Grants for upgrading public lighting with LED luminaires

Spanish municipalities looking to upgrade their public lighting have access to various grants enabling them to not only improve their lighting systems but to promote energy efficiency and generate significant energy savings. The European Regional Development Fund (ERDF) and Spain’s National Energy Efficiency Fund are the main funding instruments for these projects on the Iberian Peninsula. The grants are distributed by the Institute for Energy Diversification and Saving, and the cash injections received by participating municipalities align with Directive 2012/27/EU of the European Parliament and of the Council of 25 October 2012 on energy efficiency.

The above legislation stipulates that EU member states must support municipalities and public bodies to introduce sustainable, integrated energy efficiency plans. Royal Decree 842/2002 of 2 August, approving the low voltage electrotechnical regulation, and Royal Decree 1890/2008 of 14 November, approving the regulation on energy efficiency in exterior lighting systems, set out the technical specifications for exterior municipal lighting networks.

Grant programme for upgrading exterior municipal lighting systems

The public lighting grants support municipalities to adapt and upgrade their systems in accordance with the legislation and with existing energy efficiency and sustainability criteria.

Objectives

The grants were set up to enable the upgrading and modernisation of exterior municipal lighting systems, whether partially or across the entire municipal network. In other words, the grants are intended to support energy savings, and in turn reduce carbon dioxide (CO₂) emissions.

There is huge potential for energy savings by modernising these systems, many of which are extremely old. The most effective upgrades can be achieved by replacing and modernising bulbs, luminaires and control devices.

Recipients

The following bodies are eligible for the grants:

• Town councils
• Provincial governments or equivalent local bodies
• Groupings of municipalities (mancomunidades)
• Public entities holding contracts to manage municipal public services. These entities must not be providers of goods or services. 

Any of the aforementioned bodies can submit a grant application, which should set out their objectives and estimated budget. 

Size of the grants

The grants already allocated have a total value of almost 50 million euros. Participating bodies receive the funding retroactively, covering up to 100% of their outlay. The grants are subject to 0.0 % interest, are valid for up to 10 years (including a 12-month grace period), and are exempt from fees for allocation, research and cancellation of guarantees.

Previous funding rounds set the upper limit of each individual grant to 4 million euros and the lower limit to 300,000 euros. Projects with a smaller investment can join with other applicants to submit a joint proposal.

Organising bodies

The following bodies organise and distribute the public lighting grants:

Institute for Energy Diversification and Saving (IDAE)

The IDAE, to use its Spanish acronym, is a public company affiliated with the Ministry of Environmental Transition through the Department of Energy. Its main responsibilities include supporting the Spanish Government to meet its objectives around energy efficiency, decarbonisation of the economy, environmental transition and renewable energy.

The IDAE is authorised to implement educational campaigns and other dissemination activities, including in other countries (i.e. European programmes or cooperation plans). It also provides guidance on the technical aspects of energy and on specific programmes for energy diversification and savings. And, it distributes grant funding for projects such as public lighting upgrades.

European Regional Development Fund

One of the primary goals of the European Union is to implement convergence policies to reduce inequalities between its member states. In that sense, the European Regional Development Fund or ERDF devises financial policies to reduce inter-country imbalances.

Its strategy for the period 2021 to 2027 encompasses investments to make Europe a smarter continent in terms of energy, as well as a greener and more sustainable one. Funding will also be made available to increase connectivity and for the implementation of social policies that bring the European political machinery closer to European citizens.

Requirements and good practice

Projects are eligible if they are geared towards improved energy efficiency and a consequent reduction in CO₂ emissions and overall energy use.

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The funding also covers the replacement of old lighting equipment with higher-performance luminaires, in addition to projects to swap out public lighting systems for more efficient light sources as well as electronic regulation and control devices. Once implemented, the new systems should achieve at least a 30% reduction in electricity usage and be awarded an A or B energy rating.

How SECOM luminaires can support your grant application

The funding conditions stipulate that the recipients must have plans in place to upgrade conventional luminaires to LED.

Projects that do not meet this requirement will be disqualified from the funding for municipal lighting systems. SECOM’s extensive catalogue includes LED luminaires and professional lighting systems that meet all the requirements for the grants for public lighting upgrades. What is more, SECOM has +30 years’ experience in the sector and a manufacturing headquarters in Spain.

Secom Iluminación’s team of expert professionals will provide guidance and prepare a technical lighting study to support grant applications and help the municipality realise significant energy and financial savings.

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