Spain | Energy profile, March 2024

Energy efficiency trends and policies

Overview
In 2021, the climate corrected final energy consumption in Spain, excluding non-energy uses, amounted to 79.1
Mtoe, 8.2% higher than the consumption in 2020, in a scenario marked by the progressive normalization and
recovery of the post-COVID-19 economic activity. Transport continues to be the most consuming sector with
38.4% of consumption. The buildings -residential and services- sector accounts for 31.9% of consumption, of
which 59.2% corresponds to households. Industry makes up 25.7% of demand, showing a continuous decline
both in terms of demand and contribution to GDP, in line with the expansion of the services sector in the
economy.

Figure 1: Final energy consumption by sector (normal climate)

Source: ODYSSEE

According to the ODEX index, the global energy efficiency has improved by 1.4%/year from 2000 to 2021. The
residential sector presents the greatest progress (+2.0%/year), induced by technological and legislative
developments in building and equipment, to which is added the effect of the rehabilitation of existing homes.
Next is industry (+1.5%/year), although an important part of its improvement happened before the 2008 crisis.
Further behind are transport (+1.2%/year) and the services sector (+0.9%/year). Starting in 2014, the pace of
improvement in the first two sectors loses momentum compared to the last two ones, whose progress is
reinforced under the impact of the pandemic, and its subsequent recovery, recording improvements over
1.5%/year between 2019 and 2021.

The ODYSSEE-MURE project is co-funded by the European Union.

Views and opinions expressed are those of the authors only and do not
necessarily reflect those of the European Union or CINEA. Neither the
European Union nor the granting authority can be held responsible for the
information contained therein or for any use that may be made thereof.
 Spain | Energy profile, March 2024
Figure 2: Technical Energy Efficiency Index

Source: ODYSSEE

The National Integrated Energy and Climate Plan 2021-2030 (Spanish NECP), submitted on 31 March 2020, to the
EC, is a planning instrument originating in Regulation (EU) 2018/1999 on Energy and Climate Governance. The
Plan assumes an efficiency improvement target of 39.5% in 2030, equivalent to a primary energy consumption
(Art.3, EED) of 98.5 Mtoe (non-energy uses excluded). Likewise, it establishes a binding target for cumulative final
energy savings of 36.8 Mtoe between 2021 and 2030 (Art.7, EED). The latter must be achieved through the
implementation of alternative measures in combination with a system of energy efficiency obligations on energy
traders, which must make an annual financial contribution to the National Energy Efficiency Fund (FNEE). This
Plan presents 17 efficiency measures of which 10 have a sectoral approach to comply with the savings obligation
(Art.7, EED). In June 2023, the draft of the first update of the NECP was sent to the EC in accordance with the
provisions of Regulation (EU) 2018/1999 (Art.14). The new NECP revises previous objectives upwards. In its
current wording it increases the efficiency improvement objective to 44%. In addition, it raises the final energy
savings objective to 53.5 Mtoe (Art. 7). To this end, the new Plan presents 23 complementary measures, among
which are those promoted by the Recovery Plan, the National System of Energy Efficiency Obligations, Energy
Savings Certificates, as well as alternative measures. 15 of these measures have a sectoral approach. This draft is
subject to review according to the comments received by the different agents (Commission and public
participation process).

The ODYSSEE-MURE project is co-funded by the European Union.

Views and opinions expressed are those of the authors only and do not
necessarily reflect those of the European Union or CINEA. Neither the
European Union nor the granting authority can be held responsible for the
information contained therein or for any use that may be made thereof.
 Spain | Energy profile, March 2024
Table 1: Sample of cross-cutting measures

Measures NECP Description Impact

measures evaluation

The National yes The National Energy Efficiency Fund (FNEE), attached to the Ministry High
Energy for the Ecological Transition and the Demographic Challenge (MITERD)
Efficiency Fund through the State Secretary of Energy, aims to finance economic and
(FNEE) financial support mechanisms, technical assistance, training ,
information or other measures in order to increase energy efficiency in
the different energy consuming sectors, so that they contribute to
achieving the national energy savings objective established by the
national system of energy efficiency obligations established by article
7 of the EED.

Energy Saving yes Through Royal Decree 36/2023, of 24 January, and within the scope of High
Certificate the national system of energy efficiency obligations (SNOEE), a system
System (CAE) of certificates is established by which it is possible an accreditation
mechanism to achieve energy savings through the presentation of
Energy Savings Certificates (CAE). The purpose of this CAE System is to
contribute to the fulfilment of the final energy savings objective
established according to Article 7 of EED. These CAE must reflect the
annual final energy savings recognized because of investments in
energy efficiency actions, which must comply with the principles and
methodology for calculating savings indicated in Annex V of the DEE.

Law 7/2021, of yes This Law in force since 22 May 2021 aims to ensure compliance by Medium
20 May, on Spain with the objectives of the Paris Agreement and facilitate the
Climate Change decarbonization of the Spanish economy and its transition to a circular
and Transition model. The Law establishes a series of minimum objectives regarding
the reduction of GHG emissions, penetration of renewables and
improvement of energy efficiency. Specifically, in the field of
efficiency, the aim is to reduce primary energy consumption by at least
39.5%. All these objectives may be revised upwards. The first review of
these objectives is planned for 2023. This review may only
contemplate an upward update of the current paths for reducing GHG
emissions and increasing absorptions by sinks. The law includes as
planning instruments to address the energy transition the National
Integrated Energy and Climate Plan (Spanish NECP) and the
Decarbonization Strategy for 2050 of the Spanish Economy. The Law
promotes a series of measures to achieve the established objectives.
Among these measures, those aimed at energy efficiency stand out,
with special emphasis on buildings and transport.

Source: MURE

The ODYSSEE-MURE project is co-funded by the European Union.

Views and opinions expressed are those of the authors only and do not
necessarily reflect those of the European Union or CINEA. Neither the
European Union nor the granting authority can be held responsible for the
information contained therein or for any use that may be made thereof.
 Spain | Energy profile, March 2024
Buildings
In 2021, 67% of the energy demand of residential buildings was concentrated in heating (41%) and electrical
equipment (26%). Water heating is the next most relevant use (19.5%), while air conditioning barely exceeds 1%
of consumption. Between 2000 and 2021, consumption in residential buildings has increased by 1.1%/year,
mainly due to electricity demand (+2.5%/year). Since 2000, the consumption associated with electrical
equipment has grown by 3.4%/year, increasing its share in demand (+12 pp). Except for air conditioning, whose
demand has risen by 7.5%/year, the remaining uses have remained practically stable, with an imperceptible
variation (+0.1%/year) in the case of heating, whose share has decreased by 9 pp. The unit heating consumption
follows an erratic behaviour throughout the period with a downward trend (-1.8%/year), to which, efficiency
improvements in heating equipment and homes contribute.

Figure 3: Energy consumption of space heating per m2 (normal climate)

Source: ODYSSEE

Figure 4: Energy consumption per dwelling by end-use (except space heating)

Source: ODYSSEE

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Views and opinions expressed are those of the authors only and do not
necessarily reflect those of the European Union or CINEA. Neither the
European Union nor the granting authority can be held responsible for the
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 Spain | Energy profile, March 2024
Throughout the 2000-2021 period, the energy consumption in the residential sector has grown by 2.7 Mtoe, due
to the increase in the number of occupied dwellings (+5.3 Mtoe), as well as greater comfort (+4.3 Mtoe)
associated with the acquisition of equipment and a certain movement towards larger homes. These effects have
been partially offset by the energy savings (-6.5 Mtoe) attributable to efficiency improvements in equipment and
buildings, and to a lesser extent by the favourable weather (-0.7 Mtoe).

Figure 5: Main drivers of the energy consumption variation of households

Source: ODYSSEE

Between 2000 and 2011, the unit electricity consumption per employee in the services sector grew (+1.7%/year)
above the total (+1.2%/year). Subsequently, there is a change in trend in both indicators, with a more
pronounced drop under the impact of the crisis, which attenuates from 2015 onwards except for the effect
derived from the pandemic. In the 2011-2021 period the electricity indicator has registered a more pronounced
reduction (-2.5%/year), 2.3 times higher. This greater decrease in electricity demand may be due to the
penetration of more efficient electrical equipment, mainly in the most consuming branches (offices, trade, and
hostelry), together with energy management systems.

Figure 6: Energy and electricity consumption per employee (normal climate)

Source: ODYSSEE

The ODYSSEE-MURE project is co-funded by the European Union.

Views and opinions expressed are those of the authors only and do not
necessarily reflect those of the European Union or CINEA. Neither the
European Union nor the granting authority can be held responsible for the
information contained therein or for any use that may be made thereof.
 Spain | Energy profile, March 2024
In the buildings sector, the actions implemented follow the community guidelines, in particular the Directives on
Energy Efficiency (EED) and Buildings (DEEE). Regarding this last directive, in recent years progress has been made
in its transposition through different regulatory provisions that increase the levels of demand for efficiency, such
as the Technical Building Code (Royales Decree 732/2019, 450/2022), the Regulation of Thermal Installations in
Buildings (Royal Decree 238/2013, 178/2021) and the Energy Certification of buildings (Royales Decree 235/2013,
309/2021). Concerning the first directive, there are measures in accordance with articles 4, 5, 6 and 7. The long-
term strategy for energy rehabilitation in buildings in Spain (ERESEE 2020) stands out, the measures aimed at the
energy renewal of public buildings such as the PIREP Program, the Energy Transition Plan in the General State
Administration (AGE) or the AGE Energy Savings and Efficiency Measures Plan, the AGE Green Public Procurement
Plan (PCPE), 2018- 2025, as well as support measures (legislative and economic) for rehabilitation such as Law
10/2022 of June 14, and the PREE, PREE 5000 Programs, in addition to the aid programs for residential
rehabilitation and social housing (Royal Decree 853/2021).

Table 2: Sample of policies and measures implemented in the building sector

Measures Description Expected savings,

impact evaluation

Aid Program for Program, coordinated by the IDAE, responsible for monitoring the aid, High
energy managed by the Autonomous Communities, direct beneficiaries of the aid
rehabilitation for its distribution among the ultimate recipients of these, through the
actions in existing publication of the corresponding calls in their respective territories. The
buildings (PREE) program, regulated by Royal Decree 737/2020, of 4 August, aims to boost
the sustainability of the existing building through actions on the thermal
envelope, thermal and lighting installations, giving continuity to the
preceding programs (PAREER-CRECE, PAREER II). It is endowed with a
budget of €300M.

Aid programs for These programs, regulated by Royal Decree 853/2021, of 5 October, aim Medium
residential to contribute to the fulfilment of the objectives of the Recovery Plan in
rehabilitation and the areas of residential rehabilitation and construction of social housing,
social housing specifically in relation to investments C02.I01 "Rehabilitation program for
economic and social recovery in residential environments" and C02.I02
"Program for the construction of housing for social rental in energy
efficient buildings", both included within the component 2
"Implementation of the Spanish Urban Agenda: Urban rehabilitation and
regeneration plan".

Law 10/2022 on This Law aims to address the challenges in terms of rehabilitation and High
measures to improvement of the housing stock. To achieve this, it includes different
promote measures: introduction of three new tax deductions aimed at promoting
rehabilitation in rehabilitation in habitual residences and residential buildings;
the context of the improvements in the regime of communities of owners by modifying the
Recovery Plan Law on horizontal property applicable to rehabilitation works that
contribute to improving the energy efficiency of the building, establishing
a simple majority regime for the performance of such works; modification

The ODYSSEE-MURE project is co-funded by the European Union.

Views and opinions expressed are those of the authors only and do not
necessarily reflect those of the European Union or CINEA. Neither the
European Union nor the granting authority can be held responsible for the
information contained therein or for any use that may be made thereof.
 Spain | Energy profile, March 2024
of the Land and Urban Rehabilitation Law in order to strengthen the
powers of communities of owners with full legal capacity for credit
operations related to both the rehabilitation of buildings and compliance
with the duty of conservation; and creation of a line of guarantees so that
credit institutions can offer financing for rehabilitation actions of
residential buildings.

Energy Transition This Plan forms a global package of €1,070 M that aims to modernize Medium
Plan in the public administrations in the field of ecological transition, in coherence
General State with the European Green Deal and the Energy Efficiency Directive,
Administration including measures aimed at energy savings and efficiency of buildings
(AGE) and infrastructure, sustainable mobility and the deployment of
renewable thermal and electrical energies in the AGE. This Plan is
financed by the European Recovery and Resilience Mechanism to the
extent that it is part of the Recovery Plan (PRTR), within investment 4 of
component 11 “Modernization of Public Administrations” (C11.4). For the
execution of this Plan, Interdepartmental Agreements have been signed
between the Secretary of State for Energy and different ministries.

Source: MURE

Transport
In 2021 the final energy consumption in transport is still dominated by road (90%), whose representativeness has
increased in 3.3 pp since 2000 under the boost of freight transport and cars. Cars account for 42.5% of transport
consumption, while trucks and vans 43.5%. The remaining modes show a slight decline, reaching a share between
1.1% (rail) and 5.6% (air).

Figure 7: Transport energy consumption by mode

Source: ODYSSEE

The ODYSSEE-MURE project is co-funded by the European Union.

Views and opinions expressed are those of the authors only and do not
necessarily reflect those of the European Union or CINEA. Neither the
European Union nor the granting authority can be held responsible for the
information contained therein or for any use that may be made thereof.
 Spain | Energy profile, March 2024
The passenger traffic has decreased by 0.7%/year since 2000. In 2021 cars continue to cover most of the
passenger traffic (85.6%), increasing their share since 2020 by 5.6 pp. In contrast, public transport has lost
representation, falling below 15% (7.2% buses; 7.2% rail). However, this loss must be analysed with caution due
to a methodological change implemented in 2017 that affects the accounting of bus traffic and, consequently,
public transport.

Figure 8: Modal split of inland passenger traffic

Source: ODYSSEE

The freight traffic has increased by 1.1% between 2000 and 2021. The road represents 77% of the freight traffic in
2021, 2.8 pp less than in 2000. Sea transport is next in importance with 19.6% of the freight, which supposes an
increase of 4.5 pp compared to 2000. The rail barely reaches 4% of traffic of goods, to which is added a loss of
representativeness of 1.7 pp since 2000.

Figure 9: Modal split of inland freight traffic

Source: ODYSSEE

The ODYSSEE-MURE project is co-funded by the European Union.

Views and opinions expressed are those of the authors only and do not
necessarily reflect those of the European Union or CINEA. Neither the
European Union nor the granting authority can be held responsible for the
information contained therein or for any use that may be made thereof.
 Spain | Energy profile, March 2024
The energy consumption in transport has decreased by 0.1 Mtoe between 2000 and 2021. This is mainly
explained due to efficiency improvements (-7.7 Mtoe) induced by technological developments in vehicles. This
effect has been practically offset by the effects associated with the behaviour and use of vehicles (+3.2 Mtoe),
the activity (+3.4 Mtoe), to which is added the negative contribution of the modal shift with low contribution of
the most efficient transport modes (+1.0 Mtoe).

Figure 10: Main drivers of the energy consumption variation in transport

Source: ODYSSEE

Energy efficiency measures in the transport sector fall into three typologies: improvement in the efficiency of the
vehicle fleet through the renewal and/or electrification of vehicles; the promotion of modal change towards less
energy-consuming modes; and the efficient use of means of transport. Concerning the first type, the vehicle
acquisition aid programs stand out (MOVES, MOVES Singulares, MOVES FLOTAS, the Program for the sustainable
transformation of freight and passenger fleets) while within the second type the Infrastructure, Transport and
Housing Plan 2012-2024 (PITVI), the Aid Program for municipalities for the implementation of low-emission zones
and the Program for the digital and sustainable transformation of urban transport deserve a mention. Regarding
the third type, since 2014 the training system to get the driving license for private and industrial vehicles includes
driving techniques. Likewise, the use of clean and efficient vehicles is encouraged through a registration tax on
CO2 emissions and the classification of vehicles according to polluting potential. Within the framework of the
NECP, there is a commitment to modal change, traffic reduction, the use of collective public transport,
sustainable mobility, and the electrification of transport. On the other hand, the recent review of the NECP delves
into changes in transport and sustainable mobility, with emphasis on the transformation of cities. In addition,
reinforcing the commitment to public and collective transport and the railway, among others.

The ODYSSEE-MURE project is co-funded by the European Union.

Views and opinions expressed are those of the authors only and do not
necessarily reflect those of the European Union or CINEA. Neither the
European Union nor the granting authority can be held responsible for the
information contained therein or for any use that may be made thereof.
 Spain | Energy profile, March 2024
Table 3: Sample of policies and measures implemented in the transport sector

Measures Description Impact

evaluation

MOVES II-III The MOVES Program aims to finance actions to support mobility based on High
programs for criteria of energy efficiency, sustainability, and promotion of alternative
incentives for energies, including the provision of vehicle charging infrastructure electrical.
efficient and The second and third editions are endowed with a joint budget of €500 M. In
sustainable the second edition, the eligible actions are expanded, considering among them
mobility the acquisition of electric and fuel cell demo vehicles of categories M1 and N1
up to 9 months old. Likewise, the limit price of a passenger vehicle to be
eligible is increased, as well as the maximum budget for heavy gas vehicles. On
the other hand, vehicle scrapping is no longer mandatory. Regarding the third
edition, some of the modifications are the greatest incentive effect, by
increasing the aid intensities for the ultimate recipients not subject to the
General Block Exemption Regulation, the increase in aid for electric vans and
motorcycles for individuals, autonomous and administration, and expanding
the eligibility of demo vehicles to motorcycles.

Aid program to This program aims to subsidize actions that contribute to the achievement of Medium
municipalities for specific objectives, linked to the general objectives of component 1 of the
the Recovery Plan (PRTR): Decarbonization and digitalization of urban mobility. This
implementation of program, financed by the PRTR, is developed through two calls for aid with a
low-emission total amount of €1.5 M. The program includes four lines of action:
zones and the Implementation of Low Emission Zones in provincial capitals and municipalities
digital and with more than 50,000 inhabitants; promotion of modal change in urban and
sustainable metropolitan environments towards more sustainable means of transport,
transformation of prioritizing collective public transport and active mobility; transformation of
urban transport public transport of passengers and goods towards a zero-emission activity; and
digitalization of the activity of public transport services.

Program for the This program seeks to accelerate investments to facilitate the sustainability of Medium
sustainable transport. In this way, it aims to promote the decarbonization of professional
transformation of road transport by renewing the fleet of heavy goods and passenger transport
freight and vehicles (excluding those of public ownership), encouraging the penetration of
passenger fleets vehicles powered by alternative energies (low-carbon vehicles (electric,
hydrogen, hybrid and plug-in hybrid and gas vehicles (LNG or CNG)), as well as
promoting the automotive sector and industrial reactivation. This program with
a maximum allocation of 400 M is financed with the European Recovery and
Resilience Mechanism to the extent that it is part of the Recovery Plan (PRTR),
within investment 1 of component 1 "Sustainable mobility shock plan, safe and
connected in urban and metropolitan environments.

The ODYSSEE-MURE project is co-funded by the European Union.

Views and opinions expressed are those of the authors only and do not
necessarily reflect those of the European Union or CINEA. Neither the
European Union nor the granting authority can be held responsible for the
information contained therein or for any use that may be made thereof.
 Spain | Energy profile, March 2024
Classification and Through Instruction 15/V-110 of 7 April 2015, the "zero emissions" label was High
labelling of presented. This label must be carried by electric vehicles (battery-powered
passenger cars and (BEV), extended range (REEV), plug-in hybrids (PHEV) with a minimum range of
vans based on 40 km in electric, fuel cell (FCEV)) or hydrogen (HICEV) mode. By Resolution of
their polluting 13 April 2016 of the General Directorate of Traffic the "zero", "ECO", "C" and
potential "B" labels were approved, which classify 50% of the stock of vehicles based on
its polluting potential. This measure will contribute to greater penetration of
more efficient and less polluting vehicles.

Source: MURE

Industry
The energy consumption of the industry has followed a downward trend since 2005, which has continued with
certain disruptions caused by the various crises (economic and health) and its subsequent recovery. In 2021,
consumption amounts to 28.4 Mtoe, 16.3% lower than in 2000. Five intensive branches concentrate 61.2% of
consumption: non-metallic minerals (20.1%), chemicals (18.0%), steel (9.1%), non-ferrous metals (5.5%), and pulp
and paper (8.4%). The greatest reduction in consumption occurs in the non-metallic minerals and steel industries
(-2%/year), decreasing their share in demand, respectively 6.2 and 2.7 pp.

Figure 11: Final energy consumption of industry by branch

Source: ODYSSEE

Among the most intensive industries, the downward trend in unit consumption of the steel (-1.3%/year) and
paper (-1.7%/year) stands out in the 2000-2021 period. In contrast, the cement industry, despite its good
performance before the economic crisis, has worsened by 0.8%/year throughout the period. All trends towards
improvement were interrupted due to the impact of the crisis on productive capacity and, consequently, on the
performance of equipment and processes. With the change in the economic situation after 2014, the steel and
paper industries in 2021 have recovered or even improved compared to the pre-crisis level, while cement
remains 55% above.

The ODYSSEE-MURE project is co-funded by the European Union.

Views and opinions expressed are those of the authors only and do not
necessarily reflect those of the European Union or CINEA. Neither the
European Union nor the granting authority can be held responsible for the
information contained therein or for any use that may be made thereof.
 Spain | Energy profile, March 2024
Figure 12: Unit consumption of energy‐intensive products (toe/t)

Source: ODYSSEE

Between 2000 and 2021, the energy consumption of the industry has decreased by 4.0 Mtoe, mostly because of
efficiency improvements (-7.5 Mtoe) and the drop-in activity (-5.8 Mtoe), reinforced during the different crises,
economic (2008-2014) and 2020 health (COVID-19). These effects have been partially offset by operational
inefficiencies (+7.2 Mtoe) mainly associated with the crises, and to a lesser extent by structural changes (+2.1
Mtoe).

Figure 13: Main drivers of the energy consumption variation in industry

Source: ODYSSEE

The ODYSSEE-MURE project is co-funded by the European Union.

Views and opinions expressed are those of the authors only and do not
necessarily reflect those of the European Union or CINEA. Neither the
European Union nor the granting authority can be held responsible for the
information contained therein or for any use that may be made thereof.
 Spain | Energy profile, March 2024
Actions to improve energy efficiency in the industrial sector, generally framed in the different efficiency plans,
and more recently within the NECP, are aimed at promoting investments in efficiency projects through
technological improvements and the implementation of energy management and audit systems. Among the most
recent measures are the aid program for SMEs and large companies, the obligation to carry out audits in large
companies and the aid lines within the framework of the Recovery Plan for innovation and sustainability plans in
the manufacturing industry, and to comprehensive actions of the Electric and Connected Vehicle industrial chain
(PERTE VEC). Within the new NECP, as a novelty, improvements are focused on energy intensive industries.

Table 4: Sample of policies and measures implemented in the industry sector

Measures Description Expected savings,

impact evaluation

Energy audits and In compliance with Royal Decree 56/2016, of 12 February, which Medium
management transposes article 8 of the EED, the obligation to carry out energy audits
systems is imposed on large industrial companies (or groups of companies that
meet this requirement). The audits must be carried out every 4 years,
covering at least 85% of the final energy consumption of all the facilities
that are part of the activities managed by the affected companies and
groups.

Aids to SMEs and This Program, currently endowed with a total budget of €625,075 M, is High
large companies in aimed at financing actions corresponding to the following typologies:
the industrial improvement of technology in industrial equipment and processes; and
sector implementation of energy management systems.

Aid line for This Line, co-financed under the Recovery Plan, aims to encourage the Medium
innovation and development and implementation of these plans in industrial
sustainability companies. Aid may be granted in the form of loans, or a combination
plans in the of grants and loans. Innovation and sustainability plans, structured in
manufacturing one or several projects associated with one of the following lines of
industry action, will be eligible for aid: R+D+I line: Industrial research projects,
experimental development, and innovation projects in the field.
organization and processes; and the Innovation Line in Sustainability
and Energy Efficiency, considering the following investments. The
projects must be R+D+I or sustainability and energy efficiency
innovation projects, intended to be applied in the value chain of the
manufacturing industry, and must adapt to a series of thematic
priorities, including the circular economy and eco-innovation and the
decarbonization, energy efficiency, new sources of renewable energy
and reduction of polluting emissions.

Source: MURE

The ODYSSEE-MURE project is co-funded by the European Union.

Views and opinions expressed are those of the authors only and do not
necessarily reflect those of the European Union or CINEA. Neither the
European Union nor the granting authority can be held responsible for the
information contained therein or for any use that may be made thereof.