Solar power helped Spain avoid an estimated €17.02 billion ($19.10 billion) in wholesale electricity costs over 18 months, according to the country's solar industry association.

Without it, the group estimated that average wholesale prices would have been 86% higher.

Here's what to know

Spain's solar association, UNEF, calculated an average day-ahead electricity price of €60.2 ($67.55) per megawatt-hour from January 2025 through June 2026, as Saur Energy reported. Without solar, that figure would have reached roughly €112 ($125.67).

Electricity buyers pay a lower market price when solar output replaces costlier gas-fired generation. That substitution is possible because solar panels have low operating costs.

Using electricity where it is generated reduces demand for power from the market — a practice known as self-consumption. According to Saur Energy, UNEF attributed €14.23 billion in savings to electricity generated by solar, with self-consumption accounting for another €2.79 billion.

For households, residential solar can also lower electricity expenses, and $0-upfront solar leases may offer savings of hundreds of dollars per month, depending on the home and agreement. EasyHome offers a free explorer tool to estimate potential savings and find vetted local installers.

More background

An analysis by energy think tank Ember, reported by Saur Energy, found that gas affected Spain's electricity market in only 9% of hours from January through May 2026, down from 52% in 2021. In Italy, the comparable figure was 75%.

Avoiding gas imports also means relying less on fuel supplied from abroad. Wind and solar also helped Spain avoid approximately 918 billion cubic feet (26 billion cubic meters) of gas imports between 2020 and 2024, saving €13.5 billion, according to Ember.

According to Saur Energy, data from grid operator Red Eléctrica, relayed by Ember, showed that annual balancing costs rose from €1.3 billion in 2021 to €3.8 billion in 2025. Over the same period, the amount of renewable electricity curtailed — available generation that went unused — increased from 0.1 to 4.6 terawatt-hours.

What's being done?

According to Saur Energy, neighboring Portugal has required large-scale battery projects to provide grid-forming capability and opened a storage tender for 1 gigawatt.

Solar developer Sonnedix has also begun commercial operations at two projects combining solar and storage in Portugal as the government turns to batteries to strengthen grid reliability. Storage allows solar electricity to be used beyond the hours when panels produce it.

At home, the same pairing can help households manage electricity costs while providing backup power during outages. EasyHome lets homeowners explore battery-storage options alongside solar, compare competitive bids from local installers, and consider a setup suited to their needs.

India, another expanding solar market, has set a storage target of 206 gigawatt-hours for 2030, according to Saur Energy.

Where can I learn more?

Spain's wholesale savings are just one part of solar's impact on electricity costs. 

• In Texas and California, solar cut power prices, but delivery costs kept bills rising.

• In Spain, a DIYer wants balcony solar and storage to capitalize on cheap electricity.

• In emerging markets, solar now beats fossil fuels on upfront costs, with cheaper financing.

• U.S. rooftop solar grew fivefold in a decade, with California still generating 37% of it.

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