A look at the comunidades energéticas in Spain

Comunidades energéticas (energy communities) are at the heart of Spain’s shift to a greener and more decentralized grid. These initiatives empower individuals and businesses to generate renewable power they can use and trade, driving community involvement across the energy landscape. Let’s explore how these citizen-powered networks help propel Spain’s greening efforts.

What are comunidades energéticas?

The comunidades energéticas model brings together individuals, local governments, and SMEs to produce green energy. They can use this power for their own needs and sell any surplus to the grid. 

Governed by democratic principles, these groups:

• Implement shared self-consumption models and establish collective generation facilities to generate, manage, and store renewable power.

• Facilitate peer-to-peer energy exchange and direct trading to enhance community.

• Provide charging services for electric vehicles and other devices.

• Offer advice to help other communities reduce their energy usage and costs.

Energy communities are growing in numbers, with 353 active groups as of 2024. About 4% of municipalities in the country, primarily in the Basque Country and Navarra, have joined this project. Because members often have a stake in the community’s energy infrastructure (such as solar panels or wind turbines), the model promotes a sense of ownership and commitment.

Government initiatives have also been instrumental in this growth. The Plan de Recuperación Transformación y Resiliencia (recovery, transformation, and resilience plan) has injected 100 million euros to support these projects and expand renewable energy access across underserved regions. Its subprogram, CE IMPLEMENTA, has funded 73 community projects to benefit an estimated 95,000 people.

To showcase this robust momentum and project uptake, the country’s energy efficiency institute launched an interactive map highlighting successful community initiatives nationwide.

How and why were comunidades energéticas created?

Comunidades energéticas emerged thanks to sharp regulatory reforms aimed at making the nation’s power grid greener. In June 2020, Spain’s Ministry of Environment passed a landmark royal decree that made it simpler to form these communities. It also guaranteed their participation in the Economic Regime for Renewable Energies auctions, giving them easier access to financial incentives.

On a bigger scale, this law put citizens in control of their energy production, consumption, storage, and sharing. It shifted the power balance away from traditional large energy suppliers and towards the people, nurturing a grassroots-driven movement toward a more equitable energy market.

What benefits do comunidades energéticas provide?

Lower energy costs

Generating their own clean power allows energy communities to reduce their dependence on external providers and enjoy lower costs. Beyond saving money, members can also take pride in contributing to a cleaner planet and having control of their future energy supply. This model offers a stable and predictable long-term solution in the face of volatile energy prices.

Smaller carbon footprint

Energy communities use renewable energy sources like solar and wind. Their collective impact goes a long way in helping Spain lower its total carbon emissions, meet its climate targets, and break free from fossil fuels.

Democratic access to energy

Beyond economic and environmental gains, energy communities also allow citizens to take charge of their power resources. This strengthens social ties and promotes energy inclusion, giving more people easy access to clean and affordable energy.

What are their limitations?

While Spain’s comunidades energéticas model is advancing, it still trails behind leaders like Germany, which already had 1,750 energy cooperatives back in 2020. Several systemic issues curb broader rollouts, including lack of funding, bureaucratic red tape, and infrastructure bottlenecks. Poor connectivity and outdated grids in rural areas further complicate the picture.

That said, supportive policies and rapid growth suggest that Spain is well-positioned to catch up with other countries. Authorities hope to address these challenges and encourage people and businesses to participate. If government efforts bear fruit, these groups will contribute an increasingly larger portion of the electricity in their regions, and the model will become a more sustainable alternative to traditional energy production and consumption frameworks. 

How will they affect the future of Spanish green energy?

The outlook is bright for energy communities, especially those catering to the expanding solar market.

Next-generation solutions are making it cheaper and easier for energy communities to produce, manage, and consume clean power. For example:

• IoT creates a web of interconnected sensors and energy devices to automate and optimize energy flow in real-time.

• Cutting-edge battery technologies are unlocking new ways to store surplus energy. Communities can now keep their generated power on standby to enhance both stability and energy independence.

• Smart grids designed to integrate renewable sources are fine-tuning energy distribution. They can react adaptively to shifts in demand while trimming down losses and boosting resilience.

The regulatory tide is also turning to support the growth of comunidades energéticas. Grants and tax breaks reduce upfront costs and speed up investment returns, making self-consumption and storage systems more attainable for smaller communities. Shorter permitting timelines promote solar, wind, and hydro inclusion into the overall energy network. Subsidies also make it more attractive and beneficial to use energy efficiently, compelling communities to adopt more sustainable practices and refine their energy management. 

And then there’s rising concern about climate change. Recognizing Spain’s vulnerability to higher temperatures and rising sea levels, more private citizens and SMEs want to do their part in making the power grid greener. Notably, Spaniards are more aware of global warming’s dangers than the average European from other nations.

What’s needed to ensure the success of energy communities?

Comunidades energéticas are central to Spain’s pivot from carbon reliance to renewable sources. More than just energy producers, they are also educational models for other communities, proving that self-sustained power management is feasible.

The government must legally protect these groups with transparent and predictable regulations that encourage investment and participation. It should also provide technical assistance, capacity building, and fair market access to allow these communities to trade energy sustainably and secure their long-term viability.