What’s Driving Germany’s 4 TWh Yearly Surge in Solar Self-Use in 2024?

German research organisation Fraunhofer Institute for Solar Energy Systems (ISE) has reported a sharp rise in solar self-consumption in Germany between 2012 and 2024. According to the institute, self-consumption increased moderately from 0.25 terawatt-hours (TWh) in 2012 to 3.55 TWh in 2020, reaching 5.57 TWh in 2022.

In 2023, it amounted to 8.20 TWh. Remarkably, Germany added nearly 4 TWh of new self-consumption in a single year — more than the total growth recorded from 2012 to 2020. Self-consumption then rose further from 8.20 TWh in 2023 to 12.28 TWh in 2024, a year-on-year (YoY) increase of 4.08 TWh.

Tobias Reuther, data expert for electricity generation from renewable energies at Fraunhofer ISE, highlighted the impact: “In 2024, self-consumption stood at 12.28 TWh. With a grid feed-in of just under 60 TWh, self-consumption accounted for 17% of net electricity generation from photovoltaics, up from 13% in 2023.”

Factors Contributing to Solar Growth in Germany

The Fraunhofer Institute for Solar Energy Systems (ISE) report also showed that until 2009, German PV system owners hardly used any of the electricity they generated themselves, as the feed-in tariff for photovoltaic electricity was higher than the price of grid electricity.

Since this dynamic reversed and sector coupling expanded the possibilities for self-use, economically motivated self-consumption has risen sharply. Research scientists at Fraunhofer ISE have also developed the first method for quantifying PV self-consumption using data from the market master data register and transmission system operators. Their findings were published in an analysis for the German Federal Environment Agency.

“We expect self-consumption to continue to rise due to high electricity prices and the growing success of battery storage systems,” added Christoph Kost, head of the Energy System Analysis department at Fraunhofer ISE. “It is worthwhile for households, especially if they use the electricity to operate a heat pump or charge an electric car, and it is also beneficial for grid stability. The electricity is produced directly where it is consumed, without ever entering the power grid.”