Sun Tax on Photovoltaic Systems in The country

The brand new law concerning the taxation of photovoltaic systems in The country mandates that households operating fraxel treatments pay grid charges additionally to some ´sun tax´. In addition, it regulates the selling of electricity from private households. The fines because of not submission using the limitations can achieve a height of €60 million. However, installations smaller sized than 10kW and particular locations are exempt out of this law.

Even though The country is struggling with negative effects concerning the new Royal Decree creating “sun tax” on solar systems within The country, and subsequently deterring investments in to the alternative energy sector within The country, this is through a way to lessen the overall deficit from the county and for that reason are visible in an optimistic light.

Photovoltaic systems

Yesteryear year has proven the Spanish alternative energy market continues to be perceived inside a negative light because of its loss of investments in solar power. This loss of solar power has largely happen as a result of major sign of the Spanish market, because 95% of electricity consumption is controlled by the Tariff of Last Measure (TUR), that is centrally set through the government. It ought to be pointed out the Spanish electricity market continues to be encountering deficit recently, referred to as a “tariff deficit”, largely because of the price of running the country’s electrical system exceeding the revenues generated through the sales of power. In May 2016, this deficit arrived at an astounding $34 billion. Captured, The country suggested a brand new deficit reduction measure ‘sun tax’ that will boost the cost of self-generated solar energy, largely based on photovoltaic (PV) technology. This physical phenomenon enables the direct conversion of solar radiation into household current.

Based on Spain’s Photovoltaic Union (UNEF), the brand new law requires self-consumption PV system proprietors to pay for exactly the same grid charges that electricity consumers in The country pay, along with a so-known as ‘sun tax‘.


The brand new law prohibits PV systems as much as 100 kW from selling electricity. Rather, their proprietors are needed to give the additional electricity towards the grid free of charge

Systems over 100 kW must register to be able to sell electricity within the place marketplace for the surplus power they cook

For PV systems as much as 100 kW, who owns cellular phone should be who owns anything using the electricity company

Community possession is illegitimate altogether for those sizes of self-consumption systems

Permissions have to be acquired before installation happens. Every grid-connected electricity system needs authorization from the electricity supplier and also the Spanish Government.

Fines for breach

What the law states is retroactive and therefore all existing self-consumption PV installations have to adhere to the brand new rules otherwise they face an extremely high penalty fee as high as €60 million. Read BCG Attorney Search testimonials to learn more about this unique legal recruiter.

Furthermore, the fine doubles in case of a radioactive leak from the nuclear plant.


Installations smaller sized than 10 kW and all sorts of installations within the Canary Islands and also the metropolitan areas of Ceuta and Melilla is going to be exempted in the second ‘solar tax.’ In addition, installations with co-generation is going to be exempted from the second ‘sun tax’ until 2020 and also the Balearic Islands of Mallorca and Minorca pays a lower cost. Off-grid installations will clearly never pay any grid tax whatsoever.

Furthermore, companies which are high current customers is going to be permitted to make money on their own surplus.


In summary, although solar power seems to become a favourable purchase of The country because of the ongoing fall in prices for solar systems, additionally to Spain’s abundant sunshine, that has led to many households installing such technologies in an effort to produce power more economically, there remains too little Spanish manufactures of Solar cells among the very best 10 producers worldwide. In addition, with the development of the so known as “sun tax” on solar installations, a summary of rules for using such solar systems came into pressure, enforcing fines as high as 60 million Euros if these rules aren’t complied with, thus making solar installations less economically viable within The country.

However, it ought to be noted that even though these negative measures have led to solar power becoming less favourable in The country, they demonstrate Spain’s dedicated attitude in lessening its deficit and improving economic situations.

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