There are two types of self-consumption:

• Self-consumption supply (Type 1): For those that consume the energy they produce.
  This is when the electricity generation installed power is ≤ the contracted power for the installation and this in turn is ≤ than 100kW. In this case, the consumer is not registered in the registry as an electricity producer. In other words, there do not receive any payment.
• Self-consumption production (Type 2): For those that not only self-consume but also sell the surplus energy on the market.
  This is when the electricity generation installed power is ≤ the contracted power for the installation but there is no limitation ^(*). In this case, consumers are registered in the registry as electricity producers and therefore they do receive payment. In order to sell electricity on the wholesale market, consumers shall have to pay:
• Power generation toll (€0.5/MWh)
• And the power generation tax (7%)

^(*) There is no power limit except for type 2B, which has to have an installed power of ≤ than 100kW. Furthermore, this type of self-consumption (2B) does not have any ancillary services.

In both cases there is a minimum-term of 1 year and this is automatically renewable. In other words, in order to terminate the contract you must communicate your intention to terminate it.

Two meters need to be installed for photovoltaic self-consumption:

• One that records the grid power consumption
• And another that records the net energy produced by the photovoltaic installation

In this regard, from 11 April 2016, the installation of an additional meter shall be mandatory and this meter will record the hourly consumption, i.e. a meter integrated in the remote management system. Therefore, anyone interested in self-consumption will have to ask their distribution company for a new connection or they will need to modify the existing one.

Both meters have to reflect the self-consumption and the sales company is responsible for billing the customer for the various self-consumption items passed on by the distribution company.

Photovoltaic consumption requires the payment of certain charges which the distribution company passes on to the sales company and the latter is responsible for including these in the bills for customers adhered to the self-consumption system.

The charges to be paid are as follows:

• Fixed: These are applied to the contracted power. For a 2.0A customer, it is approximately €9/kW per year.
• Variable: These are applied to the hourly energy that is self-consumed by the customer. a 2.0A customer, it is €0.049/kWh.

These charges will be included in the bill in the “ Bill details ” section.

There are a series of exceptions to the payment of these charges :

1. 1. Self-consumers with low voltage and a power ≤ than 10kW, are:
• Exempt from the payment of the variable charges.
• Exempt from the payment of fixed charges , providing they do not have batteries for accumulating the energy.
• Exempt from the payment of access and connection studies and the generation connection rights (costs set forth in Royal Decree 1048/2013 and Royal Decree 1699/2011), if they prove that they have a device that prevents electricity being fed to the grid.
2. 2. Extra-peninsular territories :
• A reduction is applied to the variable charges in Majorca and Menorca.
• In the Canary Islands, Formentera, Ceuta and Melilla, they are exempt from the payment of the variable charges.
3. 3. Cogenerations will not pay any charge until 31/12/2019.

IMPORTANT: In order to request the self-consumption, a technical contract for the installation is required, which shall include all the self-consumption characteristics. The distribution company provides this contract upon request and the title holder must be the same as the title holder of the contract with the sales company.