Article 6.1(h) of Law 24/2013, dated December 26, on the Electricity Sector, defines storage facilities as facilities that store electricity for later use or convert electrical energy into a storable form for future reconversion.
In February 2021, the Council of Ministers in Spain approved the Energy Storage Strategy, aiming for an ambitious 30 GW of capacity by 2050. This approach highlights the critical role storage facilities will play in the future of renewable energy.
Regulations
Spain currently lacks specific regulations for energy storage projects. Instead, these facilities undergo, by analogy, the general legal framework applicable to power generation facilities.
Key legislation includes Royal Decree 1183/2020, dated December 29, which regulates access and connection to electricity transmission and distribution networks. Storage facilities must adhere to requirements for administrative permits, including Preliminary, Construction, and Operational Authorizations and procedures for network access and connection requests. Certain specifics apply depending on the storage type, particularly for battery systems.
Environmental Authorizations
Environmental permits are generally not mandatory unless the storage project is in a protected area. The competent administrative authority reviews each case to determine whether an environmental permit is necessary.
Milestones for Permits
Regarding the milestones required for obtaining permits for generation facilities, Royal Decree-Law 23/2020, dated June 23, applies, although it is only relevant for hybrid facilities.
Participation in Capacity Auctions
The existing legal framework enables storage facilities to participate in capacity allocation processes for access and connection permits.
Types of Battery Storage Facilities
In Spain, there are two main types of battery storage facilities.
Hybrid Battery Storage Facilities
Hybrid battery storage facilities involve integrating storage systems with existing generation facilities. Both share a single network access permit. Alternatively, storage can be hybridized with a generation facility that has not yet secured access and connection permits.
Key requirements under RD 1183/2020 specify that the installed capacity of the technology with access permits—usually the generation facility—may be at least 40% of the allocated access capacity.
Stand-Alone Battery Storage Facilities
Unlike hybrid setups, stand-alone storage facilities are independent and primarily designed to participate in the energy market by selling electricity during peak demand.
This sector is still underdeveloped and lacks specific regulations.
Conclusion
Energy storage in batteries is poised to become a high-growth sector in Spain and an attractive opportunity for investors. However, its regulatory framework requires specialized legal support to ensure proper risk management and compliance.
At Mariscal Abogados, we provide comprehensive legal assistance to investors acquiring storage projects in Spain and developers needing guidance on permits and project development processes.
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