GWh, driven by lower electricity prices and reduced support schemes.
Commercial and industrial battery systems recorded modest growth but remain a relatively small share of the overall market.
The report notes that clearer policy support will be needed to unlock further investment across these segments.
Walburga Hemetsberger, CEO of SolarPower Europe, said: “Europe’s battery storage market is growing fast and delivering the flexible capacity our energy system urgently needs. The strong uptake of utility-scale batteries in 2025 shows investors are ready, the technology is mature, and the system benefits are clear. But we must now dramatically accelerate deployment. To support EU security and competitiveness, we need a battery fleet capable of supporting a fully flexible, renewable based energy system.”
The report also examines EU battery manufacturing capacity, which reached 252 GWh of nominal cell production in 2025. However, more than 90% of this capacity is focused on electric vehicles rather than stationary storage.
Structural gaps remain in cathode and anode material production, while project delays and high costs continue to challenge competitiveness.
SolarPower Europe argues that a more resilient and integrated battery value chain is essential to support Europe’s energy transition.
Antonio Arruebo, Lead Author of the report, said: “We still need clearer policy support to unlock more investments for businesses and households.”
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