Spain to invest €480 million in renewables manufacturing

July 29, 2025
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Render of MCPV manufacturing plant in the Netherlands
Earlier this year, MITECO awarded €210 million to solar PV manufacturing in Spain, among which MCPV received €10 million for a module assembly plant. Image: MCPV.

The Spanish Ministry of Ecological Transition (MITECO) has launched a new renewables manufacturing subsidy programme.

With a subsidy of €480 million (US$556 million), the funds will be provided through Spain’s recovery and resilience plan (PRTR) under NextGenEU, which aims to incentivise the production of equipment and components for solar panels, batteries, wind turbines and electrolysers, among other technologies.

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The programme will be separated into two, one with €35 million allocated for projects with a budget between €1 million and €30 million, and the remaining quantity for projects of €30 million or more.

On average, the maximum funding a project will be eligible to receive is 15% of a project’s costs, with a maximum financing of €150 million for a single project. The percentage and maximum amount can vary depending on the region the project is built and the size of the company. Small companies could see the investment increase by 20%, while medium companies can get up to 10% more than the average.

The Institute for Diversification and Energy Saving (IDAE) will be responsible for managing the subsidies granted to companies.

This latest programme is currently open to consultation until 8 September 2025. More details regarding the subsidy programme can be accessed here (in Spanish).

Continuation of RENOVAL programme

This latest subsidy for the manufacturing of renewables products and equipment is a continuation of the RENOVAL programme, which awarded €210 million in funding for solar PV manufacturing earlier this year.

In that first subsidy programme, seven solar PV manufacturing projects were awarded funding, impacting nearly the entire solar supply chain from wafers to modules.

Nearly all the financing awarded went to a single company, solar ingot and wafer manufacturer startup Sunwafe, with €200 million. The company aims to build a wafer manufacturing plant with a 20GW annual nameplate capacity by 2030 in the northern region of Asturias.

Other upstream PV manufacturing projects awarded capacity include Dutch solar cell and module manufacturer MCPV, which aims to build a 2.5GW heterojunction module assembly plant in Navarra, northern Spain. Finally, another awarded company was Spanish module manufacturer European Solar Cell Company (Escelco), which aims to expand its operational capacity.

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