In the context of transitioning towards a more sustainable Europe, proper recycling of photovoltaic solar panels (PV) becomes an essential priority across the entire European Union. The EU member states are committed to increasing their green energy production, and the European Union’s ambitious goal of reducing greenhouse gas emissions by 55% by 2030 further underscores the urgency. However, the rapid proliferation of PV installations raises concerns about end-of-life panel management and potential environmental hazards if not addressed adequately. This article aims to present a comprehensive overview of the current state of challenges and deficiencies by assessing regulatory frameworks such as the Waste Electrical and Electronic Equipment (WEEE) Directive as well as current recycling practices across Member States. Furthermore, it is analyzing the installation dynamics of PV panels during the last decade and forecasts future patterns to predict possible recycling demands over the next 20 years. The findings highlight the importance of strong recycling infrastructure and legislative improvements to ensure the EU accomplishes its ambitious sustainability targets. This study adopts the framework of applied research that includes components of policy analysis and forecasting. Investments in recycling infrastructure not only contribute to environmental protection but also create jobs and recover valuable resources. Collaborations with other European countries will yield economic benefits and strengthen international relations. By aligning with EU directives and leveraging national commitments to green energy, the European Union can position itself as a global leader in efficient photovoltaic solar panel recycling, contributing to a more sustainable world and achieving the goals of the Green Deal and Fit for 55 initiatives