For many years now, Europe has been committed to the fight against climate change. The proof is in its Directive 2012/27/EU of the European Parliament and of the Council of 25 October 2012, which encourages its member states to introduce a system of energy efficiency obligations. They can choose between two methods:
- a system equivalent to energy saving certificates (CEE);
- the creation of a national fund for energy efficiency (FNEE).
In Spain, a national system of energy efficiency obligations was created by Law 18/2014 of 15 October. This law also includes the introduction of a FNEE and a white certificate. But this system was not regulated before 2023.
On 24 January 2023, the Spanish Ministry for Ecological Transition and Demographic Challenge published a decree that regulates ” Certificados de Ahorro Energético (CAE ) “. Inspired by the French model, these certificates require suppliers of gas, electricity and petroleum products (known as “obligated parties”) to make a financial contribution to the FNEE. However, the two systems are not entirely identical. Spain’s system is a hybrid, like the white certificates in force in Poland, for example.
A white certificate reinforced by a January 2023 decree
The “Certificado de Ahorro Energetico” was introduced in Spain by Royal Decree in 2023. It complements the 2014 National System of Energy Efficiency Obligations, and requires obligated parties to achieve their energy savings goals in 2 ways:
- a financial contribution to the FNEE ;
- the collection of CAE.
It also allows obligated parties to reduce their financial contribution to the FNEE by deducting the amount of CAEs accumulated each year from their overall obligation.
With this programme, Spain hopes to :
- generate further energy savings, and thus meet its obligations toward the European Union under Directive 2012/27/EU;
- simplify investment in energy efficiency technologies.
In practical terms, the “Certificado de Ahorro Energético” is an electronic document. It certifies that an energy saving has been made, with 1 kWh earning one CAE. If a company saves 300 kWh per year, it will receive 300 CAEs, for example. The role of this system is to monetise energy savings.
This system is also accompanied by a market where obligated parties can purchase PPAs from other obligated parties in order to meet their legal obligation. This is why the Spanish CAE is a hybrid, unlike the French CEE, from which it is partly inspired.
What are the characteristics of this Spanish ACE?
The “Certificado de Ahorro Energético” involves several parties, the main actors of which are :
- the obligated parties (suppliers of gas, electricity, LPG and petroleum products), who must make annual energy savings and pay a financial contribution to the FNEE or liquidate CAEs;
- Delegated companies, which help obligated parties to obtain CAEs;
- the energy savings verifier, who is accredited by ENAC (Entidad Nacional de Acreditación) to check that the data provided by the obligated parties is correct.
To determine the energy savings goals to be achieved by obligated parties, the quantity of energy consumed is taken into consideration. When they meet these goals, they receive PPAs, which are deposited on a national digital platform and can be sold on a secondary market. If the goals are not achieved, the obligated parties receive penalties.
Also, in Spain, only four sectors of activity are currently concerned by this programme: the tertiary sector, industry, the residential sector and transport. As for energy-saving measures, these currently concentrate on the replacement of equipment (heating systems, for example) and fairly simple measures such as infrastructure insulation. However, it is highly likely that the obligated parties will be asked to make more significant efforts, since the entry into force of the decree of January 2023, it demonstrates Spain’s determination to step up its efforts to reduce its energy consumption.
With its “Certificado de Ahorro Energético”, Spain is making a further commitment to the fight against global warming.
