Spain allocates 38.1 million free emission rights to industry through 2030

The Spanish Council of Ministers has approved a new allocation of free greenhouse gas emission rights for the 2026–2030 period. Under this measure, 664 industrial facilities will receive an average of 38.1 million free emission rights per year.

The initiative, proposed by several ministries including Industry, Economy, and Ecological Transition, aims to protect the competitiveness of energy-intensive sectors—such as steel, refineries, cement, chemicals, paper, ceramics, and glass—and prevent carbon leakage to countries with less stringent environmental regulations.

Despite this allocation, the volume of free rights is set to decrease by 1.6% compared to 2025, increasing the sector's deficit to 21.3%. While providing partial relief from CO2 costs, the measure does not eliminate the need for companies to purchase rights through auctions when emissions exceed their free allocation. Major companies operating in the Spanish market, including Acerinox, ArcelorMittal, and Repsol, are among the sectors impacted by these changes.