Spain Moves To Build Solar Supply Chain, Energy Storage Manufacturing By Prasanna Singh/ Updated On Wed, Jul 31st, 2024 Highlights : Solar supply chains worldwide, while still dominated by China in terms of capacity share, could wear a completely different look by 2026. At its heart is the push across almost all key consuming markets to support domestic manufacturing, from the US to India to the Eu and the Middle East Spain, one of the most well placed countries in Europe for Solar power, crossed the 25 GW mark for installed solar capacity in 2023. Now, the Spanish government is moving to ensure a significant part of future additions come from domestically produced panels, besides the next big growth area, energy storage as well. The energy strategy outlines a plan to have 214 GW of total installed capacity in the electricity sector by 2030. This includes 160 GW from renewable generation and 22 GW from various forms of storage. The Spanish Ministry of Ecological Transition (MITECO) has published the regulatory basis for the €750 million incentive scheme for renewables and energy storage manufacturing. The scheme is open to both existing and new manufacturers involved with the production of equipment and components for solar panels, batteries and electrolysers, besides other technologies. Funding will come from Spains recovery and resilience plan (PRTR), set up post Covid to incentivise economic recovery. <a href='https://secure.meilleurmedia.com/www/delivery/ck.php?n=a85f64fd&cb=INSERT_RANDOM_NUMBER_HERE' target='_blank'><img src='https://secure.meilleurmedia.com/www/delivery/avw.php?zoneid=54&cb=INSERT_RANDOM_NUMBER_HERE&n=a85f64fd' border='0' alt='advertisement' /></a> The Institute for Diversification and Energy Saving (IDAE in Spanish) is the designated body handling the program, with auction dates to be disclosed soon. Interestingly, in the energy storage domain, the scheme specifically omits battery manufacturing targeted only at Electric Vehicles, perhaps acknowledging that as an area where the gap is simply too wide with global competitors. <a href='https://secure.meilleurmedia.com/www/delivery/ck.php?n=a23dad63&cb=INSERT_RANDOM_NUMBER_HERE' target='_blank'><img src='https://secure.meilleurmedia.com/www/delivery/avw.php?zoneid=17&source=https%3A%2F%2Fwww.saurenergy.com&cb=INSERT_RANDOM_NUMBER_HERE&n=a23dad63&ct0=INSERT_ENCODED_CLICKURL_HERE' border='0' alt='Advertisment' /></a> In the fast evolving world of solar manufacturing, where processes and technologies change every 5 years or less, reconverting existing plants will also be allowed to participate. Only projects that have not started prior to the application to the scheme will be kept out. Trinasolar, Madrid Varsity Partner To Research On Solar Technologies Also Read The maximum amount a project can receive has been set at a maximum of €150 million – 15% of the project’s cost – for most projects. Projects located in zones ‘c’ can receive a maximum of €250 million and 20%, while projects in zone ‘a’ will receive a maximum of €350 million or 35%. Low Solar Prices In China-The Indian Perspective Also Read The amount received for small companies can be increased by 20%, while medium-sized companies can receive an extra 10%. In Europe, or EU, the Net Zero Industry Act (NZIA), which came into force on 29 June 2024, mandates European member states to build an annual manufacturing capacity of net zero products that meets at least 40% of the 27 members’ annual deployment needs by 2030. Going further is the Solar Charter, signed by most EU member states (23 out of 27) in April this year which urges members to support solar supply chains to build resilience. Top 5 Non-Chinese Solar Manufacturers Disrupting China’s Stronghold Also Read European moves to seek domestic manufacturing is not good news for China, which exported over 120 GW of solar panels to the continent in 2023. Europe, which accounts for over a third of Chinese exports, is one of the few key markets that has not imposed tariffs yet on Chinese imports. Countries like Germany (the largest European buyer) and Netherlands have also launched incentive schemes. The latest incentives in a key European country are likely to have Chinese manufacturers seek manufacturing options there as well, following their earlier push to South East Asia and the US. Tags: energy storage, European manufacturing, grid tied, Institute for Diversification and Energy Saving, manufacturing incentives, Net zero industry act, solar manufacturing, Spain, Spanish Ministry of Ecological Transition
