Types of incentives in Mallorca
Conditions change every year, so we always check the current call before quoting. The main routes are:
- The Balearic Government’s FACTOR 2026 programme: batteries, EV charging points, heat pumps and, for businesses and owners’ associations, solar panels
- Multi-year property tax (IBI) rebates in many municipalities
- Building tax (ICIO) rebates for solar installations
- Income tax deductions for energy-efficiency works (Spanish tax residents)
- Tax incentives for businesses investing in renewables
FACTOR 2026: what it covers for each client
FACTOR 2026 (BOIB no. 83, 2 July 2026) accepts applications until 28 February 2027 or until the budget runs out, first come, first served. There is currently no grant for solar panels on private homes: in 2026 homeowners can only claim for batteries, EV charging points and heat pumps.
- Private individuals domiciled in the Balearic Islands: batteries 45% of eligible cost, charging point 70% (max €2,500) and air-to-water heat pumps up to 70% (max €25,000). No grant for solar panels.
- Businesses: solar panels from 40% (large) to 50% (medium), 60% (small) or 70% (de minimis), up to 500 kWp; plus batteries, charging and heat pumps.
- Owners’ associations and non-profit entities: solar panels at 70%, plus batteries, charging and heat pumps.
- Batteries: maximum eligible cost of €910/kWh up to 10 kWh, €650/kWh from 10 to 100 kWh and €455/kWh from 100 to 200 kWh.