Spanish Prime Minister Pedro Sanchez announced on Wednesday a series of four new subsidy programs totaling more than EUR 2.3 billion (USD 2.5 billion) aimed at advancing Spain's transition to renewable energy and green hydrogen.
In his address to the lower house, Sanchez outlined that the funding will be allocated to several key areas, including green hydrogen, the renewable energy value chain, new energy communities, and support for renewable energy projects in agriculture, infrastructure, and rural areas across Spain. The government plans to initiate these programs in the coming days.
The funding will be sourced from the recovery and resilience facility, with the Institute for the Diversification and Saving of Energy (IDAE), a Spanish ministry agency, overseeing the distribution.
According to media reports, approximately EUR 1.2 billion will be dedicated to projects focused on green hydrogen production and consumption, particularly in green hydrogen valleys and clusters. An additional EUR 750 million will support the renewable energy value chain, aiming to foster new industries for equipment and components, and enhance Spain's industrial capabilities in solar and wind energy, heat pumps, batteries, and electrolysers.
Furthermore, EUR 120 million will be allocated to pilot projects within energy communities, while EUR 250 million will fund innovative renewable energy and storage projects, including renewable thermal systems, agrivoltaics, collective self-consumption, and heat pumps.
