Murcia local government takes Spain’s solar shutdown laws to constitutional court

Facebook
Twitter
LinkedIn
Reddit
Email

The local government of the region of Murcia is taking the Spanish government to the country's constitutional court over its attempts to cull support for solar energy in the country.

In July a raft of new measures to cut Spain’s energy budget deficit of €26 billion (US$34 billion) were announced.

This article requires Premium SubscriptionBasic (FREE) Subscription

Unlock unlimited access for 12 whole months of distinctive global analysis

Photovoltaics International is now included.

  • Regular insight and analysis of the industry’s biggest developments
  • In-depth interviews with the industry’s leading figures
  • Unlimited digital access to the PV Tech Power journal catalogue
  • Unlimited digital access to the Photovoltaics International journal catalogue
  • Access to more than 1,000 technical papers
  • Discounts on Solar Media’s portfolio of events, in-person and virtual

Or continue reading this article for free

These included a retroactive cap of 5-5.5% after tax on the profit margins of PV projects. For many this will be less than the cost of borrowing.

The rules also “criminalised” self-consumption by forcing people who had installed panels for their own use to buy their own electricity at a tariff above the market rate. Using it directly could see fines of up to €30 million (US$40 million).

Murcia, on Spain’s east coast, has been hit particularly hard.

“The government of Murcia took this decision in order to defend the interests of the thousands of investors will be affected by this new regulation and consider moving on may have serious economic consequences for the region,” a spokesperson for the Murcia government said.

The case is built around two main points according to Murcia's government; firstly that the retroactive nature of the changes are a breach of the constitution and secondly that they discriminate against renewables versus other forms of energy generation.

It is also possible that the changes have breached the international 1994 Energy Charter Treaty by failing to “encourage and create stable, equitable, favourable and transparent conditions for Investors of other Contracting Parties to make Investments in its Area”.

Read Next

April 30, 2025
Cadmium telluride (CdTe) thin-film solar manufacturer First Solar has issued revised guidance to reflect the expected impact of the implementation of new tariffs set by Donald Trump’s administration.
April 30, 2025
QatarEnergy has inaugurated two solar projects with a capacity of 875MW, which will more than double Qatar’s installed solar capacity.
April 30, 2025
Almaden has announced plans to establish a wholly-owned subsidiary in the United Arab Emirates, via its existing subsidiary Almaden (MENA).
April 30, 2025
Stonepeak has acquired a 46.3% stake in Repsol’s 777MW solar and storage portfolio currently in operation in New Mexico and Texas.
April 30, 2025
Spanish energy utility giant Iberdrola has reported huge profits of over €2 billion in the first quarter of 2025.
April 30, 2025
Daqo New Energy has posted gross losses of US$81.5 million, and a gross margin of -65.8% in the first quarter of 2025.

Subscribe to Newsletter

Upcoming Events

Media Partners, Solar Media Events
May 7, 2025
Munich, Germany
Solar Media Events
May 21, 2025
London, UK
Solar Media Events
June 17, 2025
Napa, USA
Solar Media Events
July 1, 2025
London, UK
Solar Media Events
July 1, 2025
London, UK