The Spanish government say it will finance five hybrid battery energy storage projects, with a cumulative installed capacity of at least 600 MW. Each project can secure up to €15 million ($15.68 million) in funding.
From pv magazine Spain
The Spanish government has announced a funding scheme for hybrid energy storage projects that generate electricity from renewable sources. The scheme is part of its Recovery, Transformation and Resilience Plan (RRTP).
The scheme will finance five storage projects with a cumulative installed capacity of at least 600 MW, or equivalent total energy supply. The projects must be hybridized with renewables, but the funds will only cover the addition of storage.
The maximum funding available per project and per developer is €15 million. The amount of aid for each installation will be determined according to total project costs and the size of the developers. The same project can be financed both by the Spanish government’s incentive scheme and other programs from the European Union, as long as the funds aren’t used to cover the same costs.
The government will only provide subsidies to projects that wouldn’t be financially viable without state support. Projects under development before applying for funding will not be eligible. Projects do not require grid connection permits to qualify for financing, as developers can obtain permits during the execution phase. Advance payment of up to 80% of the total funds may be requested to facilitate project financing.
Commenting on the initiative, Luis Marquina, president of Spain’s storage association Aepibal, told pv magazine that it “is a step forward, indisputable and necessary, but which also raises many questions.” He hopes these questions will be answered in future consultations with the government, noting that clarification on what counts as an innovative storage project and the start date of a hybrid project are needed.
The call for proposals will be centralized by the Spanish Institute for the Diversification and Saving of Energy, which will grant the funds on a competitive basis. Eligible projects have until the end of December to apply. The scheme will last until Dec. 31, 2025.
This post appeared first on PV Magazine.