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

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

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

Premium
August 14, 2026
PV Talk: 'There’s a lot of good news here,' Hasan Nazar, head of policy at Crux, tells PV Tech Premium of the US solar policy landscape.
August 14, 2026
IPP Recurrent Energy has secured US$695 million in financing to support a 330MW solar PV project in California.
August 14, 2026
Mainstream Renewable Power’s 50MW C&I Ilikwa PV Facility in South Africa’s Free State province has reached commercial operation.
August 14, 2026
German solar inverter producer SMA Solar increased its sales and earnings in the first half of 2026 (H1), returning to profit compared with the same period last year.
August 14, 2026
T1 Energy reported US$250.1 million in Q2 2026 sales as construction of its 2.1GW G2_Austin solar cell factory progressed.
August 14, 2026
Foreign Entity of Concern rules create a multitude of new risks for US solar developers, some less visible than others. Intertek CEA’s Jordan Wilson explores the key steps towards minimising FEOC exposure in PV module purchase agreements.

Upcoming Events

Solar Media Events
October 13, 2026
San Francisco Bay Area, USA
Solar Media Events
November 3, 2026
Málaga, Spain
Solar Media Events
November 24, 2026
Warsaw, Poland
Solar Media Events
February 2, 2027
London, UK
Solar Media Events
April 20, 2027
Istanbul, Türkiye