Solar thermal industrial actors call for clear political support for their “no-regret” technologies across regions

Brussels, Brazilia, Mexico City, Pune – 24 June 2025: Coinciding with the release of the IEA Solar Heating and Cooling (IEA SHC) global market report for solar heat market sales in 23/24, various industry associations across the world unite to call for clear political support and greater uptake of solar thermal technologies.  

IEA SHC released today its detailed 2023 Solar Heat Worldwide reporting providing market data for 73 countries worldwide and summary trends for 2024 for 14 leading countries. Whilst the total operational capacity reached in 2024 544 GWth, with 17.8 GWth newly installed that year, the report also reports a 14% decline mainly affecting buildings (despite some increases in the hybrid PVT sector), with increasing projects though in industrial applications and district heating. 

Statement from Europe (Solar Heat Europe) by Valérie Séjourné, Managing Director: 

 “The momentum which was we saw in 2022 following Russia’s aggression to Ukraine (leading to a +12% growth of the market in Europe) seems to have somehow been lost during the last couple of years… Whilst we applaud the European Union’s efforts, through the Green Deal and the various legislations negotiated under the “Fit for 55 “ package till 2024, we urge now the 27 Member States in the EU to implement efficiently these legislations and offer solar thermal the role it can play to achieve the 55% GHG emissions reduction objectives by 2030.  The policy inconsistencies observed so far in various countries to embrace the energy transition, the lack of clear political support by some member states for no-regret technologies like solar heat, coupled with an unfortunate stop-and-go effect of some national subventions schemes and a too low renovation rate of buildings are to be deplored. Our manufacturing companies in Europe stand ready to make the implementation of this package a success both for EU citizens and for the competitiveness of industries and will continue to innovate and raise high standards of performance in solar collectors worldwide”. 

Statement from Brazil (ABRASOL) by Mauro Issac Aisemberg, President: 

“In recent years, the Brazilian market has shown constant and consistent growth, with the highlight being the year 2021, when the market grew by 28% due to the increase in home office jobs and the consequent infrastructure changes in homes. In the year 2024, the solar thermal market grew by 11%, reaching 2nd place in the ranking of new installed collectors among the countries surveyed. The fundamental factors that supported such growth were growth in the building sector and investment by solar thermal companies in improving their processes. Moreover, the sector had a victory at the end of 2024, with the approval of a new municipal resolution in São Paulo, which regulates some aspects of its Solar By-Law. However, many challenges remain and several potentially supporting initiatives from the federal and state governments continue to evolve at a slow pace. The acceleration of such policy initiatives and the inclusion of solar heating in energy efficiency, and research, development and technology innovation programs are needed to allow the country to fulfil its huge solar thermal potential, reaping all the benefits of this sustainable, reliable, cost-effective and locally manufactured technology”. 

Statement from Mexico (FAMERAC and ANES) by FAMERAC President, Daniel García Valladares and ANES President, Margarita Castillo: 

“The solar thermal market has experienced steady growth in Mexico, but it still faces significant challenges, as it continually competes with natural gas and lacks clear public policies establishing decarbonization targets in the thermal sectors. In Mexico, clear goals have been established to decarbonize electricity production, but there are no targets to reduce the intensity of gas use for thermal requirements in industry, housing, and the commercial sectors. Today more than ever, not only due to the problem of climate change but also due to geopolitical conditions, it is urgent to focus on promoting the use of renewable technologies that make us less dependent on fossil fuels. Solar thermal technology has a large manufacturing industry in Mexico that also enables the development of green jobs and a circular economy.” 

Statement from India (Solar Thermal Federation of India) by STFI Secretary General, Jaideep Malaviya: 

“The Solar Thermal market is challenged by falling costs of Solar Photovoltaics (PV) and most of the investment is getting diverted owing to attractive Return-on-Investment. It is like ‘break the bank’. It has become a bitter pill to swallow. Solar Thermal Federation of India (STFI) is aggressively pursuing the Indian government to come out with an incentive policy for domestic water heating similar to residential Rooftop PV, which is subsidised such that both forms of Solar energy technologies sail in the same boat else the Solar thermal industry will have to be fished out of water.”