Ivace and Energy Communities: Driving Local Renewable Power in the Valencian Community

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Valencia Institute for Business Competitiveness (Ivace), part of the Ministry of Sustainable Economy, Productive Sectors, Trade and Labour, has supported a robust portfolio of renewable energy initiatives since 2021. Through energy communities, Ivace has helped drive more than 118 projects and allocated 5.2 million euros to advance these efforts across the region.

Rafael Climent, head of Sustainable Economy, emphasized that the Ministry will maintain its strong commitment to energy communities through Ivace. He announced plans to expand these initiatives and revealed that the upcoming year will see a total of five million euros directed at developing projects within energy communities across the Valencian Community.

Climent highlighted the role of energy communities in boosting renewable energy production, lowering energy bills, and enhancing the competitiveness of local businesses. He noted Ivace as a leader in the push toward widespread adoption, underscoring the agency’s support for all projects that advance implementation. Ivace is also piloting a dedicated hotline for energy communities to streamline information and access for participants.

The minister outlined current progress, including three versions of Ivace’s support line that promote self-consumption and the growth of renewable energy communities. He cited year-over-year increases in the number of supported projects: seven in the first year, forty-eight in 2021, and seventy in the current year.

Ivace is actively pursuing joint projects that bring together multiple actors such as different public agencies, energy communities, companies, cooperatives, technological institutes, municipalities, and the regional government. The aim is to maximize the potential offered by renewable energy communities and to create a collaborative model that can be replicated across the region.

All of these efforts contribute to the Energy Communities Incentive Plan, a roadmap developed by Ivace for the Valencian Community. The plan envisions that by 2030 every municipality within the community will have access to a local energy community, expanding opportunities for local energy autonomy and sustainable development.

Ivace Assistance to the Energy Communities

Ivace Energia provides funding for up to 45 percent of the cost of photovoltaic solar installations. The maximum eligible amount for mass production, self-consumption projects, and individual projects can reach 200,000 euros. Within this framework, aid intensity can increase by up to ten percentage points for medium-sized enterprises, and up to twenty percentage points for small businesses, town halls, government agencies, and nonprofit organizations.

For energy communities, a legal entity structure is expected to be based on open and voluntary participation, with autonomy and effective control residing in its members. Members can include individuals, small and medium-sized enterprises, or local governments such as municipalities located near group-owned projects. The focus is on developing projects that enhance renewable energy, energy efficiency, and sustainable mobility in the surrounding area.

The core purpose of these activities is to deliver environmental, economic, and social benefits to members and the local communities. The initiatives prioritize local impact over financial gain, reinforcing a community-centered approach to energy transition and regional resilience.

In this framework, Ivace continues to position energy communities as a practical vehicle for decarbonization, local empowerment, and economic vitality. The ongoing investments and policy support are designed to accelerate deployment, encourage collaboration, and create scalable models for other regions to follow.

Attribution and ongoing updates come from the Valencian Community energy program led by Ivace, which coordinates regional efforts to advance renewable energy, efficiency, and sustainable mobility topics that affect residents, businesses, and public institutions alike.

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