The Decline in Self-consumption PV Installations in Spain Narrowed To 9%

 

The decline in self-consumption PV installations in Spain narrowed to 9%, with residential energy storage and industrial emissions reduction demand as key drivers.

 

The Spanish Photovoltaic Alliance released preliminary data on self-consumption PV installations for the second quarter on August 21, 2025. The data showed a 9% year-on-year decrease in new installations, down from the 2024 quarterly average, but better than the 17% decline in the first quarter. While residential self-consumption system installations declined by 9% year-on-year, they increased by 11% quarter-on-quarter, reflecting rising consumer demand for energy independence and cost savings, particularly among households adopting electric vehicles and heat pumps. Industrial installations grew by 4% year-on-year, approaching the 2024 quarterly average. Self-consumption systems help businesses reduce energy costs, promote electrification, and mitigate the ETS 2 emissions trading mechanism, which takes effect in 2027.

 

UNEF noted a 22% year-on-year drop in commercial sector installations, highlighting lagging regulatory updates. Association Director-General José Donoso emphasized that existing administrative barriers and a lack of incentives severely hinder deployment, preventing consumers from benefiting, hindering national decarbonization targets, and increasing pressure on the industry to survive. Without a significant increase in installation rates, Spain will miss its 2030 target of 19,000 MW under the National Energy and Climate Plan. By the end of 2024, over 8,200 MW of capacity remained uninstalled.

 

The industry is calling for the urgent implementation of measures, including the implementation of previously stalled provisions of the Royal Decree against Blackouts, such as the establishment of self-consumption managers, the expansion of the self-consumption range to 5 kilometers, and the simplification of the approval process for projects under 500 kW. UNEF is also calling on the Ministry of Energy and Environment (MITECO) to include a surplus electricity sharing mechanism in the revised self-consumption regulations and to promote energy conservation and electrification through measures such as increasing the variable component of electricity tariffs, tax incentives, and the promotion of energy storage systems (CAEs). Furthermore, autonomous regions must comply with RDL 18/2022, which exempts projects under 500 kW from pre-construction administrative permits (AAPs and AACs).