Solar Panels Installation in Valencia

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Solar panel installation companies in Valencia

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Sun hours in Europe.

Average annual insolation map. National Geographic Institute (IGN) Spain.

Solar energy potential in Valencia

Valencia is in an excellent situation in terms of solar energy due to the large amount of sun that the area receives (2,808 hours), which is greater than in other Autonomous Communities of Spain. The country has an average of 2,500 hours of sunshine per year, although this value is not reached in the northern areas and several southern regions can exceed 3,000 hours per year. The high solar irradiation in the area means that the photovoltaic production capacity in Valencia is also high.

Solar energy potential in Valencia. Source: PVGIS.

Annual production of photovoltaic energy in Valencia

Annual production of photovoltaic energy in Valencia. Source: PVGIS.

With an average photovoltaic installation of 3.4 kWp of installed power and an annual irradiation in Valencia in the plane of 2,032.99 kWh/m2, the annual production of photovoltaic energy is 5,352.87 kWh with an angle of inclination 38° of the photovoltaic equipment and assuming system energy losses of 14%. The highest energy production is distributed by month as follows: May 506.39 kWh, June 506.55 kWh, July 530 kWh and August 510.36 kWh.

The data shows that Valencia is an optimal area for the installation of this type of self-consumption equipment.

Average electricity bill in Valencia 2021-2022

Average electricity bill. Source: OMIE.

In Valencia, the Red Eléctrica de España (REE) indicates that Spanish households consume an average of 9 kWh per day and approximately 270 kWh per month, which represents about 3,240 kWh/year. In addition, the REE has also indicated that electricity prices from the Valencia grid in 2021-2022 have averaged around €0.225/kWh (€225/MWh), so that a household without a solar energy system that consumes monthly from the network these 270 kWh would pay around €60 per month on your bill, and around €730 for the 3,240 kWh per year in the variable part of electricity consumption.

Inclination and orientation of solar panels in Valencia

In Spain, the ideal average inclination of the panels varies between 20º and 40º since it is directly related to the latitude of the country. The closer a city is to the equator, the less the angle of inclination of the panels will be, since the sun's rays will strike perpendicularly. The orientation of the solar panels will affect the production of electricity in Valencia and their inclination should be 38º.

Average temperature of Valencia

Average temperature in Valencia. Source: PVGIS.

The climate of Valencia is hot summers and mild winters. It has a mild and somewhat rainy Mediterranean climate during the winters, and hot and dry during the summers. The average annual temperature is 18.5°C.

The amount of solar energy received by a square meter of surface in Valencia, or Peak Solar Hour, is 5.73 kWh/m2.

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Get the most out of your solar panel installation in Valencia

In Valencia, a city with a population of around 790,000 inhabitants (789,744), a home with an average electricity bill of €70 per month would require the installation of approximately 10 solar panels. The high solar irradiation of the area contributes to a rapid return on investment. Additionally, the use of microinverters can help limit solar panel output loss caused by shading.

Frequently asked questions about photovoltaic installation in Valencia

How much does a solar panel installation cost in Valencia?

The price of a photovoltaic installation in Valencia, and as is generally the case anywhere, depends on the type of installation, the size of the system, its components, and the registration and legalization procedures. Considering all the necessary materials: panels, inverter, wiring and installation costs such as labor for a single-family home that requires 10 panels, the approximate price would be €5,500 and €7,000 for 15 panels.

Is a photovoltaic installation profitable in Valencia? Are solar panels worth it?

The recovery of the investment in Valencia if none of the bonuses (IBI and ICIO) are accessed, would be done in just over 6 years, but if the aid is available, the investment would be recovered in just over 4 years. And if, in addition to these bonuses, subsidies from European funds are obtained, this time is reduced by almost 3 years.

How much can be saved with an installation of solar panels?

With a photovoltaic installation in Valencia you can save approximately 60% and up to 70% on your electricity bill (in the variable part of it, referring to electricity consumption).

What procedures and/or permits are needed for photovoltaic installations in Valencia?

Although normally the installation companies in Valencia are in charge of managing all the procedures so that their clients do not have to worry about it, it should be noted that the Valencian Community offers simplification of the procedures. To start a photovoltaic installation, we could say that normally only a Responsible Declaration is needed, not a Building License. However, we must be vigilant since in practice there are still Town Halls that require said License.

Is there aid for the installation of solar panels in Valencia in 2023?

IBI discount: %, years, uses and limitations

Reduction of the Property Tax in Valencia from 25% (non-residential) to 50% (residential) for 3 years.

ICIO tax credit

95% in the tax on constructions and installations.

What subsidies are there and how to apply for self-consumption aid in Valencia?

The NextGen subsidies or European funds from the EU, are aids that represent a great support since the amounts are €600 for each kWp of the installation and €490 per kWh in the storage battery, in the case of installations less than 10kWp . In the case of installations larger than 10kWp, the aid varies between €450 and €300 per kWp installed. These grants are limited and are awarded in order of presentation. They are managed by the Valencian Institute of Business Competitiveness (IVACE) and the processing is done through the General Directorate of Ecological Transition of the Generalitat Valenciana at the Electronic Headquarters of the Generalitat Valenciana, through the corresponding link:https://www.gva.es/es/inicio/procedimientos?id_proc=21988. Both the application and the technical report will be submitted to the Telematic Registry of the Generalitat.

The deadline for submitting applications is from November 2, 2021 until the allocated budget or budget reallocation is exhausted, and always until December 31, 2023 at the latest. The Ministry for the Ecological Transition and the Demographic Challenge (MITECO ) extends in 2022 by 505 million euros the Program of incentives for self-consumption, energy storage and thermal installations with renewables in the autonomous communities that have already exhausted the funds of the Program that they originally received and among them is the Valencian Community.

For more information on the state of aid in Valencia, we leave you the following interactive map of the Recovery, Transformation and Resilience Plan RD 477/2021.

Is there a personal income tax deduction for a photovoltaic installation in Valencia?

There is an IRPF deduction in Valencia for investments in electrical energy self-consumption installations or for the use of certain renewable energy sources in the homes or building where they are located. The maximum that can be deducted is 20% of the investment in the photovoltaic installation. For more details, you can consult the page of the Tax Agency.

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