Solar projects on Balearic Islands to get EUR 40m in state aid

December 18 (Renewables Now) - Spain's Balearic Islands government announced on Monday it will offer a EUR-40-million (USD 45.37m) credit line to aid the construction of photovoltaic (PV) projects.

Funded by the European Regional Development Fund (ERDF), this line will be opened in the first quarter of 2019 to consolidate renewable projects already in progress and encourage the development of new ones.

The government has also established a 10-MW maximum capacity for project proposals to be classified as small parks. This grant can subsidise fixed solar systems as well as storage systems associated with solar plants, the local government explained.

The winning projects will have up until 2022 to be switched on and the investors can chose to receive the grant in advance, in the form of a loan, or after the plants have been completed. The credit line foresees aid of up to 20% for large projects and 30% for small projects.

Currently, the Balearic Islands have 137.6 MW of total solar capacity under development, divided between 17 small parks and four larger ones. There are currently 38 parks in operation that add up to 71 MW.

(EUR 1 = USD 1.13)