Solar Incentives in Spain in 2026: Tax Rebates & Grants

Author

Roman Mitchell is the co-owner of Marblanc Solar. He is an accredited civil engineer with a BEng (Hons), following four years of training in civil, structural, ground and construction engineering at the University of the West of Scotland.

Last updated: 1st January 2026.

Want a rapid overview of the solar incentives available in Spain?

This post is for you.

Below, you’ll find a quick overview of the incentives available in the 3 Spanish regions most popular with foreign homeowners: Andalusia, Murcia and the Valencian Community.

While the Next Generation EU grant schemes ended on 31 December 2023, tax incentives can still help you save money in 2026 – often in the region of 20% to 60% of the total installation cost.

In this post, you’ll discover:

  • An overview of solar incentives in Spain’s 17 regions
  • The direct solar grants still available
  • The available tax deductions and rebates – and how much you could save
  • The deadline for each relevant incentive

Let’s go!

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Overview: the 4 solar incentives in Spain

In 2026, there’s still a mix of direct solar grants, income tax deductions, and local tax rebates available for homeowners in Spain.

In most cases, you’ll need to be registered on the municipal padrón (the town hall’s official register of residents). Some incentives also only apply if you pay Spanish income tax (IRPF), which usually means being a Spanish tax resident.

Let’s take a closer look below at what they are.

1. Solar grants & subsidies

Direct solar grants are subsidies that you are paid after installing a solar system, provided you meet the criteria.

These grants became widely available from 30 June 2021, as part of Spain’s Recovery, Transformation and Resilience Plan (PRTR), financed through the EU’s Recovery and Resilience Mechanism (NextGenerationEU funding).

Most regions stopped accepting applications after 31 December 2023.

That said, some regions have continued offering solar grants in 2026 via their own funding or extensions – for example, in the Valencian Community.

How Much Can I Save?

You can receive a solar grant for up to 40% of the eligible project cost, capped at €3,000 per home. This is currently only available in the Valencian Community – but will expire on 27th February 2026, according to the Generalitat Valenciana.

You’ll need to show energy improvement: either 7%+ reduction in heating/cooling demand or 30%+ reduction in non-renewable primary energy consumption (as evidenced in the application requirements).

2) IRPF income tax rebate

The IRPF incentive is a tax rebate that reduces the income tax you pay.

Many people in Spain assume this incentive reduces their taxable income base. But according to the Ley 35/2006, the IRPF income tax rebate reduces your final tax bill.

Here’s an example.

Let’s say you owe €5,000 in Spanish income tax (IRPF) and your solar installation includes €10,000 of eligible costs. You could see your IRPF bill drop from €5,000 to €1,000.

The IRPF income tax rebate is still available in 2026 for a limited time.

How Much Can I Save?

As a homeowner, you can reduce your IRPF income tax bill by up to €3,000 with this solar incentive. However, the rebate amount depends on the level of energy-efficiency improvement you achieve.

Here are the current thresholds, according to Spain’s ministry of housing.

  • 20% IRPF deduction (up to €5,000 per home, per year) – You must reduce heating and cooling demand by at least 7%, proven by an energy certificate before and after the works, for your main home (or a home you rent out, or plan to rent out within the deadline).
  • 40% IRPF deduction (up to €7,500 per home, per year) – You must cut non-renewable primary energy consumption by at least 30%, or improve the home’s energy rating to A or B, again proven by certificates before and after the works.
  • 60% IRPF deduction (up to €15,000 per home overall, claimed across years) – This applies when the improvement works affect the whole residential building, and you achieve a 30%+ reduction in non-renewable primary energy use or reach an A or B rating for the building, backed by the building-level energy certificate.

3) Rebates for the IBI property tax

In some municipalities, you can also get a rebate on your property tax, known as IBI (Impuesto sobre Bienes Inmuebles).

This is a discretionary incentive, meaning each town hall decides whether to offer it. Your ayuntamiento can offer up to 50% off the IBI bill for properties with solar systems.

According to Spain’s Fundación Renovables, 67% of municipalities with over 10,000 inhabitants have implemented an IBI reduction linked to home solar energy systems.

How Much Can I Save?

You can save up to 50% off your property tax payments (IBI) for up to 10 years after installing a solar panel installation.

But the discounted amount and the duration depend on your town hall. See below for IBI tax rebates in towns and cities popular with foreign residents below.

4) Rebates for the ICIO installation tax

Spain offers incentives that can reduce the local tax you may pay when applying for the installation permit for solar panels.

This is the ICIO: Impuesto sobre Construcciones, Instalaciones y Obras.

It’s a municipal tax charged on the real cost of the works (excluding VAT and other non-construction items). The rate is set by each town hall, but it cannot exceed 4%.

Rebates are discretionary. Some town halls set solar-related ICIO rebates as high as 95% – so if your installation costs €10,000 in eligible works, your 4% ICIO tax could drop from €400 to €20.

According to Fundación Renovables, 65% of municipalities with over 10,000 inhabitants have implemented an ICIO rebate linked to self-consumption.

How Much Can I Save?

You can save up to 95% on the ICIO tax required to legally install solar panels in most municipalities in Spain. See below for ICIO tax rebates in towns and cities popular with foreign residents below.

Aerial view of a house with solar panels on the roof, a swimming pool, and a well-maintained yard.
IBI tax reductions can mean thousands of euros in savings for some homeowners – but you must check with your ayuntamiento. Some town halls, like Marbella, suddenly paused all IBI tax reductions in 2025.

Which solar incentives are available in your region?

Below, you’ll see a quick, region-by-region overview of which solar incentives are available where you live in Spain.

For each autonomous community, we’ll show whether direct solar grants and IRPF income tax deductions are currently available. We’ll also share whether IBI property tax and ICIO tax rebates are offered in popular towns and cities within each region, and what those rebates are worth.

To learn how to apply for each incentive, jump to the next section.

Solar Incentives in Andalusia

Below is a quick overview of the solar incentives available in 2026 in Andalucía, including what’s relevant for homeowners across the Costa del Sol and provinces such as Málaga, Granada, Almería, Córdoba, Cádiz and more.

Incentive typeAvailable?Current deadline
1) Direct solar grants (subsidies)31 Dec 2023 (NextGen residential window)
2) IRPF income tax deductions31 Dec 2026 (some cases later depending on the deduction type)
3) IBI property tax rebate📍Set by each municipality
4) ICIO installation tax rebate📍Set by each municipality

Which Town Halls in Andalucia Offer IBI Tax Rebates?

See an overview of town halls and the relevant IBI tax rebates in Andalusia. Solar rebates are decided by each town hall, so the discount and duration vary by municipality.

Last updated: January 2026. We check rebates against data from Fundación Renovables, where available. Always confirm with your town hall before applying.

IBI Tax Rebates in Popular Towns and Cities in Málaga

MunicipalityIBI tax rebateICIO tax rebate
Alhaurín de la TorreNot availableNot available
AntequeraUp to 40% off IBI for 3 years – 40% the first year, 30% the second year and 20% the third yearNot available
ÁloraNot availableNot available
BenalmádenaNot availableNot available
CoínNot availableNot available
CártamaUp to 25% off IBI for 5 years80% rebate off ICIO installation tax
CampillosUp to 50% off IBI for 7 yearsUnknown
EsteponaNot available50% rebate off ICIO installation tax
FuengirolaNot available50% rebate off ICIO installation tax
MálagaUp to 15% off IBI for 3 years95% rebate off ICIO installation tax
ManilvaNot available40% rebate off ICIO installation tax
MarbellaNot available95% rebate off ICIO installation tax
MijasNot availableNot available
NerjaNot availableNot available
Rincón de la VictoriaUp to 15% off IBI for 3 yearsNot available
RondaUp to 30% off IBI for 3 yearsNot available
TorremolinosUp to 50% off IBI for 3 yearsNot available
TorroxNot availableNot available
Vélez-MálagaUp to 50% off IBI for 3 yearsNot available

IBI Tax Rebates in Popular Towns and Cities in Granada

Municipality (Granada)IBI rebateICIO rebate
AlmuñécarNot available95% rebate off ICIO installation tax
Churriana de la VegaUp to 30% off IBI tax for 1 year10% rebate off ICIO installation tax
GranadaUp to 50% off IBI tax for 1 year95% rebate off ICIO installation tax
GuadixNot availableNot available
Las GabiasUp to 35% off IBI tax for 1 year35% rebate off ICIO installation tax
MotrilNot available95% rebate off ICIO installation tax
SalobreñaNot availableNot available

IBI Tax Rebates in Popular Towns and Cities in Cádiz

Municipality (Cádiz)IBI rebateICIO rebate
CádizUp to 50% off IBI tax for 4 years95% rebate off ICIO installation tax
Chiclana de la FronteraNot availableNot available
Conil de la FronteraUp to 20% off IBI tax for 3 yearsNot available
La Línea de la ConcepciónNot availableNot available
RotaUp to 50% off IBI tax for 5 years75% rebate off ICIO installation tax
San Roque (Sotogrande)Not availableNot available
TarifaNot availableNot available
Vejer de la FronteraNot available50% rebate off ICIO installation tax

IBI Tax Rebates in Popular Towns and Cities in Almería

Municipality (Almería)IBI rebateICIO rebate
AlboxNot availableNot available
AlmeríaUp to 50% off IBI tax for 3 yearsNot available
Cuevas del AlmanzoraNot availableNot available
GarruchaNot available95% rebate off ICIO installation tax
Huércal-OveraNot available65% rebate off ICIO installation tax
NíjarNot available10% rebate off ICIO installation tax
Roquetas de MarNot availableNot available
VeraUp to 10% off IBI tax for 3 yearsNot available

IBI Tax Rebates in Popular Towns and Cities in Córdoba

Municipality (Córdoba)IBI rebateICIO rebate
CabraUp to 25% off IBI tax for unknown years95% rebate off ICIO installation tax
CórdobaUp to 50% off IBI tax for 10 years95% rebate off ICIO installation tax
LucenaUp to 40% off IBI tax for 5 years95% rebate off ICIO installation tax
Priego de CórdobaUp to 50% off IBI tax for 10 years50% rebate off ICIO installation tax

IBI Tax Rebates in Popular Towns and Cities in Huelva

Municipality (Huelva)IBI rebateICIO rebate
AyamonteNot availableNot available
CartayaNot available95% rebate off ICIO installation tax
HuelvaNot availableNot available
Isla CristinaNot availableNot available
LepeUp to 50% off IBI tax for 3 years50% rebate off ICIO installation tax
Punta UmbríaNot availableNot available

IBI Tax Rebates in Popular Towns and Cities in Jaén

Municipality (Jaén)IBI rebateICIO rebate
Alcalá la RealUp to 30% off IBI tax for 3 years95% rebate off ICIO installation tax
BaezaNot availableNot available
JaénUp to 50% off IBI tax for 1 yearNot available
ÚbedaNot available30% rebate off ICIO installation tax

IBI Tax Rebates in Popular Towns and Cities in Sevilla

Municipality (Sevilla)IBI rebateICIO rebate
CarmonaUp to 50% off IBI tax for 3 yearsNot available
OsunaNot availableNot available
SevillaUp to 50% off IBI tax for 3 years75% rebate off ICIO installation tax

Solar Incentives in Murcia

Below is a quick overview of the solar incentives available in 2026 in Andalucía, including what’s relevant for homeowners in towns like Los Alcázares, Mazarrón, San Pedro del Pinatar, and more.

Incentive typeAvailable?Current deadline
1) Direct solar grants (subsidies)31 Dec 2023 (NextGen residential window)
2) IRPF income tax deductions31 Dec 2026 (some cases later depending on the deduction type)
3) IBI property tax rebate📍Set by each municipality
4) ICIO installation tax rebate📍Set by each municipality

Which Town Halls in Murcia Offer IBI Tax Rebates?

See an overview of town halls and the relevant IBI tax rebates in Murcia. Solar rebates are decided by each town hall, so the discount and duration vary by municipality.

Last updated: January 2026. We check rebates against data from Fundación Renovables, where available. Always confirm with your town hall before applying.

IBI Tax Rebates in Popular Towns and Cities in Murcia

Municipality (Murcia)IBI rebateICIO rebate
Alhama de MurciaUp to 50% off IBI tax for 3 years90% rebate off ICIO installation tax
CartagenaUp to 50% off IBI tax for 3 years50% rebate off ICIO installation tax
Fuente Álamo de MurciaNot available45% rebate off ICIO installation tax
Los AlcázaresUp to 50% off IBI tax for 3 yearsNot available
MazarrónUp to 25% off IBI tax for unknown years50% rebate off ICIO installation tax
MurciaUp to 50% off IBI tax for 1 year95% rebate off ICIO installation tax
San JavierUp to 50% off IBI tax for 1 year50% rebate off ICIO installation tax
San Pedro del PinatarNot availableNot available
Torre-PachecoUp to 50% off IBI tax for 1 year95% rebate off ICIO installation tax

Solar Incentives in the Valencian Community

Below is a quick overview of the solar incentives available in 2026 in the Valencian Community, including what’s relevant for homeowners in towns like Javea, Denia, Altea, Moraira, Torrent, Torrevieja and more.

Incentive typeAvailable?Current deadline
1) Direct solar grants (subsidies)27 Feb 2026 – see here for how to apply and requirements
2) IRPF income tax deductions31 Dec 2026 (some cases later depending on the deduction type)
3) IBI property tax rebate📍Set by each municipality
4) ICIO installation tax rebate📍Set by each municipality

Which Town Halls in the Valencian Community Offer IBI Tax Rebates?

See an overview of town halls and the relevant IBI tax rebates in the Valencian Community. Solar rebates are decided by each town hall, so the discount and duration vary by municipality.

Last updated: January 2026. We check rebates against data from Fundación Renovables, where available. Always confirm with your town hall before applying.

IBI Tax Rebates in Popular Towns and Cities in Alicante

Municipality (Comunidad Valenciana)IBI rebateICIO rebate
L’Alfàs del PiUp to 25% off IBI tax for 6 yearsNot available
AlmoradíUp to 50% off IBI tax for 3 yearsNot available
AlteaUp to 25% off IBI tax for 3 years95% rebate off ICIO installation tax
BenidormNot availableNot available
BenissaUp to 50% off IBI tax for 5 yearsNot available
CalpUp to 50% off IBI tax for 5 yearsNot available
DéniaUp to 50% off IBI tax for 5 years95% rebate off ICIO installation tax
ElcheUp to 50% off IBI tax for 1 year95% rebate off ICIO installation tax
Guardamar del SeguraUp to 50% off IBI tax for 3 yearsNot available
JáveaUp to 25% off IBI tax for 3 years95% rebate off ICIO installation tax
La NucíaNot availableNot available
La Vila JoiosaUp to 50% off IBI tax for 4 yearsNot available
Moraira–TeuladaUp to 50% off IBI tax for 3 years95% rebate off ICIO installation tax
OrihuelaUp to 50% off IBI tax for unknown yearsNot available
PegoNot availableNot available
Pilar de la HoradadaNot available50% rebate off ICIO installation tax
RojalesUp to 50% off IBI tax for 5 years95% rebate off ICIO installation tax
TorreviejaUp to 50% off IBI tax for 3 yearsNot available

IBI Tax Rebates in Popular Towns and Cities in Valencia

Municipality (Comunidad Valenciana)IBI rebateICIO rebate
AlginetNot available95% rebate off ICIO installation tax
GandiaNot available95% rebate off ICIO installation tax
OlivaUp to 50% off IBI tax for 3 years95% rebate off ICIO installation tax
PaiportaUp to 50% off IBI tax for 3 years95% rebate off ICIO installation tax
TorrentUp to 50% off IBI tax for 1 year95% rebate off ICIO installation tax
ValènciaUp to 50% off IBI tax for up to 10 years95% rebate off ICIO installation tax
VilamarxantUp to 50% off IBI tax for 3 yearsNot available
XàtivaUp to 50% off IBI tax for unknown years50% rebate off ICIO installation tax

IBI Tax Rebates in Popular Towns and Cities in Castellón

Municipality (Comunidad Valenciana)IBI rebateICIO rebate
BenicàssimUp to 50% off IBI tax for 5 years95% rebate off ICIO installation tax
BorrianaUp to 20% off IBI tax for 3 years95% rebate off ICIO installation tax
Castelló de la PlanaUp to 50% off IBI tax for 5 years95% rebate off ICIO installation tax
VinaròsUp to 50% off IBI tax for 5 yearsNot available

Want to Estimate Your Tax Deduction & Rebate Value?

We’ve created an online calculator that generates an instant estimation of solar incentives.

Click below to get a result in the next 1-2 minutes.

Solar Calculator

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