The cumulative installed capacity of Spain’s self-consumption segment has reached 9.3 GW, down 3.7% annually, says UNEF
Residential and commercial installations declined, but industrial self-consumption led growth, adding 679 MW as larger projects gained traction
UNEF calls for regulatory and fiscal support, including permit exemptions, faster rollout of subsidies, and stable tax incentives to reach the 19 GW PNIEC target
Spain’s solar PV self-consumption segment expanded to a cumulative 9.3 GW; however, the pace of installations is slowing down, points out the industry association UNEF. In 2025, the country added 1.14 GW, representing a decline of 3.7% from 1.18 GW in 2024 (see Spain Installed Over 7 GW New Solar PV Capacity In 2024).
Last year, Spanish households installed 36,300 new self-consumption systems with a combined capacity of 229 MW, a 17% year-over-year (YoY) decline from 275 MW deployed in 2024. UNEF says installations of 176 MW in the business segment was also a drop of 15% YoY.
It was the industrial self-consumption segment that drove installations last year. It added 679 MW, up 0.7%, as larger-capacity projects catch the fancy of consumers. Off-grid installations (55 MW) also saw significant growth, up to 105%.
Energy storage is attracting strong interest in the self-consumption segment, especially after the blackout, points out UNEF.
UNEF attributes the segment’s slow pace to a consistent decline in conventional energy prices and the withdrawal of income tax deductions for energy efficiency improvements at home. With the Spanish government repealing Royal Decree 16/2025, which would have extended the tax deduction for energy efficiency improvements in homes, installations in the self-consumption segment may decline further.
The association calls for regulatory and fiscal improvements to promote self-consumption, especially collective self-consumption, which enables energy sharing among several users and optimizes investments. It will decongest the grid.
Additionally, it recommends extending the exemption from seeking permits for projects that feed less than 15 kW into the grid, regardless of their installed power. Exemptions from seeking administrative and construction permits should also be extended to all self-consumption installations with less than 500 kW installed capacity.
The industry body also highlights delays in processing subsidies, particularly for Next Generation funds, and urges regional governments to speed up pending approvals. It also calls for stable tax incentives, such as a reduced VAT rate for PV installations.
UNEF recommends these measures, among others, to drive annual installations in this segment to 2 GW for Spain to achieve the 19 GW self-consumption target under the National Energy and Climate Plan (PNIEC). The country’s overall solar PV capacity target is over 76 GW (see Spain Set To Target 76 GW Solar PV Capacity By 2030 Under Approved NECP)
“Self-consumption has proven its great value in saving on bills, combating polluting emissions, achieving energy independence, and reducing investments in networks. Now it is essential to provide it with a stable and ambitious regulatory framework that allows us to accelerate the pace of growth and harness its full potential,” said UNEF CEO José Donoso.
According to a GlobalData analysis, Spain’s solar PV capacity is set to increase from 21.5 GW in 2021 to 152.8 GW by 2035, supported by favorable policies, auctions, and incentives (see Spain To Host Over 152 GW Solar PV Capacity By 2035).
