According to data from the Spanish Photovoltaic Union (UNEF), Spain installed 495 MW of user-side energy storage systems in 2023, with approximately three-quarters deployed in residential settings. By the end of 2023, Spain's total user-side energy storage capacity reached 1,823 MWh. These figures indicate the growing popularity of energy storage in Spain's renewable energy market.
José Donoso, UNEF's General Director, emphasized the critical role of user-side energy storage in integrating renewable energy into the grid and achieving decarbonization goals. He highlighted the need for collaboration with relevant companies and public institutions to develop effective strategies, including financial incentives such as VAT exemptions or tax deductions. These measures would enhance the efficient use of surplus energy that cannot be immediately consumed, storing it for future use. Donoso predicts that in the coming years, the development of batteries and solar panels will progress in tandem.
However, the General Director of the Spanish Solar Industry Association noted that the continuous decline in electricity prices has reduced the profitability of these storage systems. Additionally, the lack of incentives for installation has been a major factor slowing the deployment of energy storage devices in Spain. This trend was evident in the energy consumption and storage data for 2023.
Donoso further explained that UNEF sees the necessity for ongoing collaboration with relevant companies and public institutions to formulate appropriate strategies to advance user-side energy storage. This will be crucial for integrating renewable energy into the grid and achieving decarbonization goals. Therefore, regulatory reforms are needed to make the installation of such systems more competitive. Proposed measures include revising the tariff structure to increase the variable portion of bills during peak usage times, reducing or eliminating VAT on photovoltaic components (such as modules, inverters, and batteries), and providing tax relief.
Spain has already met its 2030 energy storage targets, but UNEF is now prioritizing the development of energy storage and green hydrogen initiatives for 2024.
Source：PV-magazine