Italy expanded its solar energy infrastructure by adding 6.4 GW of new capacity in 2025, bringing the nation’s total installed PV power to 43.5 GW. While this represents a slight 5% decrease compared to the previous year’s record, the market remains robust, driven by a significant surge in utility-scale projects. Despite a cooling residential sector, the late-year acceleration in large-scale connections highlights a shift in Italy’s energy transition strategy, focusing on high-capacity installations to meet national renewable energy targets.
According to data from the national grid operator Terna and the industry association Italia Solare, the 6,437 MW deployed last year follows a period of rapid growth. The 2025 figures show a stabilization of the market after the 6.8 GW peak in 2024. The cumulative total of 43.5 GW is now distributed across three main segments: commercial and industrial (C&I) installations lead with 43% of the total, followed by large-scale plants at 30%, and residential systems making up the remaining 27%.
The slight overall decline in annual installations is primarily attributed to a slowdown in the residential and C&I sectors. The number of new systems fell by 25%, dropping to 213,200 installations in 2025. Specifically, residential solar panel installations have leveled off at approximately 300 MW per quarter, a 24% capacity reduction compared to 2024. This cooling period in the small-scale market reflects changing subsidy landscapes and market saturation after years of aggressive expansion.
In contrast, the utility-scale segment experienced a 15% growth rate, with 3,412 MW connected in 2025 compared to 2,910 MW the year prior. This upward trend was particularly evident in the final quarter of the year, which accounted for 2.4 GW of the annual total. Large-scale projects exceeding 10 MW saw a massive spike in activity toward the end of the year, with 1,031 MW connected in the fourth quarter alone—surpassing the combined output of the first nine months of 2025. This surge is largely the result of a wave of project authorizations granted in recent years finally reaching completion.