MUENCHEBERG, GERMANY - SEPTEMBER 04: A worker installs solar panels containing photovoltaic cells at the new Solarpark Eggersdorf solar park on September 4, 2012 near Muencheberg, Germany. The park, which is being built by German solar energy operator juwi Solar GmbH, will contain 85,000 solar modules and is one of many similar projects in eastern Germany. Germany is investing heavily in renewable energy projects, especially solar, wind and biogas ventures, as the country is in the ongoing process of closing down its nuclear energy plants. (Photo by Sean Gallup/Getty Images)

Two-thirds of solar panels -- 18.5 gigawatts -- were installed in Europe last year, a project that totaled roughly $84 billion and grew Europe's solar photovoltaic industry by an average of more than 40 percent annually.

Though Europe was home to the most substantial installation of solar power in 2011, the report also indicated that the most rapid annual growth in the past five years has been concentrated in Asia. China remains the largest producer of solar panels.

Europe's overall solar power capacity amounts to 52 gigawatts, however the volume of power produced by the photovoltaic industry could only meet 2 percent of the European Union's electricity demands -- meaning it could power a country the size of Austria. The European Commission's current goals outline a plan to increase renewable energy to more than 20 percent by 2020.

The U.S. has noticeably fallen behind its European and Chinese competitors. While U.S. installations reached record levels in 2011, totaling 1,855 megawatts, the number is far behind Europe's 18.5 gigawatts of solar energy installed last year. Yet estimates expect solar panel installation in the U.S. to almost double by the end of the year, as the Solar Energy Industries Association predicts installation will reach 2.8 gigawatts in 2012.