The Spanish competition authority, CNMC, has highlighted the exponential growth of photovoltaic self-consumption (ACFV) in the last four years and its positive impact on competition in the electricity sector. To further enhance this growth, the CNMC suggests that public aid should be better coordinated and simplified.

In a recent evaluation report (EI/02/2023), the CNMC analyzed the effects of various subsidies, tax deductions, and bonuses provided at national, regional, and local levels. The report emphasizes the need for a more efficient and competition-oriented design of these aids.

Since 2021, ACFV installations in Spain have surged, with projections indicating around 696,000 installations and 5.4 GW of capacity by June 2025. The report notes that installations are more prevalent in areas with higher solar irradiation and wealthier municipalities, with ACFV customers more active in the free market.

The CNMC's analysis reveals a variety of public aids, including direct subsidies from the Recovery, Transformation, and Resilience Plan, local tax bonuses, and deductions in personal income tax. However, the coexistence of multiple aid instruments managed by different administrations creates complex procedures that can hinder access, particularly for small and medium-sized enterprises (SMEs) and low-income households.

To address these issues, the CNMC recommends establishing a national strategy to reduce bureaucracy, creating a digital single window for aid applications, and enhancing transparency regarding available aids. The authority also suggests defining fixed aid amounts linked to specific objectives and simplifying application processes to ensure quicker access for those in need.