Solar power provides Germany with high economic benefits, reduces import dependency

Germany is reaping substantial economic rewards from its increasing reliance on solar energy, according to the Federal Association of the Solar Industry (BSW-Solar). The association calculates that the widespread adoption of solar power has generated hundreds of billions of euros in economic benefits over the past six years.

From 2020 to 2025 alone, the installed solar capacity in Germany, comprising some six million solar power systems, replaced fossil fuel imports valued at approximately 20 billion euros. Furthermore, the shift to solar energy has helped avoid an estimated 250 billion euros in climate damage costs during the same period. The total solar electricity generated between 2020 and 2025 reached nearly 390 billion kilowatt-hours, significantly reducing the need for fossil fuels and their associated greenhouse gas emissions.

Carsten Körnig, CEO of BSW-Solar, emphasized the strategic importance of this energy transition. "Every new solar system reduces our dependence on energy imports and makes electricity prices more resilient to geopolitical crises," he stated. Körnig also highlighted the environmental impact, noting that the use of solar power in Germany has prevented around 500 million tons of greenhouse gases over the past two decades, with more than half of that reduction occurring between 2020 and 2025.

The German solar and storage sector is a significant economic contributor, currently employing about 120,000 people and generating an annual turnover of roughly 30 billion euros. The BSW-Solar is urging for the consistent continuation of solar and storage technology expansion to further bolster energy independence and economic stability.

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Every new solar system reduces our dependence on energy imports and makes electricity prices more resilient to geopolitical crises.