Law 1/2024 on Energy Transition and Climate Change of the Basque Country
The Basque Country establishes with Law 1/2024 an ambitious framework to achieve climate neutrality before 2050. This law requires various entities to calculate their carbon footprint and submit reduction plans, while promoting the use of renewable energies and new forms of energy efficiency.
Who does this law apply to?
- Public administrations of the Basque Government
- Livestock, agricultural, forestry, and fishing operations
- Waste and wastewater managers
- Industrial facilities
- Leisure and tourism establishments
- Subsectors of the service sector (commerce, transport, communications, etc.)
- Companies with more than 50 employees, if they meet certain criteria
Main obligations:
- Annually measure the carbon footprint
- Develop an Emissions Reduction Plan
- Report the data to the Basque administration in a timely manner
Other notable measures of the law:
Tax on renewable energies (from 2025):
- Applies to installations over 5 MW on non-developable land
- Annual tax based on area or installed capacity
- Funds are allocated to environmental conservation and restoration
Promotion of clean energies and energy efficiency:
- Incentives for solar and wind installations
- Support for self-consumption in businesses and homes
- Promotion of hydrogen and renewable gases
Climate objectives:
- Climate neutrality by 2050 (with effort anticipated by 2045)
- 32% renewable energy and 12% energy savings by 2030
What happens if you don't comply?
- Economic sanctions and loss of public aid
- Disadvantage in tenders and business relations
- Damage to corporate image
Benefits of compliance:
- Access to subsidies and green funds
- Energy savings and reduction of operating costs
- Improved reputation and business competitiveness
- Positioning as a sustainable supplier
This law reinforces the climate leadership of the Basque Country and represents an opportunity for companies aligning with the ecological transition.
If you want to know more, consult our blog here.