EUPD Research: Home storage grows across Europe in first half of 2025
Source：pv magazine
Demand for residential battery storage systems with a capacity up to 20 kWh remained stable in Europe in the first half of 2025. However, the picture is mixed. Mature markets, such as Germany and Italy, recorded rather subdued demand, while other countries recorded considerable growth, according to the latest “Electrical Energy Storage (EES) Report Europe H1 2025,” published by EUPD Research on Wednesday.
For the entire year, analysts expect more than one million photovoltaic home storage systems to be installed across Europe, with demand increasing further in the second half of the year. “Growing interest in dynamic electricity tariffs and increased self-consumption are expected to boost demand among homeowners,” EUPD Research says.
The continued decline in battery prices is also a driving factor. The price decline accelerated over the past two years due to increased competitive pressure. According to information from EUPD Research’s “Price and Inventory Tracker,” the price index for private storage systems up to 20 kWh in Germany fell by more than 50% between the first half of 2023 and the first half of 2025. The average selling price for these systems fell from €1,332 to €711 per kilowatt hour for home storage systems over these two years.
In Europe, Germany remains the undisputed leader even after a slight decline in new installations in the first half of 2025. The 6% year-on-year decline is due to lower new installations of rooftop PV systems, fewer regional incentives, and an increasing shift in focus to commercial and industrial storage, explained EUPD Research. However, the analysts also expect that Germany and Italy will account for the majority of new installations of home photovoltaic storage systems in Europe by 2028. Although demand also weakened in Italy following the expiration of the subsidy program.
The markets in Austria, France, the Netherlands, and the Czech Republic continue to experience steady growth, largely driven by stable policy support and greater awareness of energy independence.
In the Netherlands, the combination of dynamic tariffs, the widespread adoption of smart meters, and VAT exemptions for photovoltaic systems and home storage boosted demand. In Sweden, tax rebates led to a record number of new photovoltaic systems with home storage.
In France, the impending end of the Access Régulé à l’Électricité Nucléaire Historique (ARENH) mechanism on December 31, 2025, is likely to further strengthen incentives for self-consumption, as market-based electricity tariffs for residential customers rise and become more volatile, EUPD Research said in its report.
For the coming years, analysts expect Austria and the United Kingdom to “lead the next wave of home storage expansion.” However, given the continued decline in storage prices, continued growth is expected in Europe as a whole.
The European home storage market is highly competitive among manufacturers. According to surveys by EUPD Research, BYD maintained its leading position in Europe in 2024 with a market share of around 20%, which is expected to increase to 21% this year.
Several other manufacturers have recently gained market share in Europe, including Huawei, Growatt, Fox ESS, Pylontech, and GoodWe. German manufacturers are also established in the market, including E3/DC, Sonnen, Fenecon, and Varta Storage.