Solar panels are unprecedentedly popular in the Netherlands. Almost 2 million households now have them, generating inexpensive clean energy. Now that you may have solar panels on your house in the Netherlands, you may also want them on your (future) house in Spain.

As in the Netherlands, there are attractive subsidies in Spain to encourage the purchase of solar panels. For consumers, these subsidies make the payback period considerably shorter. These subsidies combined with the attractive climate make the investment even more interesting.

Subsidy on solar panels for your home in Spain

Like the Dutch government, the Spanish government also wants to quickly go green and be less dependent on fossil fuels. Because for many people the purchase of solar panels is still a financial consideration, there are various subsidies to help people get over the line. To make it easy for you, we have listed the subsidy schemes for you:

Construction Tax (ICIO)

If you are going to install solar panels, it is possible to apply for a subsidy on the ICIO. The subsidy you get can be deducted from the tax you have to pay. It is a one-time subsidy. The amount you can deduct varies by municipality and can be up to 95% of the tax payable.

Deduction property tax (IBI)

If you install solar panels on your property in Spain you are entitled to a rebate on your property tax. This discount amounts to a maximum of 50% of the property tax of that year. This percentage can still vary per municipality. Some municipalities give more than 50%.

Next Generation Funds: (EU)

The European Union has allocated 1.32 billion euros to promote home consumption of clean energy. Subsidies of up to 600 euros per kWp are available for installations of less than 10 kWp.

IRPF: Income Tax Deduction

Homeowners can deduct up to 20% of the investment in solar panels from their taxable income, with a maximum of 5,000 euros per year. In addition, if energy savings of 30% are achieved, this can go up to 40% of the investment with a maximum of 7,500 euros per year.

Regional or local subsidies

Some regions offer additional tax benefits or premiums on top of national subsidies. Conditions and amounts vary by region, depending on local energy goals and financial capabilities. It is always a good idea to check with regional authorities about available subsidy schemes in the relevant area.