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Regulatory informationCommunity Energy Framework

Energy sharing

Abbreviated form of legal source(s)

  • Law 24/2013
  • RDL 15/2018
  • RD 244/2019
  • RDL 23/2020

Summary  

In Spain, energy sharing is possible at least in two main ways: through cooperatives or through collective self-consumption.
The collective self-consumption is defined in article 4 of RD 244/2019, where several consumers are associated with RE generation units, either using their internal networks or using the public grid.
Collective self-consumption may belong to any of the following modalities defined by RD 244/2019:
a) Self-consumption without surplus: the generation unit has a device installed that prevents any surplus energy from being injected into the transmission or distribution grids. In these cases, the consumer must be the owner of the generation unit.
b) Self-consumption with surplus: the generation unit can, in addition to supplying energy for self-consumption, inject surplus energy into the transmission and distribution grids. It is allowed that one subject is the consumer and a different subject is the owner of the production unit.
In turn, this category is further divided into two: subject to compensation and not covered by compensation for the injected electricity. In the first case, the consumer and the producer voluntarily choose to benefit from a simplified surplus compensation mechanism. A bidirectional meter is installed to count the energy fed into the grid and the energy used from the grid. In each billing period, the value of the energy fed into the grid will be compensated in the consumer´s bill. In this simplified compensation mechanism, a balance in economic terms of the energy consumed in the billing period is conducted. Hence, every billing period, the value of the consumption deficit (taken from the grid) will be compensated with the value of the surplus generation (fed into the grid) (article 14, RD 244/20019). The price of the energy surplus depends on the type of retailer the consumer is associated to: a “reference retailer” or a “free market retailer”. In the first case, the value of the surplus is defined by law. In the second case, the value of the surplus is agreed between the parties (article 14, RD 244/2019).
This option will only be possible in cases where the unit meets certain conditions, such as: the primary energy source is of renewable origin, the total power of the associated production installations does not exceed 100 kW. The second case, the modality not covered by compensation, includes all cases of self-consumption with surpluses that do not comply with any of the conditions above. In this second modality, all the surplus energy must be sold in the market (it is not directly compensated in the electricity bill). In this last case, the prosumer shall register as an energy producer, which involves a more complex administrative procedure.

Addressees

Any person who owns a generation unit can be a prosumer, as long as they comply with the technical, legal, safety, and administrative requirements that may be established at the National, regional, and municipal level.
In all modalities, the consumer and the owner of the generation installation can be different individuals or different legal entities (article 5 RD 244/2019).

Requirements and conditions  

In terms of installed capacity and of exchange of energy with the grid there is no legal limitation.
Depending on the installed capacity and on the self-consumption modality, the requirements and conditions change.
Under the modality of self-consumption without surplus, the generation units are exempted from obtaining the access and connection permits (article 7, RD 244/2019). The same exemption applies to units of the modality with surplus, as long as the power is equal to or lower than 15 kW and located in urban land. The units with surplus energy that do not fall in the previous exemption shall obtain the access and connection permits for their generation units (article 7, RD 244/2019).
Besides, all self-consumption units of all modalities need an access and connection permit for their consumption installations.
The modality of self-consumption with surplus subject to compensation is only possible when the project meets all of the following criteria: a) the primary source is renewable; b) the total capacity of the production units does not exceed 100 kW; c) if a supply contract for ancillary production services is necessary, it is required that the consumer has signed a single supply contract for the associated consumption and for ancillary production consumption with a retailing company (article 4.2, RD 244/2019).
In the case of collective self-consumption, all the consumers associated to the same generation unit must be under the same self-consumption modality and shall communicate to the distribution company an agreement signed by all participants, which includes the distribution criteria (article 4, RD 244/2019).

Tariff structure

The energy that is self-consumed and comes from renewable sources, cogeneration or waste is exempted from all types of charges and tolls (article 9, Law 24/2013).
For the modality of self-consumption with surplus subject to compensation, a simplified compensation mechanism applies, where a balance in economic terms of the energy consumed in the billing period is conducted. Hence, every billing period, the value of the consumption deficit (taken from the grid) will be compensated with the value of the surplus generation (fed into the grid) (article 14, RD 244/20019). The price of the energy surplus depends on the type of retailer the consumer is associated to: a “reference retailer” or a “free market retailer”. In the first case, the value of the surplus is defined by law. In the second case, the value of the surplus is agreed between the parties (article 14, RD 244/2019).

Geographical limitations

In collective self-consumption, the generation units can be interconnected through the internal network of the consumers, which means that energy sharing within one building is allowed.
Collective self-consumption may function under any of the modalities “with and without surplus” when the self-consumption is carried out between near installations through the internal network.

Financial support

Under the modalities “with surplus”, consumers can decide to sell all electricity surplus directly on the market, or they can be compensated through a simplified mechanism (Net billing), where every month the value of the energy taken from the grid is compensated with the value of the surplus generation fed into the grid. Nevertheless, the maximum amount that can be compensated is the value of the energy taken from the grid (the energy purchased by the consumer) because the result of the compensation cannot be negative and may not offset other access fees.

Type of energy sharing

  • Energy sharing: Relevant