The Third Vice-President of the Government of Spain and Minister for Ecological Transition and Demographic Challenge, Sara Aagesen, during her speech
These funds will be allocated to projects that strengthen the industrial value chain and promote the energy transition in general, with support for electric mobility, innovative renewable solutions, repowering, and energy storage, among other initiatives. Furthermore, many of the eligible projects can be implemented after August 31, 2026, the deadline for justifying the aid received under the Recovery, Transformation and Resilience Plan (PRTR).
"One month before the fourth anniversary of the PERTE ERHA, half a million actions of all kinds have been deployed and now we are continuing with this new package of measures aimed at further leveraging decarbonisation to promote competitiveness in four areas: industrial value chain, integration of renewable solutions into the economic fabric, new impetus for electric mobility, and innovative thermal solutions in industrial and residential areas. "In short, this package will enable us to move forward with the model that has allowed us to be an economic, environmental, industrial modernisation and climate change benchmark", Vice President Aagesen stated during her speech.
The new package draws on funds from the Recovery, Transformation and Resilience Plan (RRTP), and some of its most relevant lines are part of the European Clean Industrial State Aid Framework (CISAF), approved last June. The CISAF allows for the allocation of aid until December 31, 2028-and its distribution beyond that date in some cases-thus providing greater security for initiatives related to the industrial value chain.
The Commission has already approved a €700 million aid scheme under the CISAF, and it is expected that other projects financed under the PRTR, particularly complex ones such as geothermal projects, may be implemented after the PRTR deadline of 31 August, 2026.
Industrial value chain
In June, 300 million euros were awarded for 33 value chain projects in 12 autonomous communities, focusing on photovoltaics, wind power, heat pumps, electrolysers and associated components. New calls for proposals are now planned-one is already underway-with funding of €300 to €350 million. These will also cover the manufacture of other equipment covered by the CISAF, related to energy efficiency, the electrical grid, and transformative industrial technologies, such as electric arc furnaces.
This same funding stream includes a new line of credit of approximately €200 million aimed at adapting port infrastructure to develop renewable technologies such as offshore wind, the application process for which began last July.
Support for renewable hydrogen will also continue, for which more than €3 billion has already been awarded through numerous support programmes. The new aid will provide funds for both the initial investment of the projects (Capex) and the production of hydrogen (Opex), with an allocation of 300 to 450 million euros.
Integration of renewables
The first round of funding for the repowering aid programme awarded €186 million in October 2023. Now, in line with initiatives such as the upcoming national roadmap for boosting repowering, a second round will be launched, focused on wind power and also promoting the integration of wind farms with energy storage, with a budget of €300 to €350 million.
Likewise, there will be a second call for aid for pumped hydroelectric plants, essential for having more energy storage, with an allocation of €100 million, identical to the first call, decided in July 2024.
There will also be a new call for proposals for innovative renewables with storage, following the allocation of €148.5 million to the first round in July. The positive reception and transformative potential of agrivoltaic, floating photovoltaic, and infrastructure integration projects have led to the allocation of between €150 and €200 million to these projects.
On the other hand, a ministerial order is already being processed to allow renewable energy projects financed with the PRTR, but particularly complex ones, such as geothermal - €120 million were awarded in February 2024 -, marine energies or biogas, to extend their execution period until beyond August 2026. The order will be approved after receiving confirmation from the European Commission that these projects fit within the new aid scheme established to improve the absorption of EU funds from the Recovery and Resilience Mechanism.
Boost to electric mobility
With regard to electric mobility, the package includes two calls for proposals to boost areas that require support, after the various calls for proposals of the Moves programs have had €2.735 billion available in recent years.
The first concerns the installation of charging points on major roads, with a new Moves Corridors initiative, which will receive between €150 and €200 million in funding. The second will address the consolidation of electrified delivery fleets, with a new Moves Fleets program that will receive €50 million.
Thermal solutions
The fourth pillar of the package includes two initiatives to promote the use of heat and cooling, both in the industrial and residential sectors.
A new call for proposals will be launched to encourage fossil fuel cogeneration plants to transition to electrification. In the first round of funding, awarded in December 2023, €46 million was granted, and a budget of €40 to €75 million is now being considered.
This same funding range is projected for a new line of aid for district heating and cooling networks, which received €35 million in the first round of funding in July 2023.
Non official translation