The support scheme for gas-intensive industry now has its terms published in the Official State Gazette. Requirements, documentation and application deadline.
The terms of the support scheme compensating the additional costs caused by the exceptional rise in natural gas prices (GASINTENSIVOS) have now been definitively published in Spain's Official State Gazette.
The scheme aims to offset part of the additional costs industry faced from the exceptional rise in natural gas prices
Applications open on 27 July and close on 24 August 2023, both dates inclusive.
The scheme allows industrial companies meeting the requirements to receive compensation offsetting the rise in natural gas prices during 2022.
What is required to access the scheme?
To be eligible, applicants must:
- Carry out activities corresponding to the CNAE codes listed in the annex to Royal Decree-Law 20/2022 of 27 December.
- Have consumed more than 1.5 GWh of natural gas per year in at least one of the two years preceding the call.
Annual gas consumption and annual Gross Value Added
Applicants must also demonstrate that the ratio between annual natural gas consumption and annual Gross Value Added (GVA) for each installation they operate and for which support is sought was equal to or above 1.5 kWh/€ in at least one of the two years preceding the call.
GVA here is defined and calculated as gross value added at factor cost — that is, GVA at market prices less indirect taxes, plus any subsidies. Gross value added at factor cost may be calculated from turnover, plus capitalised production, plus other operating income, plus or minus changes in inventories, less purchases of goods and services, less other taxes on products linked to turnover but not deductible, less duties and taxes linked to production.
GVA may also be calculated from gross operating surplus, adding personnel costs. Income and expenses classified as financial or extraordinary in the company's accounts are excluded from value added. Value added at factor cost is calculated gross, since value adjustments (such as depreciation) are not deducted.
In short, "gross value added" is the difference between the value of production and the value of inputs consumed. The calculation would be as follows:
GVA = (Net turnover +/- Change in inventories of finished goods and work in progress + Own work capitalised + Operating subsidies – Supplies +/- Change in inventories of finished goods – External services – Other operating expenses):
| GROSS VALUE ADDED |
|---|
| Turnover |
| +/- Change in inventories of finished goods and work in progress |
| + Own work capitalised |
| + Other operating income |
| – Supplies |
| – External services |
| – Other external and operating expenses |
What documentation must gas-intensive companies submit?
The documentation required is:
- Gas invoices for 2021 and 2022
- EBITDA for 2020 and 2021
- Production in tonnes of each product covered by those activities during 2022
How to apply
The eligible period runs from 01/02/2022 to 31/12/2022. To apply, the gas-intensive company must submit:
- The electronic application questionnaire.
- An explanatory report of the activities carried out at each installation included in the application.
- A verified report certifying the share of gas consumption. This report must be produced by a verifier accredited under the emissions trading scheme by the Spanish National Accreditation Body (ENAC).
- A report from a statutory auditor certifying:
- The average natural gas price, in €/MWh, borne by the applicant during each of the eligible and reference periods. Where the thermal energy used at the industrial installation comes from another installation not eligible for this support, the average price of that thermal energy in €/MWh must also be certified for each period. The average natural gas price borne by the applicant legal entity must be verified taking into account all natural gas consumed across all of its installations, including in non-eligible activities, on the basis of accounting statements and invoices or other documents evidencing the volume of natural gas consumed and its price.
- The Gross Value Added (GVA) of each installation during 2021 and 2022. For installations operating for less than two years, only 2022 GVA is included.
- The applicant legal entity's EBITDA during the eligible period (01/02/2022-31/12/2022) and the reference period (01/02/2021-31/12/2022), where the applicant wishes to qualify for the higher support threshold defined in section six.2.
Want more information on applying for gas-intensive industry support?
Get in touch at info@grupotrebolenergia.es. We will be glad to help.
You may also be interested in:
¿Necesitas más información?
Escríbenos y un consultor revisa tu caso. Sin compromiso.