The Spanish CAE Program Explained Clearly

The CAE program (Energy Savings Certificates) is the most important and least understood mechanism in Spain's energy efficiency system. Many homeowners hear about "€1 insulation" or "IDAE subsidies" without really understanding how the system works. In this guide we explain the CAE program clearly and pedagogically.

What exactly is an Energy Savings Certificate?

An Energy Savings Certificate is an official document attesting that a state-validated energy savings operation has been carried out. Each certificate represents a specific volume of kWh of energy saved.

These certificates are exchangeable financial assets. Obligated energy companies buy them from accredited operators (like Capital Talent Invest) to comply with their legal annual savings quotas.

Legal framework: Law 18/2014 and Royal Decree 36/2023

The CAE system was born in Spain with Law 18/2014 of 15 October. The current framework is governed by Royal Decree 36/2023, published in the Official Gazette on 26 January 2023.

The whole system complies with the European Directive 2023/1791 on energy efficiency, which requires Member States to achieve precise reductions in consumption (11.7% by 2030).

CAE system actors

1. IDAE: managing public authority (Spanish Institute).
2. Obligated parties: Iberdrola, Endesa, Naturgy, Repsol, TotalEnergies, Cepsa, BP, Galp, Shell.
3. Delegated operators: Capital Talent Invest manages technical and administrative operations.
4. Homeowner: benefits from the operation at €1 symbolic.

The economic flow

1. You sign the CAE rights assignment to Capital Talent Invest.
2. We carry out the works (real cost to us: €2,500-6,000).
3. We validate the operation with the energy company.
4. The company pays us for the certified kWh.
5. This amount covers the works cost plus a margin.

Legal guarantees for homeowners

• Standard document: the assignment is regulated by IDAE.
• No subsequent payment: €1 is final.
• Official validation: certificate registered with IDAE.
• Certified materials: mandatory CE marking.
• 10-year warranty: mandatory in Spain, covers 10 years.