The Ministry for Ecological Transition and the Demographic Challenge (MITECO) has launched a prior public consultation for the update of Royal Decree 244/2019, which regulates the administrative, technical, and economic conditions of self-consumption in Spain.

This initiative, announced at the XI UNEF Solar Forum by the Secretary of Energy, Sara Aagesen, will remain open until October 23, 2024, and aims to gather input from key sector stakeholders to identify improvements that can further boost distributed generation.

“We continue to bet on self-consumption, and we must progress in regulation. We are in a better position than last year, and five years after the approval of the Self-Consumption Royal Decree, today we are launching a public consultation to hear from you about what needs to be improved,” emphasized the official.

Since its approval in 2019, the decree has been essential in boosting the sector, reaching nearly 7 GW of accumulated power by the end of 2023, according to the latest report from UNEF and Soty Solar in May.

However, the context has changed significantly. Technological demands, emerging business models, and the need to move towards greater energy efficiency have made it clear that the Government needs to be more proactive in adapting the regulation to better meet current needs.

Despite criticism about the lack of a specific form and draft to better guide contributions, the consultation aims to collect as much feedback as possible.

Some proposed improvements from the sector:

The UNEF and Soty Solar report highlights that only 22% of consumers in Spain already have solar panels installed, are in the process of installation, or are considering it.

The adoption of self-consumption in residential communities remains limited due to administrative complexity and a lack of information.

To accelerate growth and meet the new PNIEC objective, which proposes 19 GW by 2030, Ismael Morales from the Fundación Renovables emphasizes the importance of allowing all self-consumption installations that currently aren’t eligible for compensation or surplus sales to inject their surplus energy into the grid.

“This would prevent nearly 1 TWh of energy from being wasted every year and would provide more flexibility for users,” the executive stressed in an interview with Energía Estratégica España.

Additionally, in the realm of collective self-consumption, Morales highlights the need to remove the distance limit between the generation installation and the consumption point, which was set between 500 meters and 2 kilometers. This would provide greater flexibility in the installation’s location and particularly benefit community housing.

Another crucial aspect that Morales mentions is the training of property administrators, as many of them are unaware of the benefits and procedures for implementing these technologies, which delays adoption.

“Training for these administrators should be an integral part of self-consumption promotion policies, as without their support, it will be difficult for many communities to transition to solar energy,” he emphasizes.

One-stop shop

Another key demand from the sector is the creation of a one-stop shop. This measure would centralize all necessary procedures — from obtaining permits to connecting to the electricity grid — reducing wait times and eliminating unnecessary bureaucracy, which is one of the main obstacles to the growth of self-consumption in Spain.

The experience of recent years has shown that the involvement of multiple administrations often discourages potential users.

The one-stop shop would allow for better coordination between local and regional administrations, simplifying the process and reducing costs for consumers.

It would also be a key step in accelerating the deployment of collective projects, such as energy communities, which are one of the government’s major initiatives under the Recovery, Transformation, and Resilience Plan.

In this regard, the involvement of municipalities becomes a key action. However, a clearer framework is needed to regulate their operation and access to distribution networks.

Furthermore, the need has been raised to establish tenders for granting demand access capacity at transport network nodes with a voltage of 220 kV or higher, which could add more complexity to the already bureaucratic process of obtaining permits.

It is worth noting that recent regulations have approved the release of 10% of capacity for self-consumption at nodes subject to bidding, and the limitation of demand access permits for self-consumption to 50% of the generation installation’s capacity.

Thus, the sector is calling for transparency and commitment when granting this capacity and ensuring these tenders are effective.

Finally, the Data Centers sector, which is also evaluating its participation in self-consumption projects, has expressed doubts about how these regulations will affect their ability to generate their own energy or establish agreements with third parties to ensure energy supply. It is expected that these points will be clarified in the coming weeks so that companies can adjust their development plans.