Spain To Cut Solar Subsidy For Existing Plan

According to this weekend's press releases, the Ministerio de Industria, Turismo y Comercio has agreed with the main eolic and solar thermal electricity producers associations a reduction in their added remuneration that will amount to EUR 1250 or EUR 1300 million per year.

The modification will be applicable to existing installations. In both cases (solar thermal and eolic), the number of daily hours in which these installations will be allowed to produce with subsidized electricity prices shall be reduced. Added retribution for eolic installations will be reduced by 35 percent, and the possibility of obtaining added retribution for solar thermal installations will be postponed by one year.

Please note that these modifications have not been yet formally approved nor implemented, and could suffer further changes. No agreement has been reached yet regarding photovoltaic installations, but similar measures are feared.

We shall keep you informed on further developments.