The European Commission has approved a €200 million ($330.4 million) Spanish State aid scheme to support investments that add manufacturing capacity for the electric value chain, in line with the objectives of the Clean Industrial Deal.
As part of the scheme, investments will add manufacturing capacity for the production of battery and energy storage technologies and hydrogen technologies for use in EVs. The scheme will also grant support for the production of the main specific components for these technologies and for the production or recovery of the needed critical raw materials.
Under the scheme, the aid will take the form of direct grants. The measure will be open to companies in the whole territory of Spain and aid may be granted until 30 June 2026.
The commission found that the Spanish scheme is in line with the conditions set out in the CISAF. The commission concluded that the Spanish scheme is necessary, appropriate and proportionate to accelerate the transition towards a net-zero economy and facilitate the development of certain economic activities.
In June 2025, the commission adopted the CISAF to foster support measures in sectors that are considered key for the transition to a net zero economy.
During 2025, the EU took a step forward towards a clean power system backed by wind and solar. For the first time, wind and solar produced more electricity than fossil fuels in the EU, according to Ember Energy.
The EU’s solar power sector grew more than 20% for the fourth year running to 13% of the EU’s electricity, higher than coal and hydro. Solar also grew in every EU country and accounted for more than a fifth of electricity in Hungary, Cyprus, Greece, Spain and the Netherlands.
However, the EU is still dependent on gas – rising 8% compared to 2024, largely due to reduced hydro output. This pushed the EU’s power sector’s gas import bill up to €32 billion – 16% higher than the previous year.
Coal power fell to a new historical low of 9.2%. Ember Energy reports across 19 EU countries, coal power is at less than 5%.
Write to Aaliyah Rogan at Mining.com.au
Images: Unsplash
