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State aid for sustainable living - these subsidies are available on Mallorca

Staatliche Hilfen für ein nachhaltiges Leben - Diese Subventionen erhalten Sie auf Mallorca
State aid for sustainable living - these subsidies are available on Mallorca

Whether for the installation of environmentally friendly building technology or for the purchase of an electric car: never before has the Spanish government subsidized private co-investments as extensively as it does now. An overview

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Property owners in Mallorca who want to invest in a more sustainable way of living can access extensive financial support from various public funds. The reason: never before has the range of government subsidy programs for private or commercial investments in environmentally friendly technology for the home and yard been as extensive as it is today.

Subsidies for PV systems
For a long time, public subsidies for the installation of photovoltaic systems to reduce energy and electricity consumption in private households or commercial properties were a closed book in Mallorca. In addition to the temporarily limited and usually quickly exhausted budgets, state subsidies for private or commercial solar systems were considered largely uninteresting for property owners in the past, not least due to the many conditions attached to them. Especially as the Spanish government penalized the generation of solar power until a few years ago. The so-called "sun tax" limited the development of renewable energy in the country by imposing fees on the producers (and consumers) of solar energy.
But things have changed, and owners of a photovoltaic system no longer have to pay extra for the electricity they generate with their solar panels on their own home.

Spanish lawmakers now recognize the right to consume solar power and share it with several consumers.

Solar energy in Spain
In addition to the abolition of charges for self-consumption, the new law stipulates that consumers can be compensated by the electricity company for energy not consumed on each monthly bill.

At the same time, the concept of „collective self-consumption“ is recognized.  For example, in multi-family homes, it is possible for several consumers of the same energy source to join forces.

The current law thus recognizes the right to generate solar power yourself – and to share it with other consumers.

However, solar power generation systems are only subsidized if they serve as an additional source, i.e. alongside the conventional power grid, for generating energy.

The amount of subsidy aid provided for this depends on various factors.

Single-family homes:

  • 600 euros for every kilowatt hour produced by the installed PV system
  • .
  • 655 euros for every kilowatt hour produced in municipalities with fewer than 5,000 inhabitants
  • .

Example: A solar system with an output of 3 kilowatts roughly covers the electricity requirements of a four-person household. Such a system, which costs 5,000 euros, is subsidized by the state with 1,800 euros, which corresponds to 35 percent of the installation costs.  

Multi-family homes:

  • 710 euros for every kilowatt hour produced by the PV system
  • .
  • 765 euros for every kilowatt hour produced in municipalities with fewer than 5,000 inhabitants
  • .

Example: The residents' association of an apartment building with five owner-occupied units has a solar power system with an output of 10 kW  installed. The investment required for this amounts to 15,000 euros. And the subsidy provided in this case amounts to 7,100 euros, or 47 percent of the total costs.

Another example: A large apartment building with 14 residential units and two business premises also housed in the building can have a solar power system with an output of 50 kW installed. The costs for this amount to 75,000 euros.In this case, the subsidy amount would be 26,750 euros, which also corresponds to 35 percent of the installation costs.

Subsidies for solar power batteries

The Spanish government also wants to create incentives in the form of subsidies for the purchase and installation of solar power storage systems such as accumulators and batteries. Depending on the size of the storage systems, up to 70 percent of the purchase costs will be subsidized.

Subsidies for sustainable heating systems
State subsidies can also be applied for in Mallorca for the installation of sustainable air conditioning and heating systems such as ground source heat pumps. Various types of systems are subsidized, ranging from solar collectors for hot water production to geothermal and hydrothermal heating systems and air circulation pumps.

Grants for solar heating systems

Private and commercial solar heating systems with an output of up to 50 kW are also subsidized with up to 1,800 euros.

For systems with higher heating outputs of between 50 and 100 kW, financial assistance of up to 1,050 euros per household can be applied for.

Additional financial assistance of up to 385 euros is also available for the "decommissioning" of existing heating systems in houses and apartments with high, i.e. no longer up-to-date electricity consumption.

Subsidies for air conditioning and hot water systems

In Mallorca, as in the rest of Spain, renewable heat and air conditioning systems are also subsidized.

This state subsidy program finances various technologies, ranging from solar thermal collectors to biomass plants, geothermal and hydrothermal systems and aerothermal systems.

Subsidies for solar thermal systems

  • Up to 1800 euros per household for systems with an output of up to 50 kW
  • .
  • Up to 1,050 euros per household for systems with an output of between 50 and 100 kW
  • .
  • Up to 950 euros per household for systems with an output of between 100 and 400 kW
  • .
  • Up to 820 euros per household for systems with a capacity of over 400 kW

Subsidies for biomass systems

  • - Up to 2,500 euros per system and household
  • .
  • - Up to 3,000 euros per local heating appliance and household
  • .

  In addition, an additional subsidy of 480 euros can be applied for for the "decommissioning" of an "older system.

Geothermal and hydrothermal plants

  • Up to 13,500 euros per home in the case of a closed circuit
  • .
  • Up to 9,000 € per dwelling, in the case of an open circuit system.

Aerothermal systems

  • Up to 3,000 euros
  • .

Interior circular heat exchanger (without biomass)

  • Up to 3,600 euros for underfloor heating systems
  • .
  • Up to 1,830 euros for low-temperature radiators or fan coil units.

Deadlines for applying for subsidies

Last summer, the Spanish government began distributing the money made available from the EU Cohesion Fund for the subsidization of private and commercial solar installations, totaling around 660 million euros, to each autonomous region.  

In the Balearic Islands, this public aid for private and commercial installations of sustainable energy technology amounts to around 4.4 million euros. The subsidies have been available to apply for on the regional government's website since September last year. However, you should leave the completion of the necessary forms to the company that is also installing the systems.

Subsidies until 2023

Private and commercial systems for sustainable energy generation are to be subsidized throughout Europe until the end of 2023 for the time being. The EU intends to extend the credit lines required for this depending on demand.

Information on the current conditions for applying for subsidies for the installation of sustainable heating systems can be found on the state government's website at www.caib.es.

However, it is best to first contact a company specializing in the installation of such systems to find out about the various options and requirements for claiming public funding. These companies  then usually  also help with the application for aid. 

All of these amounts are increased by an additional 10 percent in municipalities with fewer than 5,000 inhabitants.

Terms and credit lines

Subsidies will initially be available for the purchase of electric vehicles until December 31, 2023. The credit line available for this throughout Spain amounts to 6.3 billion euros. If the credit line is exhausted, an extension of the line is planned.

All information, documents and applications for the

Most important URL
for all subsidies :

Description and amounts https://institutbalearenergia.com

Applications, BOE´s and news https://www.caib.es

 

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