Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62009 I. GENERAL PROVISIONS HEAD OF STATE 8447 Law 7/2021, of May 20, on climate change and energy transition. FELIPE VI KING OF SPAIN All those who were present saw and understood. Know: That the Cortes Generales have approved and I hereby sanction the following law: PREAMBLE I The United Nations has underlined that there is a growing gap between the actual path to reduce greenhouse gas emissions and the obligations assumed by the States Parties to the 2015 Paris Agreement on climate change, adopted at the 21st Conference of the Parties of the United Nations Framework Convention on Climate Change ("Paris Agreement"). The Secretary General of the United Nations periodically recalls the need to urgently respond to the threat of climate change and rectify the current situation in order to effectively comply with the obligations regarding climate and sustainable and inclusive development. His request coincides with the warnings made by the main international financial organizations and the European Commission in its Communication on the European Green Deal and in the European Strategy for decarbonisation to 2050. The updated and systematized conclusions of the scientific community are included in the special report of the Intergovernmental Panel on Climate Change (IPCC) published on October 8, 2018, regarding the impacts of a global warming of 1.5 ºC above pre-industrial levels and greenhouse gas emission reduction paths to limit such warming. The report is a new reference for all of society and its message is clear regarding the origin of global warming. Human activities are already responsible for an increase in global temperatures of approximately 1ºC above the pre-industrial level, which indicates that, at the current rate, the increase of 1.5ºC will be reached between 2030 and 2052. In the case of Spain , this increase in temperature is higher than the average by almost 0.5 ºC. The aforementioned report also points out that meeting the global objective of the Paris Agreement is possible, but it requires the adoption of precise public policies and well- targeted investments. The next ten years are going to be decisive in order to succeed in preserving our security. Exceeding the 1.5 ºC limit will depend on the actions to combat climate change carried out by all actors, not only governments, but also the private sector and the rest of society. In the current context, Spain must offer supportive and inclusive responses to the groups most affected by climate change and the transformation of the economy, as well as provide the appropriate signals to attract investor confidence and reduce the financial risks associated with the increase in the volume of greenhouse gas emissions or greater vulnerability to the physical impacts of climate change. For this, it is essential to ensure the boundary conditions that allow Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62010 guide the paths of compliance, facilitate the stability and predictability necessary to avoid cost overruns or the generation of captive assets, likely to hinder the progress of our economy for decades, minimize negative social impacts and facilitate the taking advantage of economic opportunities, while offer accompanying measures in the transition to the most vulnerable groups. The fight against climate change and the energy transition entail technological transformations and changes in the industry. For this reason, it is necessary to link the energy transition to industrial policy and R&D, establishing support mechanisms for the industry so that the technological transition generates greater competitiveness and a better positioning of the same, and results in the generation of wealth and employment. quality. On the other hand, achieving climate neutrality requires a firm and coordinated policy, as well as the necessary investments, for the conservation and improvement of biodiversity, and carbon stocks in our mountains and forest masses, wetlands and on surfaces of agricultural uses. Delaying decisions would mean assuming more risks, more costs and more unfairly distributed and giving up opportunities to modernize our economy and our society, putting at risk fundamental objectives for national security. II The international framework is defined. The 2015 Paris Agreement, the development of its rules in Katowice and the 2030 Agenda for Sustainable Development mark the beginning of a global agenda towards sustainable development, which entails the transformation of the economic model and a new social contract of inclusive prosperity within the limits of the planet. Both agreements show that the necessary profound change in growth and development patterns can only be carried out in a global, concerted manner and in a multilateral framework that lays the foundations for a shared path to decarbonization, an agenda that requires a new governance to its success, in which Public Administrations and civil society must be involved. The Paris Agreement establishes a solid and universal architecture whose global objectives are: to keep the increase in the global average temperature below 2ºC compared to pre-industrial levels and, even if possible, below 1.5ºC; ensure consistency of financial flows with the new development model; and increase the capacity to adapt to the adverse effects of climate change and promote resilience. The IPCC defines resilience as the ability of economic, social, and environmental systems to cope with a disturbance or shock by responding or reorganizing in ways that retain their essential function, identity, and structure, while maintaining their capacity to adapt, learn, and transform. In order to achieve these objectives, all the countries committed to submitting their National Determined Contributions (NDCs), which must include their greenhouse gas emission reduction targets. Three years later, at the 24th Conference of the Parties to the United Nations Framework Convention on Climate Change held in December 2018 in Katowice, the rules that make the Paris Agreement operational were agreed upon. The 191 Parties to this International Treaty have the responsibility to transform their economies and their society to meet the objectives they have ratified. In this new context, Madrid hosted the 25th Conference of the Parties to the United Nations Framework Convention on Climate Change in December 2019, a summit organized in the face of an extraordinary situation that nevertheless fulfilled its main mission: to reaffirm the commitment of the international community with multilateralism and ensure that the process of combating climate change complied with the planned timetable. Its main agreement, known as "Chile-Madrid Time to Act", lays the groundwork for countries to present more ambitious plans to combat climate change in 2020 than those presented in 2015 to respond to the climate emergency in line with the demands of society and the recommendations of science. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62011 The aforementioned summit also marked the beginning of a cycle change in the multilateral climate agenda. As agreed in Paris, the United Nations Framework Convention on Climate Change takes on a new dimension, where governance focuses on collecting everyone's efforts and monitoring and evaluating the objectives. The efforts of governments and society as a whole must focus on action and implementation of the climate commitments already adopted and on the mainstreaming of the climate agenda, which needs to include more sectors and more actors . The year 2020 was a key year in the implementation of the Paris Agreement, since in it the countries were forced to present new commitments to reduce emissions, which must be more ambitious to respond to the climate emergency and close the gap that exists between the 2015 commitments and the 1.5 ºC target. In this context, the European Union, the main promoter of the international response to the climate crisis since 1990, has provided itself with a broad legal framework that will allow it to remain at the forefront of the transition and meet the objectives of reducing greenhouse gas emissions. greenhouse gases by 2030, a 55% reduction in greenhouse gases compared to 1990. The European Union Communication on the European Green Deal ("The European Green Deal"), of December 2019, establishes a new growth strategy that seeks to transform the European Union into a fair and prosperous society, with a modern, efficient economy in the use of its resources and competitive, and with the aim of making the European Union the first climate-neutral continent in the year 2050. To turn this political commitment into a legal obligation that gives certainty to the business, labor, investment and consumer sectors, the Commission has proposed a European "Climate Law". This proposal establishes the institutional framework to achieve climate neutrality in the EU, includes the objective of climate neutrality for 2050 in the legislation, reinforces the adaptation framework and establishes a process of transparency and accountability in line with the review cycles of the Paris Agreement. To meet the objectives in the year 2030, the European Union initially estimated that it would have to mobilize additional annual investments of around 180,000 million euros. The scale of the challenge is beyond the capacity of public investment. For this reason, and as a necessary condition, it is necessary to adapt the European financial system, its culture and its incentives, to the new criteria of financial sustainability. In this sense, in March 2018, the European Commission published an Action Plan on sustainable finance. In line with this plan, regulatory measures have been enacted, such as the Benchmark Regulation, the Sustainability Disclosure Regulation in the Financial Services Sector and the Taxonomy Regulation, which aim to make sustainability a pillar of the European financial system. On the other hand, it is necessary that the measures developed under this law are fully consistent with the sectoral policies promoted by the European Union in the next financial programming period 2021-2027. III This law responds to the commitment assumed by Spain in the international and European sphere and presents an opportunity from the economic point of view and the modernization of our country, as well as from the social point of view, facilitating the equitable distribution of wealth in the process. of decarbonization. In this way, the law places the fight against climate change and the energy transition at the center of political action, as a key vector for the economy and society to build the future and generate new socioeconomic opportunities. It is the institutional framework to facilitate in a predictable manner the progressive adaptation of the reality of the country to the requirements that regulate climate action and guarantee the coordination of sectoral policies, ensuring coherence between them and synergies to achieve the goal of climate neutrality. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62012 The obligation to limit emissions determines sectoral policies and implies changes in consumption patterns. But this transformation entails advantages related to the modernization of the production model and the energy system, and offers employment, business and growth opportunities as long as a medium- and long-term perspective is incorporated that facilitates the orderly decarbonisation of the economy. Thus, among the important transformations that are going to take place in the energy system, and therefore in the economy as a whole, as a consequence of the energy transition promoted by this law, is the systematic improvement of the energy efficiency of the economy. Specifically, the forecast is that the primary energy intensity of the Spanish economy will improve annually by 3.5% per year until 2030; Likewise, the country's energy dependence, from 74% in 2017, is estimated to drop to 61% in 2030 as a result of the fall in coal and oil imports. These falls will be caused by the transition towards a more efficient economy based on renewable technologies in all sectors of the economy. This structural change will not only significantly benefit the trade balance, but will also strengthen national energy security. The energy transition promoted by this law makes it possible to mobilize more than 200,000 million euros of investment throughout the 2021-2030 decade. As a consequence of this significant investment mobilization and as a result of the improvements in energy efficiency of the economy as a whole, the Gross Domestic Product of Spain will increase annually (with respect to a trend scenario without the measures promoted by this law and by the Integrated National Plan of Energy and Climate) between 16,500 and 25,700 million euros per year. Likewise, net employment will increase between 250,000 and 350,000 people at the end of the period. In order to channel all the opportunities, the law must ensure the achievement of neutrality of greenhouse gas emissions in Spain before the year 2050 and an efficient and renewable energy system, facilitate a fair transition, and guarantee consistency with the objectives in the spheres of public and private action. Ensuring the mainstreaming of climate change and energy transition policies and their coordination will be essential to enhance synergies aimed at mitigating and adapting to climate change and will make it possible to face the challenge that climate change poses for security with greater guarantees. national. The multilateral dimension is also reinforced to ensure that the action carried out by Spanish Cooperation is consistent with the objectives of combating climate change and integrates the climate agenda and the Sustainable Development Goals, incorporating these principles into its regulatory and planning framework. . It is necessary to set, within the framework of the law, emission reduction targets for the year 2030 and 2050, offering predictability to guide investment and regulatory decisions on the matter. The quantified objectives seek to promote predictability and adequate economic signals, incorporating the principle of non-regression in the objectives set. From the environmental point of view, this principle of non-regression is defined as that by virtue of which the regulations, the activity of the Public Administrations and the jurisdictional practice cannot imply a reduction or a quantitative or qualitative setback with respect to the levels of protection existing at all times, except in fully justified situations based on reasons of public interest, and once a weighing judgment has been made between the different legal rights that could contradict the environmental right. In the case of decentralized States such as Spain, this principle also orders inter-ordinal interconnection: not only as a temporal projection between previous and subsequent regulations, but also in the game of the bases of environmental regulations, that is, that the Autonomous Communities with competences in the matter can establish levels of protection higher than the basic state legislation. Two new fundamental figures are created to determine the action framework in terms of action against climate change. These are the two great tools. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62013 of climate and energy governance established in Regulation 2018/1999 of the European Parliament and of the Council, of December 11, 2018, on the governance of the Energy Union and Climate Action: the National Integrated Energy Plans and Climate (PNIEC) and the Decarbonization Strategy to 2050. Both tools must be consistent with each other, since there is no other way to ensure, in a reliable, inclusive, transparent and predictable manner, the achievement of the objectives and goals for the year 2030 and for the long term. Said EU regulation establishes in its article 1 that, no later than December 31, 2019 and, subsequently, no later than January 1, 2029 and from that date every ten years, each Member State must notify the Commission an integrated national energy and climate plan. The first plan will cover the period from 2021 to 2030, taking into account the longer-term perspective, and subsequent plans will cover the ten-year period immediately following the end of the period covered by the previous plan. This law contains the regulatory elements of the first PNIEC, as well as the successive ones that will be presented to the European Commission. The National Integrated Energy and Climate Plans, as planning tools of the Member States, are called upon to guide the major decisions on energy and climate policy and the associated public and private investments. The NECPs of the Member States are aimed at ensuring the achievement of collective progress in the general and specific objectives of the Energy Union for 2030 and in the long term, in line with the 2015 Paris Agreement. For its part, the Energy Union Strategy Decarbonization by 2050 must project a path consistent with the decarbonization objectives of the economy for the year 2050 and with the actions planned for 2030, which will require the mobilization of different administrations and private actors. Advancing in a safe and decarbonised economy implies accepting a responsible use of resources, which is why the law, in general, limits new projects for the exploration and exploitation of hydrocarbons, radioactive minerals and coal in Spanish territory. Numerous studies, including those of the IPCC, agree in pointing to the Mediterranean region as one of the most vulnerable areas of the planet in the face of climate change. Spain, due to its geographical location and its socioeconomic characteristics, is facing important risks derived from climate change that directly or indirectly affect a very wide range of economic sectors and all Spanish ecological systems, accelerating the deterioration of essential resources for our well-being such as water, fertile soil or biodiversity and threatening the quality of life and health of people. Therefore, responsibly managing our common heritage, water, soil, biodiversity, all of them scarce and fragile resources, is unavoidable. Adaptation policies to anticipate impacts and promote recovery after damage are necessary in all sectors of our economy, as well as the introduction of the climate variable in sectoral policies, including public health. In the sense indicated, this law goes one step further and includes in its object, for the first time, adaptation policies and the need to define a system of indicators of impacts and adaptation to climate change, which facilitates monitoring and evaluation of public policies, as well as the need to prepare risk reports. The Council of Ministers on June 29, 2018 approved the Action Plan for the Implementation of the 2030 Agenda, which defines the lever policies that will serve to accelerate the implementation of the Sustainable Development Goals. Among the priority areas of action are nine lever policies, one of them being the present Law on Climate Change and Energy Transition. The transition to a decarbonized economy also requires measures that facilitate a just transition for the most vulnerable groups and geographical areas. The transition towards a more ecological production model that is socially beneficial, in a country with high unemployment rates like Spain, will be achieved by promoting the transition Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62014 ecology of companies, work methodologies and the labor market in general. These efforts will create decent employment opportunities, increase resource efficiency and build sustainable, low-carbon societies. For all these reasons, it is necessary to improve the capacity of the State to face the opportunities and challenges of the ecological transition and decarbonization through a Just Transition Strategy, which serves as an action guide to optimize the benefits and minimize the risks on the environment. job. The law establishes a framework to facilitate equity in the transition to a decarbonized economy, offering mandatory learning and transparency tools that help detect and assess risks and opportunities and improve investment decisions. Thus, among other issues, the content of the non-financial reporting obligations of listed companies is specified in order to incorporate information regarding the level of exposure to climate and carbon risks and the strategies and objectives for their mitigation. IV This law consists of forty articles distributed in nine titles, nine additional provisions, three transitory provisions, a single derogatory provision, and fifteen final provisions. The preliminary title contains the general provisions of the law, relating to the object and its guiding principles. Title I includes the minimum national objectives for the reduction of greenhouse gas emissions, renewable energies and energy efficiency of the Spanish economy for the years 2030 and 2050: the emissions of the Spanish economy as a whole in the year 2030 must be reduced by, at least 23% compared to 1990 and climate neutrality must be achieved no later than 2050. In addition, in 2030 a penetration of renewable energies in final energy consumption of at least , 42%, an electricity system with at least 74% generation from renewable sources and improve energy efficiency by reducing primary energy consumption by at least 39.5% with respect to the baseline according to community regulations. These objectives, in addition, will be reviewable, without implying a decrease in the level of environmental ambition and must reflect the greatest possible ambition. The goal of reducing greenhouse gas emissions by 2030 that is proposed for the Spanish economy as a whole is consistent with the increased ambition set by the European Council on December 10 and 11, 2020, which agreed on a goal to 2030 reduction of emissions in the European Union of at least 55% compared to 1990 levels, as a path to reduce emissions to achieve climate neutrality in the Union in 2050, in line with the Paris objectives. In this context, Spain, aware of the need to increase European ambition, prior to this agreement reinforced its commitments in greenhouse gas emissions, renewable energy and energy efficiency in the PNIEC 2021-2030 with which it materializes achieving the objectives of this law. The PNIEC responds to the path that will ensure the best way from the environmental and socioeconomic point of view to achieve the full decarbonization of Spain in 2050. The objective established for 2030 implies a 39% decrease in diffuse emissions compared to 1990, according to the evaluation of the European Commission on the PNIEC of Spain, surpassing by 13 points the goal set for these same sectors in the European Regulation on the distribution of efforts in force at that time. The commitment to move forward and advance climate ambition is included in the Recovery, Transformation and Resilience Plan, which places the ecological transition as one of its central axes. In this context, the Government of Spain is working to accelerate the objectives of the PNIEC by advancing its implementation so that the climate agenda becomes the engine of a green and inclusive economic recovery. However, more measures are still needed so that global greenhouse gas emissions are reduced by 7.6% each year as recommended by the United Nations Environment Program (UNEP). Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62015 On the other hand, the law includes the National Integrated Energy and Climate Plans and the 2050 Decarbonisation Strategy of the Spanish Economy as planning instruments to address the energy transition. The law establishes the obligation for all sectors to contribute their efforts to the decarbonization of the economy. The National Integrated Energy and Climate Plans must include the sectoral objectives and the policies and measures to achieve them from the following sectors: the sectors that participate in the emission rights trading regime, the large industries and the electricity sector and the diffuse sectors ( agricultural, forestry, transport, residential, institutional, commercial and fluorinated gases). Title II includes the provisions relating to the generation of electricity with energy from renewable sources and energy efficiency. In the first place, the ambitious objectives of integrating renewables must necessarily be accompanied by measures aimed at covering the intermittence and non-manageability intrinsic to non-storable primary energy sources. Specifically, non-flowing hydraulic technology is called to play a fundamental role in the integration of renewable energies in the electrical system, due to its rapid response and manageability that allow the penetration of technologies to be maximized, guaranteeing supply at all times. In addition, in the case of reversible plants, the benefit is double, since the surpluses that can be produced in non- manageable renewable generation can be absorbed by these plants, minimizing the risk of spillage and optimizing the use of available generation capacity. . That is why the law establishes that the use of the non-flowing hydraulic public domain for the generation of electrical energy in the new concessions that are granted will have as a priority the support for the integration of non-manageable renewable technologies in the electrical system, promoting, in particular, reversible hydroelectric plants. On the other hand, for said integration to be compatible with the safe operation of the system and the fulfillment of environmental objectives, mechanisms will be established to apply a pumping and turbine strategy to maximize the integration of renewable energies. These mechanisms will in any case be compatible with efficient management of hydraulic resources in the electricity market and its environmental protection. The use for electricity generation of the flows of the urban supply and sanitation systems for uses of the urban water cycle is also included in the law. Likewise, the National Commission of Markets and Competition has highlighted the concern about the high indebtedness of regulated activities such as transport, distribution of natural gas and electricity. In this context, it is necessary that the remuneration of said activities consider the fulfillment of certain debt thresholds that guarantee the stability of the regulated activities that are essential for the fulfillment of the objectives established in this law. It is therefore necessary to introduce this principle of financial prudence in the remuneration methodologies for the aforementioned regulated activities that the competent body for its approval will develop by establishing the corresponding incentives to guarantee the adequate level of indebtedness that allows having a sustainable debt structure. Law 15/2012, of December 27, on fiscal measures for energy sustainability, is modified to establish that in the General State Budget Laws of each year it will be used to finance the costs of the electricity system provided for in the Law of the Sector Electric, referring to the promotion of renewable energies, an amount equivalent to the sum of the estimate of the annual collection derived from the taxes included in the Law of fiscal measures for energy sustainability. Due to its possible impact on the security of supply of the gas and electricity systems, in order to reinforce the obligation to inform the competent body, about the taking of shares in unregulated businesses, of regulated companies in unregulated businesses, and in particular of companies that belong to business groups in charge of managing Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62016 of the electricity and natural gas transmission network, modifies the ninth additional provision of Law 3/2013, of June 4, creating the National Markets and Competition Commission regarding the communication on the taking of shares of groups of companies appointed as manager of the electricity and natural gas transmission network. To promote the substantive changes that are required in the field of energy to meet the objectives of the law, the Government and the National Commission of Markets and Competition will promote a reform of the regulatory framework to include aspects such as the participation of consumers in energy markets, access of energy consumers to their data, investments in distributed generation, storage or local energy markets. In relation to energy efficiency measures and the Long-term Strategy for the rehabilitation of buildings, it is stated that they must be consistent with the efficiency, demand management and renewable energy objectives established in the successive Integrated Energy and Climate Plans. In order to achieve more efficient buildings, the use of materials with the lowest possible carbon footprint is encouraged, improvements in the accessibility of buildings, incentives for the introduction of renewable energies in the rehabilitation of homes, facilitating self-consumption photovoltaic installations in condominium communities and zero-emission heating and cooling systems. Title III deals with measures related to the energy transition and fuels. In the first place, new exploration authorizations, research permits and hydrocarbon exploitation concessions will not be granted throughout the national territory, including the territorial sea, the exclusive economic zone and the continental shelf. Excluded from this measure are applications for exploitation concessions associated with a current research permit that are in process before the entry into force of this law, which will be governed by the regulations applicable at the time the aforementioned research permit is granted, except for the possibility of extension, which is expressly excluded. Due to their specific characteristics, projects related to uranium mining give rise to residual materials that are considered radioactive waste. Given the long life of this radioactive waste, which transcends generations, after its final management, and in order to comply with Spanish regulations on radiological protection, it is necessary to establish the necessary measures to prevent its possible dispersion, which could pose a risk to the population or the environment. In this way, due to their prejudices and their cost, new exploration permits, research permits or concessions for the exploitation of radioactive minerals will not be granted, nor will new requests for authorization of radioactive facilities be accepted. Secondly, it is necessary to initiate a process that gradually guarantees coherence between public aid or incentives and climate change mitigation objectives. As a general rule, the law establishes that the application of new tax benefits to energy products of fossil origin must be duly justified for reasons of social or economic interest or due to the non- existence of technological alternatives. Finally, provisions are introduced that encourage renewable gases, including biogas, biomethane, hydrogen and other alternative fuels. Thus, it is included in the law, on the one hand, that the Government will promote, through the approval of specific plans, the penetration of these fuels and, on the other hand, a provision to reduce specific emissions in the air, maritime and heavy road transport through the integration of renewable energies and the establishment of objectives for the supply of biofuels and other renewable fuels of non-biological origin. In order to avoid the use of biofuels that have a negative impact on the environment, compliance with the sustainability and air quality protection criteria set out in community regulations is required. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62017 Title IV deals with issues relating to emission-free mobility and transport. The transport sector has to be part of the response to climate change and position itself in the new development model to take advantage of the opportunities opened up by the new economic and social reality. In terms of mobility without emissions, it is established that measures will be adopted to achieve a fleet of passenger cars and light commercial vehicles without direct CO2 emissions by 2050 . Municipalities with more than 50,000 inhabitants and island territories will adopt sustainable urban mobility plans consistent with air quality plans that introduce mitigation measures to reduce emissions from mobility. Likewise, the possibility is offered to the island Autonomous Communities, due to their vulnerability to climate change, to urge the State to establish measures to promote clean mobility, consisting of restrictions on the movement of cars and vans in their territorial area. The road transport sector accounts for 25% of greenhouse gas emissions in our country, one of the main barriers to its decarbonisation being the insufficient development of electrical recharging infrastructures. On the other hand, Spain has an extensive network of 11,400 service stations distributed throughout the entire territory. In order to guarantee the existence of sufficient electrical recharging infrastructure, the law introduces obligations to install electrical recharging infrastructures at service stations whose annual sales of gasoline and diesel exceed 5 million liters, reaching 10% of the network . This recharging infrastructure must have a power equal to or greater than 150 kW or 50 kW depending on the volume of sales. The obligation is imposed on the owners of the service stations who presumably have the greatest economic and financial capacity to face the required investment. In the case of concessions in state highway networks, the obligations indicated will be satisfied by the concessionaires of the same. The system of obligations will be the same as that established for owners of fuel and fuel supply facilities for vehicles. The law includes a mandate to the Government to develop and make available to the public an information platform on recharging points and signage. On the other hand, the provision is introduced that the Technical Building Code will establish obligations related to the installation of electric vehicle recharging points in new buildings and in interventions in existing buildings, in order to achieve cleaner transport. in the cities. In line with what is established in the PNIEC, these regulatory measures will be accompanied by public aid that facilitates the deployment of the recharging infrastructure, in line with the Recovery, Transformation and Resilience Plan for the Spanish Economy, as it constitutes an opportunity to take advantage of the European funding and accelerate the achievement of the objectives of electrification and sustainable mobility with sufficient resources. Likewise, the law includes the need to adopt measures to reduce the emissions generated by the consumption of fossil fuels in maritime transport and in ports, so that the ports under the jurisdiction of the State in the year 2050 have zero direct emissions. Title V includes adaptation measures against the impacts of climate change. Climate change is already a reality and its impacts are shown with increasing breadth and depth in our country. Key sectors of our economy are highly dependent on the weather. But also many other essential fields for our well-being, such as human health, biodiversity or housing. Effective adaptation actions reduce the exposure and vulnerability of social, economic and environmental systems to climate change and can also improve their ability to recover and re-establish themselves after a climate-related shock. In a complementary way, adaptation brings economic and social benefits that justify it. The law establishes that the National Plan for Adaptation to Climate Change (PNACC) is the basic planning instrument to promote coordinated and coherent action Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62018 against the effects of climate change. The PNACC defines the objectives, criteria, areas of application and actions to promote resilience and adaptation. It will include adaptation to the impacts in Spain of climate change occurring beyond national borders and will prioritize ecosystem-based adaptation to climate change. For the first time, strategic objectives and the definition of a system of indicators of impacts and adaptation to climate change will be established within the framework of the PNACC, as well as the preparation of risk reports. The PNACC will be developed through work programs and sectoral plans. Likewise, the law contemplates the integration of the risks derived from climate change in the planning and management of sectoral policies, such as hydrology, coastal, territorial and urban planning, urban development, construction and transport infrastructure, food safety and diet, as well as public health. On the other hand, measures are planned for the protection of biodiversity and its habitats against climate change and the development of a specific strategy that will include the basic guidelines for the adaptation to climate change of natural ecosystems and Spanish wild species, as well as as the basic lines of restoration and conservation of the same, with special reference to aquatic or water-dependent and high mountain ecosystems. The Natura 2000 Network will also have to evaluate itself and respond to the new climate scenarios. The common agricultural, rural development and forestry policies are key to achieving the goal of climate neutrality, which is why the law in its article 25 establishes that the Government incorporate measures aimed at reducing the vulnerability of agricultural soils to climate change, of the mountains and forest soils to facilitate their preservation, including the preparation of a vulnerability map. The same article incorporates the need to make the conservation of natural heritage compatible with the deployment of renewable energies. Along the same lines, the need to encourage the participation of public and private owners and managers in increasing the CO2 capture capacity of terrestrial and marine carbon sinks, especially those in the agricultural and forestry sectors, is included. To this end, together with their identification, evaluation and monitoring, their co-benefits will be promoted as a motor for the development of rural areas. Title VI deals with measures in the field of just transition. The transition to a decarbonized economy also requires measures that facilitate a fair transition for the most vulnerable groups and geographical areas, including rural areas. Thus, for the transition to a more ecological production model to be socially beneficial, in a country with high unemployment rates such as Spain, it must be the engine of new jobs and generate quality employment opportunities. It is necessary to improve the capacity of the State to face the opportunities and challenges of the ecological transition and decarbonization through a Just Transition Strategy that serves as an action guide to optimize the benefits and minimize the risks on employment. The law creates the Just Transition Strategy, as a state-level instrument aimed at optimizing opportunities in activity and employment in the transition to an economy low in greenhouse gas emissions, and regulates the figure of the Conventions of Just Transition as key instruments to materialize the actions. In the regulation of fair transition agreements, the participation of the Autonomous Communities in them is possible based on the powers attributed to them. Finally, as a clear sign of coherence with the decarbonization path of our country, the cessation of national coal production is regulated. Title VII contemplates specific aspects in the mobilization of resources in the fight against climate change and the energy transition. In the first place, the law provides, with the exceptions established therein, that at least a percentage of the General State Budgets, equivalent to that agreed in the Multiannual Financial Framework of the European Union, must have a positive impact in the fight against climate change, Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62019 establishing, secondly, that the Government, at the joint proposal of the Ministry for the Ecological Transition and the Demographic Challenge and the Ministry of Finance, will revise this percentage upwards before the year 2025. Third, the use of proceeds from auctions of greenhouse gas emission rights is defined. On the other hand, the law contemplates a series of measures related to public procurement, highlighting among them the inclusion in the contract specifications of award criteria linked to the fight against climate change and of particular technical prescriptions that establish the necessary reduction emissions and carbon footprint. In Spain, it is necessary to carry out a learning process that leads to identifying and anticipating potentially risky situations for the Spanish economy and its companies and thus favoring the progressive and increasingly complex application of responsibility criteria in terms of climate by of all the actors. For this reason, it is necessary to promote the establishment of a framework to facilitate sustainable investments, in line with that adopted by the European Union, which allows capital flows to be redirected in order to achieve sustainable and inclusive growth. Information obligations to be undertaken by the financial sector and companies are collected. The obligation to present, in terms of non-financial information obligations, an annual report is introduced in which an evaluation of the financial impact of the risks associated with climate change generated by the exposure of its activity is made, including the risks of the transition to a sustainable economy and the measures adopted to deal with said financial risks. As a sector that must also contribute to reducing emissions, starting in 2023, together with the information obligations, credit institutions must publish specific decarbonization objectives for their loan and investment portfolios in line with the Paris Agreement. The content of this report is detailed in the articles of the law, which is in line with the recommendations of the G20 Working Group on Disclosure of financial information related to climate change, including its financial planning. Likewise, it is expected that the Bank of Spain, the National Securities Market Commission, and the General Directorate of Insurance and Pension Funds will prepare a report on the evaluation of the risk for the Spanish financial system derived from climate change. On the other hand, it includes the obligation for the electricity system operator, the Technical Manager of the gas system and the Hydrocarbon Logistics Company (CLH) to submit a report in which an assessment of the risks and opportunities associated with a decarbonized energy system on the activities of the entity, its strategy and its financial planning. Information obligations similar to those introduced in this law are already part of the economic and financial reality of countries such as the United Kingdom, Norway, France and Germany. International financial institutions are supporting and demanding new requirements for disclosure and assessment of risks and opportunities associated with climate change, where the recommendations of the Taskforce on Climate Related Financial Disclosures, promoted in 2015 by the Financial Stability Board (FSB), to respond to the risks that climate change creates for financial stability in the context of the global economy, are laying the foundations for many of the initiatives that are being launched. These initiatives are based on a growing recognition of the positive correlation between climate risk management, long- term value creation and the power of markets. The law responds to the growing interest of the financial sector in green finance and confirms the reorientation of banking strategies and the financial world of the 21st century. Title VIII addresses two issues of essential importance for the involvement of Spanish society in responses to climate change and the promotion of energy transition, such as, on the one hand, education and training for sustainable development and care climate, and, on the other, research, development and innovation. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62020 Title IX regulates in a novel way the governance of climate change and energy transition in Spain. First, the Committee of Experts on Climate Change and Energy Transition is created as the body responsible for evaluating and making recommendations on energy and climate change policies and measures, including regulations. To this end, it will prepare an annual report that will be sent and submitted for debate in the Congress of Deputies, with the participation of the Government. The Autonomous Communities must inform the Climate Change Policies Coordination Commission of the energy and climate plans as of December 31, 2021. The plans, programs, strategies, instruments and provisions of a general nature that are adopted in the fight against climate change and the energy transition towards a low-carbon economy will be carried out under open formulas that guarantee the participation of social and economic agents. stakeholders and the public. Finally, the law contemplates an article related to the policies, measures, inventories and projections of greenhouse gases, so as to reinforce coordination when responding to the information obligations assumed within the framework of national regulations, community and international. This law is in line with the principles of good regulation contained in article 129 of Law 39/2015, of October 1, on the Common Administrative Procedure of Public Administrations. Thus, in accordance with the principles of necessity and effectiveness, this regulation is justified by the need to ensure compliance with the objectives of the Paris Agreement, facilitate the full decarbonisation of the Spanish economy, so as to guarantee rational and supportive use of our resources, and the implementation of a sustainable development model that generates decent employment. The principle of proportionality is fulfilled since the regulation is limited to the minimum essential to carry out the transformation of the Spanish economy, giving the necessary signals for it to take place. In order to guarantee the principle of legal certainty, the normative initiative is exercised in a coherent manner with the rest of the legal system, national and of the European Union, as well as international, in particular with respect to the 2030 Agenda and the Paris Agreement, to generate a stable, predictable, integrated, clear and certainty regulatory framework, which facilitates its knowledge, understanding and application and, consequently, the action and decision- making of people and companies. In application of the principle of efficiency, administrative burdens are limited to those essential to achieve the purposes described, always within the framework of national, European Union and international legal systems. In application of the principle of transparency, the law has been processed in accordance with the provisions of Law 50/1997, of November 27, of the Government and in accordance with Law 27/2006, of July 18, by which regulate the rights of access to information, public participation and access to justice, in environmental matters, as it is a norm with an environmental impact, in order to obtain the greatest possible participation of society, through the procedures prior consultation and public hearing and information. Likewise, the law has been submitted to the Environmental Advisory Council, where the main sectors of civil society in environmental matters are represented. Lastly, the participation of the Autonomous Communities and Local Entities, which has accompanied the entire regulatory process in its different participatory procedures, has been reinforced by consulting the collegiate coordination bodies that bring together the different administrations, such as the National Climate Council and the Coordination Commission for Climate Change Policies, as well as the Sector Conference on the Environment. In the drafting of the draft bill, the jurisprudence of the Constitutional Court has been taken into account in relation to the powers of the State and the Autonomous Communities in matters of climate change, such as, for example, Judgment 15/2018, of 22 December February 2018, Judgment 62/2018, of June 7, 2018, Judgment 64/2018, of June 7, 2018, and Judgment 87/2019, of June 20, 2019. In this last Judgment, the Constitutional Court has established that the determination of climate objectives is the responsibility of the State. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62021 The project transposes Directive 2018/844 of the European Parliament and of the Council, of May 30, 2018, which modifies Directive 2010/31/EU on the energy efficiency of buildings and Directive 2012/27/EU related to energy efficiency. This transposition is carried out through article 15 of the law, which provides that before January 1, 2023, all buildings for use other than private residential that have a parking area with more than twenty spaces, either in inside or in an assigned outside space, they must meet the requirement regarding the minimum provisions for electric vehicle recharging infrastructure established in the Technical Building Code. Finally, this law is issued in accordance with the Council of State. Likewise, it is issued jointly under the exclusive powers of the State provided for in article 149.1.13.ª of the Constitution, in terms of bases and coordination of the general planning of economic activity; in article 149.1.23.ª of the Constitution, of basic legislation on protection of the environment, without prejudice to the powers of the Autonomous Communities to establish additional protection norms, in addition to the basic legislation on mountains, forest exploitation and cattle trails ; and in article 149.1.25.ª of the Constitution, on the bases of the mining and energy regime. Likewise, this law is also issued under the exclusive powers of the State provided for in articles 149.1.15.ª in relation to the promotion and general coordination of scientific and technical research; 149.1.18.ª in relation to the basic legislation on contracts and administrative concessions; 149.1.20.ª in relation to the merchant navy, ports of general interest, airspace control, traffic and air transport; 149.1.21.ª in relation to land transport, traffic and circulation of motor vehicles; 149.1.22.ª in relation to hydraulic resources and uses, and authorization of electrical installations; 149.1.24.ª in relation to public works of general interest; and 149.1.30.ª in relation to the conditions for obtaining, issuing and homologating academic and professional qualifications. Some matters regulated in this law are exempted from the foregoing because they lack a basic nature and are exclusively applicable to the General Administration of the State, such as ports under the jurisdiction of the State, public contracting, and disinvestment in energy products of fossil origin. PRELIMINARY TITLE General disposition Article 1. Object of the Law. The purpose of this law is to ensure compliance, by Spain, with the objectives of the Paris Agreement, adopted on December 12, 2015, signed by Spain on April 22, 2016 and published in the "Official State Gazette" on February 2, 2017; facilitate the decarbonisation of the Spanish economy, its transition to a circular model, so as to guarantee the rational and supportive use of resources; and promote adaptation to the impacts of climate change and the implementation of a sustainable development model that generates decent employment and contributes to reducing inequalities. The General Administration of the State, the Autonomous Communities and Local Entities, within the scope of their respective powers, will comply with the purpose of this law, and will cooperate and collaborate for its achievement. Article 2. Guiding principles. The actions derived from this law and its development will be governed by the principles recognized in national law, within the framework of the powers attributed to the State and the Autonomous Communities, in the law of the European Union and international application in matters of energy and climate and, in particular, in the Convention United Nations Framework on Climate Change, made in New York on May 9, 1992, the Paris Agreement, adopted on December 12, 2015, signed by Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62022 Spain on April 22, 2016 and published in the Official State Gazette on February 2, 2017, the 2030 Agenda for Sustainable Development, approved by Resolution of the General Assembly of the United Nations on September 25, 2015 and the regulations of the European Union, as well as the following principles: a) Sustainable development. b) Decarbonisation of the Spanish economy, understanding as such the achievement of a socioeconomic model without greenhouse gas emissions. c) Protection of the environment, preservation of biodiversity, and application of the "polluter pays" principle. d) Social and territorial cohesion, guaranteeing, in particular, the harmonization and economic development of the areas where the renewable energy plants are located, respecting environmental values. e) Resilience. f) Protection and promotion of public health. g) Universal accessibility. h) Protection of vulnerable groups, with special consideration for children. i) Equality between women and men. j) Improvement of the competitiveness of the productive sectors and certainty for investments. k) Caution. i) No regression. m) The best and most recent scientific evidence available, including the latest reports from the United Nations Intergovernmental Panel on Climate Change (IPCC). n) Quality and security of energy supply. ñ) Cooperation, collaboration and coordination between Public Administrations. TITLE I Objectives and planning of the energy transition Article 3. Greenhouse gas emission reduction targets, renewable energies and energy efficiency. 1. The following minimum national objectives are established for the year 2030 in order to comply with the internationally assumed commitments and without prejudice to regional powers: a) Reduce in 2030 greenhouse gas emissions from the whole of the Spanish economy by at least 23% compared to 1990. b) Achieve in 2030 a penetration of renewable energies in final energy consumption of at least 42%. c) Achieve by 2030 an electrical system with at least 74% generation from renewable sources of energy. d) Improve energy efficiency by reducing primary energy consumption by at least 39.5%, with respect to the baseline in accordance with community regulations. 2. Before 2050 and in any case, in the shortest possible time, Spain must achieve climate neutrality, in order to comply with internationally assumed commitments, and without prejudice to regional powers, and the electricity system must be based exclusively on renewable sources of generation. 3. The Council of Ministers is authorized to revise upwards the objectives established in sections 1 and 2 of this article for the following purposes: a) To comply with the Paris Agreement, in accordance with the decisions taken by the Conference of the Parties in its capacity as the meeting of the Parties to the Paris Agreement. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62023 b) To comply with European Union regulations. c) To adapt them to the evolution of technological advances and scientific knowledge. d) When there are quantifiable objective elements that, motivatedly, advise for environmental, social or economic reasons. 4. The review of the objectives established in sections 1 and 2 may only contemplate an upward update of the current pathways for reducing greenhouse gas emissions and increasing absorption by sinks. 5. In any case, the first review of the objectives will begin in 2023 established in this article. Article 4. National Integrated Energy and Climate Plans. 1. The National Integrated Energy and Climate Plan (PNIEC) is the national strategic planning tool that integrates energy and climate policy, and reflects Spain's contribution to achieving the objectives established within the European Union in matters of energy and climate, in accordance with the provisions of the European Union regulations. It will be approved by royal decree of the Council of Ministers, at the proposal of the Minister for the Ecological Transition and the Demographic Challenge. 2. The progress reports on the National Integrated Energy and Climate Plan, prepared by the Ministry for the Ecological Transition and the Demographic Challenge, will be periodically submitted to the Council of Ministers for its consideration, and must be subject to the corresponding publicity. 3. The first Integrated National Energy and Climate Plan will cover the period 2021-2030. 4. The National Integrated Energy and Climate Plans will include, at least, the following content: a) The objectives and quantitative contributions adjusted to the law, at the national and sectoral level, for the reduction of greenhouse gas emissions and absorption by sinks, renewable energies and energy efficiency, guaranteeing the contribution of all sectors of the economy to achieve these goals. b) The corresponding policies and measures to achieve said objectives. c) Any other objective, policy or measure established in Union regulations Union on the structure and content of the Plans. Article 5. Decarbonization Strategy to 2050. 1. The Government will approve a Decarbonization Strategy to 2050 that establishes a path for reducing greenhouse gas emissions and increasing absorption by sinks in the Spanish economy as a whole until 2050, necessary to meet the objectives set out in article 3 and in accordance with the requirements of the European Union regulations. The Decarbonization Strategy to 2050 will be reviewed every five years and will include, at least, an intermediate goal for mitigating greenhouse gas emissions indicative in 2040. 2. The Decarbonization Strategy to 2050 will be approved by royal decree of the Council of Ministers, at the initiative of the Minister for the Ecological Transition and the Demographic Challenge. Once approved, it will be reported to the Congress of Deputies and the Senate. Article 6. Digitization for the Decarbonization of the Economy. The Government will adopt actions to promote the digitization of the economy that contribute to achieving the decarbonization objectives, within the framework of the Spain Digital 2025 strategy. The aforementioned actions will include: a) Strategically address the challenges and opportunities generated by the incorporation of digital technology into the energy sector, the sustainable mobility sector, the Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62024 circular economy, natural capital management, smart networks and cities and, in general, activities to combat climate change. b) Inform and disseminate the new proposals for the reduction of greenhouse effect emissions from the digital economy and the new business models. c) Use the potential of new technologies, such as Artificial Intelligence, to move towards a green economy, including, among other aspects, the design of algorithms that are energy efficient by design. d) Promote the digital skills of the workforce, among others for workers in sectors in need of Just Transition accompanying measures, whose jobs can be replaced by emerging technologies, so as to maximize the use of opportunities and minimize negative effects. e) Promote that companies take into account the impact of their services and their digitization process and adopt a responsible approach to the innovation of existing digital services to achieve sustainable digitization within the scope of application of this law. TITLE II Renewable energy and energetic efficiency Article 7. Electricity generation in the hydraulic public domain. 1. In order to meet the objectives in terms of renewable energy established in this law, the new concessions that are granted, in accordance with the provisions of the water legislation on the hydraulic public domain for the generation of electricity, will have priority support for the integration of renewable technologies in the electricity system. To this end, reversible hydroelectric plants will be promoted, in particular, provided that they comply with the environmental objectives of the water masses and the ecological flow regimes established in the basin hydrological plans and are compatible with the rights granted to third parties, with the efficient management of the resource and its environmental protection. 2. Regulations will establish the technical conditions to carry out pumping, storage and turbine operation to maximize the integration of renewable energies. These conditions will take into account the provisions of the previous section. 3. In order to advance in new technological developments in the field of renewable energy and contribute to the achievement of the objectives set forth in the law, the use for the generation of electricity of the flowing systems will be promoted for uses of the urban water cycle. of urban supply and sanitation, always conditioned to the fulfillment of the objectives of said systems when it is technically and economically viable. Article 8. Energy efficiency and rehabilitation of buildings. 1. The Government will promote and facilitate the efficient use of energy, demand management and the use of energy from renewable sources in the field of construction, without prejudice to the powers that correspond to the Autonomous Communities, with special reference buildings inhabited by people in situations of vulnerability. 2. The construction materials used both in the construction and in the rehabilitation of buildings must have the lowest possible carbon footprint in order to reduce total emissions in the whole of the action or the building. 3. The guidelines and criteria for energy rehabilitation will guarantee in all cases the maintenance and, where appropriate, the improvement of the accessibility and usability conditions of the buildings and facilities, promoting the possibility of combining both types of rehabilitation actions in single programs or, At least aligned. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62025 4. The Government will promote the renovation and rehabilitation of existing buildings, both public and private, to achieve the effects indicated in this article and, in particular, high energy efficiency and decarbonization by 2050. For the purposes indicated in the preceding paragraph, within a period of less than six months from the entry into force of this law, the Government will prepare a Housing Rehabilitation and Urban Renewal Plan with the aim of improving the building stock, regardless of its size. ownership, for the purposes of completing the energy efficiency indicators established in the PNIEC and guaranteeing the integration of said actions with the rest of the improvement objectives established in the Spanish Urban Agenda. This Plan must follow the criteria and objectives included in the long-term strategy for energy rehabilitation in the building sector in Spain (ERESEE). 5. The Public Administrations may establish incentives that favor the achievement of the objectives set forth in this article, with special attention to the introduction of renewable energies in the rehabilitation of homes, promoting self-consumption, small-power installations, heating and cooling. zero emissions. 6. The measures referred to in the previous sections, the technical regulations on energy and the long-term strategy for the rehabilitation of buildings will be consistent with the objectives established in the successive Integrated Energy and Climate Plans. TITLE III Energy transition and fuels Article 9. Exploration, research and exploitation of hydrocarbons. 1. As of the entry into force of this law, no new exploration authorizations, hydrocarbon research permits or exploitation concessions will be granted in the national territory, including the territorial sea, the exclusive economic zone and the continental shelf. same, regulated under Law 34/1998, of October 7, on the hydrocarbons sector, and Royal Decree- Law 16/2017, of November 17, which establishes security provisions in the investigation and exploitation of hydrocarbons in the marine environment. As of the entry into force of this law, no new authorizations will be granted to carry out in the national territory, including the territorial sea, the exclusive economic zone and the continental shelf, any activity for the exploitation of hydrocarbons in which the use of high- volume hydraulic fracturing. 2. Five years before the end of the term of an exploitation concession, and without prejudice to the requirements established in the royal decree of granting, the person or entity holding the concession will submit to the Ministry for the Ecological Transition and the Demographic Challenge a report that reflects the conversion potential of its facilities or its location for other uses of the subsoil, including geothermal energy, or for other economic activities, in particular, the establishment of renewable energies, and that must contemplate the levels of maintenance of the job. Article 10. Research and use of radioactive mineral deposits. 1. From the entry into force of this law, no new applications for the granting of exploration permits, research permits or direct exploitation concessions, nor their extensions, regulated under Law 22/1973, of 21 July, mines, radioactive minerals, as defined in Law 25/1964, of April 29, on nuclear energy, when such resources are extracted for their radioactive, fissile or fertile properties. 2. As of the entry into force of this law, no new requests for authorization of radioactive facilities of the nuclear fuel cycle for the processing of said radioactive minerals will be accepted, understanding such facilities as those defined in the Regulation on nuclear and radioactive facilities. . Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62026 Article 11. Aid for energy products of fossil origin. From the entry into force of this law, the application of new tax benefits to energy products of fossil origin must be duly justified for reasons of social or economic interest or due to the non-existence of technological alternatives. During the last quarter of each calendar year, the Ministry of Finance will prepare a report on the tax regime applicable to energy products of fossil origin, identifying those aids and measures that favor their use. The Ministry for the Ecological Transition and the Demographic Challenge will prepare a calendar proposal for the review of the aid and measures that favor the use of energy products of fossil origin, compatible with the objectives set forth in the law, taking into account the reports issued by the Ministry of Finance and after consultation with the sectoral ministries affected. The review schedule will be approved by Agreement of the Council of Ministers. Article 12. Promotion and objectives of renewable gases. 1. The Government will promote, through the approval of specific plans, the penetration of renewable gases, including biogas, biomethane, hydrogen and other fuels in whose manufacture raw materials and energy of renewable origin have been used exclusively or allow reuse organic waste or by-products of animal or vegetable origin. 2. For the fulfillment of the objectives established in the National Integrated Energy and Climate Plans, the promotion plans referred to in the previous section may provide, among others, the following measures: a) Annual objectives for the penetration of renewable gases in the sale or consumption of natural gas, indicating the types of product with which the obligation must be fulfilled, as well as the regulated entities. b) A certification system that allows the supervision and control of obligations as well as flexibility mechanisms that favor maximum efficiency in achieving the objectives. c) Regulations that favor the direct industrial use of gases or their use for mobility solutions, as well as the injection of said renewable gases into the natural gas network. Article 13. Objectives of renewable energies and sustainable alternative fuels in transport. 1. The Government will establish annual objectives for the integration of renewable energies and the supply of alternative fuels in transport, with special emphasis on advanced biofuels and other renewable fuels of non-biological origin. In the case of air transport, the objectives will be established at the joint proposal of the Ministries of Transport, Mobility and Urban Agenda and for the Ecological Transition and the Demographic Challenge, taking into account the remoteness and reality of the island territories. 2. By regulation, the Government will adopt the necessary measures to achieve compliance with the objectives of integration of renewable energies and supply of alternative fuels in transport, with special emphasis on advanced biofuels and other renewable fuels of non-biological origin in air transport, including synthetic fuels in whose manufacture raw materials and energy of renewable origin have been used exclusively. In particular, these measures may include: a) The types of product with which the objectives and the obligated subjects must be met. b) A certification system that allows the supervision and control of obligations, as well as flexibility mechanisms that favor maximum efficiency in achieving the objectives. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62027 3. For the purposes of the provisions of this article, biofuels and other renewable fuels of non-biological origin that are incorporated into air transport must comply with the sustainability criteria defined by the European Union and national regulations on biofuels and other renewable fuels of non-biological origin, in particular, those provided for in Directive 2018/2001 of the European Parliament and of the Council, of December 11, 2018, regarding the promotion of the use of energy from renewable sources, in order to avoid the use of raw materials with indirect negative effects on the environment and air quality. TITLE IV Emission-free mobility and transportation Article 14. Promotion of mobility without emissions. 1. The General Administration of the State, the Autonomous Communities and the Local Entities, within the framework of their respective powers, will adopt measures to achieve in 2050 a fleet of passenger cars and light commercial vehicles without direct CO2 emissions , in accordance with what established by community regulations. For these purposes, the National Integrated Energy and Climate Plan will set targets for the penetration of vehicles registered with zero or low direct CO2 emissions for the year 2030 , according to their different categories. 2. In developing the decarbonisation strategy by 2050, the necessary measures will be adopted, in accordance with European Union regulations, so that new passenger cars and light commercial vehicles, excluding those registered as historic vehicles, not intended for commercial use, gradually reduce their emissions, so that no later than 2040 they are vehicles with emissions of 0 g CO2/km in accordance with the provisions of community regulations. To this end, after consultation with the sector, measures will be put in place to facilitate the penetration of these vehicles, which will include support measures for R&D&i. 3. Municipalities with more than 50,000 inhabitants and island territories will adopt sustainable urban mobility plans before 2023 that introduce mitigation measures to reduce emissions from mobility, including, at least: a) The establishment of low emission zones before 2023. b) Measures to facilitate movement on foot, by bicycle or other means of active transport, associating them with healthy lifestyle habits, as well as intra-urban green corridors that connect green spaces with large peri-urban green areas. c) Measures for the improvement and use of the public transport network, including multimodal integration measures. d) Measures for the electrification of the public transport network and other fuels without greenhouse gas emissions, such as biomethane. e) Measures to promote the use of private electric means of transport, including charging points. f) Measures to promote shared electric mobility. g) Measures aimed at promoting the distribution of goods and sustainable mobility to work. h) The establishment of specific criteria to improve the quality of the air around schools, health centers or others of special sensitivity, when necessary in accordance with the regulations on air quality. i) Integrate the specific last-mile electrification plans with the areas of low municipal emissions. The provisions of this section will be applicable to municipalities with more than 20,000 inhabitants when the limit values of pollutants regulated in Royal Decree 102/2011, of January 28, regarding the improvement of air quality are exceeded. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62028 The sustainable urban mobility plans must be consistent with the air quality plans that, if applicable, the municipality has in accordance with the provisions of Royal Decree 102/2011, of January 28, regarding the improvement of air quality. A low emission zone is understood as the area delimited by a Public Administration, in the exercise of its powers, within its territory, on a continuous basis, and in which restrictions on access, movement and parking of vehicles are applied to improve the quality of the air and mitigate greenhouse gas emissions, in accordance with the classification of vehicles by their level of emissions in accordance with the provisions of the current General Vehicle Regulations. Any measure that involves a regression of the already existing low emission zones must have a prior report from the competent autonomous body in matters of environmental protection. 4. In accordance with the clean mobility regulations approved by the European Union and with the revisions and subsequent improvements that are agreed upon, the Island Autonomous Communities, considering their vulnerability to climate change, may urge the State to establish measures to promote clean mobility, consisting of restrictions in its territorial scope of the circulation of passenger cars and vans. Article 15. Installation of electric charging points. 1. The Government will make available to the public the information on electric charging points for public access vehicles, within a year after the entry into force of this law, through the National Access Point for traffic information in real time. managed by the autonomous body Headquarters of Traffic. To do this, in advance, the providers of the electric recharging service must send by electronic means to the Ministry for the Ecological Transition and the Demographic Challenge updated information on the location, characteristics, and availability of said facilities, as well as the retail price. public electricity or recharging service. The Government will especially ensure compliance with the provisions of Royal Decree 639/2016, of December 9, which establishes a framework of measures for the implementation of an infrastructure for alternative fuels, in accordance with the reports that are foreseen by Directive 2014/94/EU, of October 22, 2014, regarding the implementation of an infrastructure for alternative fuels, in relation to guaranteeing the interoperability of recharging points accessible to the public. 2. Those who own the fuel and fuel supply facilities for vehicles whose aggregate annual sales volume of gasoline and diesel A in 2019 is greater than or equal to 10 million liters shall install, for each of these facilities, at least an electrical recharging infrastructure with power equal to or greater than 150 kW in direct current, which must provide service within a period of twenty-one months from the entry into force of this law. 3. Those who own the fuel and fuel supply facilities for vehicles whose aggregate annual volume of sales of gasoline and diesel A in 2019 is greater than or equal to 5 million liters and less than 10 million liters, will install, for each of these installations, at least one electrical recharging infrastructure with power equal to or greater than 50 kW in direct current, which must provide service within a period of twenty-seven months from the entry into force of this law. 4. In the event that in a province, Autonomous City or island there is no fuel and fuel supply facility for vehicles whose aggregate annual sales volume of gasoline and diesel A in 2019 is greater than or equal to 5 million liters, Those who hold the ownership of the installations that, ordered from the highest to the lowest volume of aggregate annual sales of gasoline and diesel, jointly or individually, reach at least 10% of the total annual sales in the aforementioned geographical areas in the year 2019, will install, for each of these installations, at least one electrical recharging infrastructure with power equal to or greater than 50 kW in direct current, which must provide service within a period of 27 months from the entry into force of this law. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62029 5. As of 2021, those who own the new fuel and fuel supply facilities for vehicles or who undertake a reform in their installation that requires a review of the administrative title, regardless of the aggregate annual volume of sales of gasoline and diesel of the installation, they will install at least one electrical recharging infrastructure with a power equal to or greater than 50 kW in direct current, which must provide service from the commissioning of the installation or completion of the reform of the same that requires a review of the title administrative. 6. By Order of the person in charge of the Ministry for the Ecological Transition and the Demographic Challenge, with the participation of the Autonomous Communities, the list of fuel and fuel supply facilities required by the second, third, fourth and fifth sections will be established. of this article, as well as the exceptions and technical impossibilities for its fulfillment. 7. In the year 2023, and from then on every two years, through a Resolution of the Secretary of State for Energy, the list of new fuel and fuel supply facilities required by section eight of this article will be established, as well as the exceptions and technical impossibilities for compliance. 8. The fuel and fuel supply facilities that two years before the publication of the resolutions referred to in the seventh section of this article exceed the annual sales threshold for gasoline and diesel A established in the second and third sections. third of this article will be required to install at least one electrical recharging infrastructure under the same terms and deadlines as those indicated in said sections. The terms for commissioning the recharging infrastructures will be understood to start from the publication of the resolutions referred to in the seventh section of this article. 9. By Order of the person in charge of the Ministry for the Ecological Transition and the Demographic Challenge, the regulation of the content and form of remission of the information of the recharging points to the Ministry for the Ecological Transition and the Demographic Challenge will be established by the recharge service providers. 10. The Technical Building Code will establish obligations related to the installation of electric vehicle recharging points in newly built buildings and interventions in existing buildings. Notwithstanding the foregoing, before January 1, 2023, all buildings for use other than private residential that have a parking area with more than twenty spaces, either inside or in an assigned outdoor space, must meet the requirement regarding the minimum provisions for electric vehicle recharging infrastructure established by the Technical Building Code. Regulations will regulate the obligations relating to the installation of electric vehicle recharging points in car parks not integrated into buildings. 11. In the case of concessions in state highway networks, the obligations referred to in sections 2, 3, 4, 5 and 6 of this article shall correspond to the concessionaires thereof. The regime of obligations will be the same as that established for those who hold the ownership of fuel and fuel supply facilities for vehicles, in accordance with what is indicated in the aforementioned sections of this article. 12. The Ministry of Transport, Mobility and Urban Agenda and the Ministry of the Interior will include in the Official Catalog of traffic signs the necessary signs so that users can identify the location and main characteristics of the recharging points on the roads. Both departments and the Ministry for the Ecological Transition and the Demographic Challenge will agree on the content and image of said signs. Criteria will be taken into account for the design and location of the recharging points. of universal accessibility. Article 16. Maritime transport and ports. 1. In the ports under State jurisdiction, the Government will adopt measures for the gradual reduction of emissions generated by the consumption of fossil fuels from ships, boats, naval artifacts and physical platforms when they are Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62030 moored or anchored in ports, in order to achieve the objective of zero direct emissions from these before 2050. 2. Through the competent Public Administrations, the Government will promote the articulation and consolidation of sustainable logistics chains with origin or destination in ports through strategic initiatives aimed at reducing greenhouse gas emissions in ports, as well as in transport chains. sea or land with origin or destination in ports. 3. The initiatives indicated in the previous sections of this article will have as their object, among others, the improvement of energy efficiency and air quality in port facilities, the generation or contracting of energy from renewable sources in ports, the promotion to rail transport with origin and destination in ports, the promotion of the development of Motorways of the Sea, the improvement of road accesses, and the encouragement of the use of alternative energies in maritime transport, with special attention to the use of this type of energy in ships berthed, in accordance with the provisions of the European Union regulations on state aid. 4. In order to achieve the objectives established in this article, the Ministry of Transport, Mobility and Urban Agenda, through the State Ports and the Port Authorities, prior agreement with the Autonomous Communities in their areas of competence: a) It will apply economic incentive measures aimed at stimulating the electricity supply or the use of alternative fuels in moored ships, rail transport with origin or destination in ports and energy efficiency measures in concessions. b) It will promote and execute projects to improve road and rail access, and actions to improve the rail network that increase the competitiveness of rail transport with origin or destination in ports and logistics platforms, promoting, as far as possible, its location in the interior provinces. Likewise, it will promote the improvement of the electrical networks of the ports. c) It will establish objectives to reduce energy consumption in ports relative to to their activity level. 5. Likewise, the Ministry of Transport, Mobility and Urban Agenda, in coordination with its counterparts in other countries, will promote the development of Motorways of the Sea and regular Roll On-Roll Off transport lines, all within the regulatory framework that regulates the official support in the form of aid and prior request to the European Commission for the corresponding authorization. TITLE V Adaptation measures to the effects of climate change Article 17. Adaptation to Climate Change. 1. The National Plan for Adaptation to Climate Change (PNACC) constitutes the basic planning instrument to promote coordinated and coherent action against the effects of climate change in Spain. Without prejudice to the powers that correspond to other Public Administrations, the PNACC defines the objectives, criteria, fields of application and actions to promote resilience and adaptation to climate change and will include adaptation to the impacts in Spain derived from climate change that takes place beyond national borders. 2. The specific objectives of the PNACC will include: a) The development of regionalized climate scenarios for the Spanish geography. b) The collection, analysis and dissemination of information about vulnerability and adaptation to climate change in different socioeconomic sectors, ecological systems and territories. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62031 c) The promotion and coordination of the participation of all the agents involved in adaptation policies, including the different levels of public administrations, social organizations and the citizenry as a whole. d) The definition of a system of indicators of impacts and adaptation to change climate, which facilitates monitoring and evaluation of public policies in this regard. e) The preparation of periodic monitoring and evaluation reports of the PNACC and its work programs. 3. The basic content of the PNACC must include: a) The identification and evaluation of foreseeable impacts and risks derived from climate change for various possible scenarios. b) Assessment of the vulnerability of natural systems, territories, populations and socioeconomic sectors. c) A set of specific strategic objectives, with associated indicators. d) A set of adaptation measures aimed at reducing vulnerabilities detected. 4. The PNACC will be approved by Agreement of the Council of Ministers, at the proposal of the person in charge of the Ministry for the Ecological Transition and the Demographic Challenge and prior sharing with the Autonomous Communities through the Commission for the Coordination of Climate Change Policies . 5. The PNACC will be developed through Work Programs, to be applied in periods of five years. Each Program will define the axes and priority lines for the development of the objectives established in the Plan. The work programs will be adopted by order of the person in charge of the Ministry for the Ecological Transition and the Demographic Challenge. 6. The results of each Work Program will be reviewed periodically, at least at the end of the period of development of each of them, to carry out the necessary complementary actions and take them as a reference to prepare the proposals to be included in the following Program. 7. The PNACC will also be developed through sectoral adaptation plans that will be promoted and prepared by the competent ministerial departments and that will identify the main risks derived from climate change on the corresponding sector, resource or area and will define timely response measures to avoid or limit them. . 8. The PNACC will promote and prioritize adaptation to climate change based on ecosystems, the development of green infrastructures and nature-based solutions. Article 18. Reports on climate risks and adaptation. In order to comply with the information objectives assumed in the Paris Agreement and in international and community regulations, the Ministry for the Ecological Transition and the Demographic Challenge, in collaboration with other ministerial departments and the Autonomous Communities, will prepare and publish reports, at least every five years, on the evolution of the impacts and risks derived from climate change and on the policies and measures aimed at increasing resilience and reducing vulnerability to climate change in Spain. Article 19. Consideration of climate change in water planning and management. 1. Hydrological planning and management, for the purposes of adaptation to climate change, will have the objectives of achieving water security for people, for the protection of biodiversity and for socioeconomic activities, in accordance with the hierarchy of uses, reducing exposure and vulnerability to climate change and increasing resilience. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62032 2. Hydrological planning and management must comply with the guidelines and measures developed in the Water Strategy for Ecological Transition, without prejudice to the powers that correspond to the Autonomous Communities. Said Strategy is the programmatic planning instrument of the Public Administrations that will be approved by Agreement of the Council of Ministers within a year from the entry into force of this law. 3. Planning and management, consistent with other policies, must include the risks arising from climate change based on available information, considering: a) The risks derived from the foreseeable impacts on the hydrological flow regimes, the available resources of the aquifers, related in turn to changes in factors such as temperatures, precipitation, snow accumulation or risks derived from the foreseeable changes of vegetation in the basin. b) The risks derived from changes in the frequency and intensity of extreme phenomena associated with climate change in relation to the occurrence of episodes of floods and droughts. c) The risks associated with the increase in water temperature and its impact on the hydrological regime and the water requirements of economic activities. d) The risks derived from the possible impacts of rising sea levels on groundwater bodies, wetlands and coastal systems. 4. In order to address the risks indicated in the previous section, hydrological planning and management must: a) Anticipate the foreseeable impacts of climate change, identifying and analyzing the level of exposure and vulnerability of socio-economic activities and ecosystems, and developing measures to reduce such exposure and vulnerability. The analysis provided for in this section will take special account of extreme weather events, from the probability of their occurrence, their intensity and impact. b) Identify and manage the risks arising from climate change in relation to its impact on crops and agronomic needs for irrigation water, water needs for cooling thermal and nuclear power plants and other uses of water. c) Consider and include in the planning the impacts derived from climate change on the types of surface and groundwater bodies and their reference conditions. d) Determine the necessary adaptation of the uses of water compatible with the available resources, once the impacts of climate change have been considered, and with the maintenance of the conditions of good condition of the water masses. e) Consider the principles of the Water Strategy for the Ecological Transition for the adaptation and improvement of the resilience of the resource and its uses in the face of climate change in the identification, evaluation and selection of actions in the hydrological plans and in the management of the Water. f) Include those actions whose express purpose is to improve water security by reducing exposure and vulnerability and improving the resilience of water bodies, within which nature- based measures are included. g) Include in the planning the impacts derived from the retention of sediments in the reservoirs and the solutions for their mobilization, with the double objective of maintaining the regulation capacity of the reservoirs themselves and of restoring the transport of sediments to the coastal systems for stop the regression of the beaches and the subsidence of the deltas. h) Draw up the financing plan for the actions, ensuring financing to address the risks of the first section. i) Monitor the impacts associated with climate change to adjust actions based on the progress of said impacts and improvements in knowledge. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62033 5. Within the framework of the Flood Risk Management Plans, the need for flood control measures will be considered through forest hydrological correction and erosion prevention actions. Article 20. Consideration of climate change in the planning and management of the maritime- terrestrial public domain. 1. The planning and management of the marine environment will be oriented towards increasing its resilience to the effects of climate change. 2. The planning and management of the coast must comply with the guidelines and measures contemplated in the Strategy for Adaptation of the Coast to the Effects of Climate Change, prepared in compliance with the eighth additional provision of Law 2/2013, of 29 May, on the protection and sustainable use of the coast and the modification of Law 22/1988, of July 28, on Coasts, and will pursue the following objectives: a) Increase the resilience of the Spanish coast to climate change and climate variability. b) Integrate adaptation to climate change in the planning and management of the Spanish coast. 3. In order to guarantee an adequate adaptation of the coast to the effects of climate change, the management of the occupancy titles of the maritime-terrestrial public domain and its extensions will be carried out in accordance with the provisions of title III of the Law 22/1988, of July 28, on Coasts and taking into account the provisions of article 13 ter of said law. For these purposes, the provisions of other applicable regulations will also be followed, as well as in international agreements that contain regulations related to the coast and the sea and the conservation and sustainable use of the maritime-terrestrial public domain, taking into account factors such as the state and evolution of ecosystems, hydromorphological, climatic and coastal dynamic conditions; as well as the accumulated pressure of the different uses that each stretch of coast supports. 4. The terms of duration of the titles of occupation of the maritime-terrestrial public domain will be computed from its granting and will include all its extensions, if possible, without exceeding the maximum terms established in Law 22/1988, of July 28, of Coasts and in Law 33/2003, of November 3, of Patrimony of Public Administrations, being null and void the administrative acts that are dictated after the entry into force of this law in breach of the provisions of this article. Article 21. Consideration of climate change in territorial and urban planning and management, as well as in interventions in the urban environment, in construction and in transport infrastructures. 1. Territorial and urban planning and management, as well as interventions in the urban environment, construction and transport infrastructure, for the purpose of adapting to the repercussions of climate change, will mainly pursue the following objectives: a) The consideration, in its preparation, of the risks derived from climate change, in coherence with the other related policies. b) The integration, in the planning and management instruments, of the necessary measures to foster progressive adaptation and resilience to climate change. c) The adaptation of the new calculation and design instructions for buildings and transport infrastructures to the effects derived from climate change, as well as the progressive adaptation of those already approved, all with the aim of reducing emissions. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62034 d) The consideration, in the design, remodeling and management of the mitigation of the so-called "heat island" effect, avoiding the dispersion into the atmosphere of residual energy generated in urban infrastructures and their use in them and in buildings on the surface. as renewable energy sources. 2. To ensure that new energy production facilities from renewable energy sources do not have a severe impact on biodiversity and other natural values, a zoning will be established that identifies areas of sensitivity and exclusion due to their importance for biodiversity, connectivity and provision of ecosystem services, as well as other environmental values. To this end, the Ministry for the Ecological Transition and the Demographic Challenge will prepare and periodically update a cartographic tool that reflects this zoning, and will ensure, in coordination with the Autonomous Communities, that the deployment of renewable energy projects is carried out, Preferably, in locations with less impact. Article 22. Consideration of climate change in food safety and diet. 1. Public Administrations will promote the improvement of knowledge about the effects of climate change on food safety and diet, as well as the design of actions aimed at mitigating and adapting to them. 2. The specific strategic objectives, associated indicators and adaptation measures, aimed at mitigating food security risks associated with climate change, including the appearance of emerging food risks, will be designed and included within the National Plan for Adaptation to Climate Change. 3. In order to increase resilience, while reducing the carbon footprint and promoting quality food, in the specifications of particular administrative clauses corresponding to public contracts whose purpose is services that require the acquisition of food, When these contracts must be entered into by the General State Administration, and by agencies and entities dependent on or linked to it, special execution conditions may be established that prioritize fresh or seasonal food, and with a short distribution cycle, provided that this is in accordance with the provisions of article 202 of Law 9/2017, of November 8, on Public Sector Contracts, by which the Directives of the European Parliament and of the Council 2014/23 are transposed into the Spanish legal system /EU and 2014/24/ EU, of February 26, 2014 and with Community Law. Article 23. Consideration of climate change in public health. 1. The Public Administrations will promote the improvement of knowledge about the effects of climate change on public health and about the initiatives aimed at its prevention. 2. On the other hand, within the framework of the National Plan for Adaptation to Climate Change, the specific strategic objectives, associated indicators and adaptation measures will be designed and included, aimed at reducing or avoiding the risks to public health associated with climate change, including emerging risks. Article 24. Protection of biodiversity against climate change. 1. The Public Administrations will promote the improvement of knowledge about the vulnerability and resilience of wild species and habitats in the face of climate change, as well as the capacity of ecosystems to absorb emissions. This knowledge, which will be included in the Spanish Inventory of Natural Heritage and Biodiversity, in the Strategic Plan for Natural Heritage and Biodiversity and in the State Strategy for Green Infrastructure and Ecological Connectivity and Restoration, will be applied in the improvement policies for the conservation, management and sustainable use of natural heritage and biodiversity. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62035 2. With the purpose indicated in the previous section, and with the necessary participation of the Autonomous Communities, within a period of three years from the approval of the law, a specific conservation and restoration strategy will be presented to the Sectoral Conference on the Environment. of ecosystems and species that are particularly sensitive to the effects of climate change, including natural ecosystems and high mountain species, Spanish terrestrial wetlands, Posidonia meadows and riverbank areas, as well as those that stand out for its role in adapting to climate change. To this end, appropriate financing lines will be provided through the Natural Heritage and Biodiversity Fund. This strategy will be considered a programmatic planning instrument for Public Administrations, approved by Agreement of the Council of Ministers, which will include the basic guidelines for the adaptation to climate change of natural terrestrial ecosystems, marine ecosystems and Spanish wild species. , as well as the basic lines of restoration and conservation thereof, with special reference to aquatic or water-dependent and high mountain ecosystems. 3. Within three years from the approval of the law, an evaluation of the medium and long- term representativeness of the networks of protected natural spaces and spaces of the Natura 2000 Network will be presented to the Sectoral Environment Conference, in the different possible climate scenarios, so that, by the competent administrations, the appropriate measures are arranged so that these networks continue to meet the objectives of conservation of habitats and species for which they were designed within the aforementioned periods. 4. The General Administration of the State and that of the Autonomous Communities, within the scope of their respective powers, will include in the update and revision of the plans or management instruments of the Protected Natural Areas and spaces of the Natura 2000 network a section on adapting them to climate change with, at least, a diagnosis that includes a list of especially vulnerable species and habitats, objectives, actions and progress and compliance indicators, as well as a connectivity plan with other protected areas. 5. Within a period of five years from the entry into force of this law, all the national atlases referred to in Royal Decree 556/2011, of April 20, will be updated for the development of the Spanish Inventory of Natural Heritage and Biodiversity, which will include a specific analysis of the impact that climate change will have on species considering the main climate scenarios contemplated at that time. Article 25. Rural development: agrarian policy, forestry policy and renewable energies. The Government will incorporate in the application of the Common Agrarian Policy, as well as in other strategies, plans and programs in matters of agrarian policy and rural development, and in the Spanish Forestry Plan, measures aimed at reducing the vulnerability of soils to climate change agriculture, mountains and forest soils and to facilitate their preservation, including the preparation of a vulnerability map, as well as the evaluation and promotion of agricultural systems and sustainable forest management practices to increase their resilience against to climate change, which in any case will promote synergies with the reduction of greenhouse gas emissions in these ecosystems. The deployment of renewable energies must be carried out in a way that is compatible with the conservation of the natural heritage and proper land use planning. To do this, it will seek to reverse part of the wealth it generates in the territory where the aforementioned deployment takes place to activate its economy and combat demographic decline. Article 26. Promotion of the absorption capacity of carbon sinks. 1. The competent Public Administrations will promote the identification, classification, mapping, increase and improvement of carbon sinks, including blue carbon sinks defined by the Intergovernmental Group of Experts on Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62036 Climate Change, as well as its evaluation and accounting based on existing information sources. 2. The Public Administrations, within the framework of the National Climate Council and the Coordination Commission for Climate Change Policies, will adopt the appropriate actions to encourage the participation of individuals and entities that own and manage public and private entities, especially those in the agricultural and forestry, in increasing the capacity to capture CO2 from carbon sinks. 3. For the purposes indicated in the previous sections, actions that highlight the positive externalities provided by terrestrial and marine carbon sinks, especially those provided by the agricultural and forestry sectors, as well as the use of biomass of primary origin, will be promoted. as a source of materials, forest products from the mountains as raw materials with an optimal life cycle, ecosystem services and energy from renewable and sustainable sources. To this end, the aforementioned promotion action will be carried out within the framework of the necessary support for the bioeconomy as a motor for the development of rural areas, and adapted to the obligations linked to air quality. TITLE VI Just transition measures Article 27. Just Transition Strategy. 1. The Just Transition Strategy constitutes the state-level instrument aimed at optimizing opportunities in activity and employment in the transition to an economy low in greenhouse gas emissions and at identifying and adopting measures that guarantee a equitable and supportive treatment of workers and territories in said transition. The Government will approve, every five years, through an Agreement of the Council of Ministers, Just Transition Strategies, at the joint proposal of the Ministers for the Ecological Transition and the Demographic Challenge; Labor and Social Economy; of Industry, Commerce and Tourism; Agriculture, Fisheries and Food; Transport, Mobility and Urban Agenda; and Science and Innovation, with the participation of the Autonomous Communities and social agents. 2. The Just Transition Strategy will include the following contents: a) Identification of groups, sectors, companies and territories potentially vulnerable to the transition process to a low-carbon economy. b) Analysis of opportunities to create economic activity and employment linked to the energy transition. c) Industrial, agricultural and forestry policies, research and development, innovation, promotion of economic activity and employment and occupational training for the just transition. d) Instruments for monitoring the labor market in the framework of the energy transition through the participation of social agents, as well as in social dialogue tables. e) The framework for preparing Just Transition agreements. 3. The Just Transition Strategy, as well as its application and development instruments, will be prepared taking into account the gender perspective and will ensure the principles of social inclusion and universal accessibility. Article 28. Just transition agreements. 1. Within the framework of the Just Transition Strategy, just transition agreements will be signed in order to promote economic activity and its modernization, as well as the employability of vulnerable workers and groups at risk of exclusion in the transition to a low- carbon economy. carbon emissions, in particular, in cases of closure or conversion of facilities. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62037 2. The fair transition agreements, in which the Autonomous Communities will participate in accordance with the scope of their powers, will be signed between the Ministry for the Ecological Transition and the Demographic Challenge, following a report from the Ministry of Labor and Social Economy, the Ministry of Inclusion, Social Security and Migration and of the Ministry of Industry, Tourism and Commerce, and other Public Administrations, in particular, Local Entities of geographical areas vulnerable to the transition towards a low carbon economy. Likewise, companies, organizations from the business sectors, trade unions, universities, educational centers, associations and non-governmental environmental organizations and other interested or affected entities may participate in these agreements. 3. The just transition agreements will include: a) An assessment of the state of vulnerability of the affected geographic area or group. b) Commitments of the parties participating in the agreement, including the companies benefiting from support measures for the transition. c) Fiscal measures, financing, support for R&D&i, digitization, entrepreneurship, employment, social protection and training activities to encourage the adaptation of workers, subject to compliance with the objectives established in the agreement. d) A calendar for the adoption of the measures, with measurable objectives and monitoring mechanisms. e) When considered appropriate, priority access to part or all of the electrical evacuation capacity, as well as the priority right to the use and volume of water of those concessions that are extinguished after the closure of electricity generation facilities. in accordance with the provisions of Royal Decree-Law 17/2019, of November 22, which adopts urgent measures for the necessary adaptation of remuneration parameters that affect the electricity system and which responds to the termination process activity of thermal generation plants. 4. For the purposes of the provisions of article 49.h) of Law 40/2015, of October 1, on the Legal Regime of the Public Sector, the validity of the fair transition agreements will be determined in the clauses of the agreement itself. , not being able to exceed in any case the seven years of initial duration. The signatories may agree to its extension, before the end of the planned term of validity, for a period of up to seven additional years. Article 29. Cessation of domestic coal production. 1. The granting of exploitation authorizations, permits, concessions, extensions or transfers of the coal resources of the production units registered in the Closure Plan of the Kingdom of Spain for Non-Competitive Coal Mining within the framework of Decision 2010 / 787/EU, will be subject to the return of the aid granted under the aforementioned community decision, and corresponding to the entire period covered by the closure plan. The required amount and accrued interest must be repaid prior to any possible authorization by the competent authority. 2. The provisions of the previous section shall apply to all applications for exploitation authorizations, permits or concessions regulated by mining legislation, as well as extensions or transfers that are in process at the time of entry into force of this law. 3. The Institute for Just Transition will ensure compliance with the provisions of this article, in cooperation with the Autonomous Communities in whose territory the closed mining operations are located. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62038 TITLE VII Resources at the national level for the fight against climate change and the energy transition Article 30. Public resources allocated to the fight against climate change. 1. At least a percentage equivalent to that agreed in the Multiannual Financial Framework of the European Union of the General State Budgets must contribute to the objectives established in terms of climate change and the energy transition, in accordance with the methodology and deadlines established. establish regulations. Resources transferred to the territorial administrations, as well as expenses that, by their very nature, do not have a direct impact on climate change, such as personnel expenses, those of a social purpose, such as pensions or benefits, will be exempt from this obligation. for unemployment, those of strictly financial purpose of the General Administration of the State and the group of organisms and entities of the state public sector, such as the service of the Public Debt or any other that may be determined. The allocations that will be allocated to the fulfillment of the objectives set forth in this law will be set annually within the framework of the preparation of the corresponding General State Budgets, in accordance with the applicable regulations and the Government's policy. 2. The Government, at the joint proposal of the Ministry for the Ecological Transition and the Demographic Challenge and the Ministry of Finance, will review upwards, before the year 2025, the percentage set in the first section of this article, in light of the results planning associated with it. 3. In the proposals presented by the Ministry of Finance in the Fiscal and Financial Policy Council, the inclusion of criteria that contribute to the objectives established in terms of climate change and energy transition will be considered, where appropriate. 4. The proceeds from the auctions of greenhouse gas emission rights will be used to meet the objectives in terms of climate change and energy transition. The General State Budget laws of each year will collect the corresponding credits in the budget of the Ministry for the Ecological Transition and the Demographic Challenge, allocating at least 450 million euros to the electrical system to finance the costs of the electrical system provided for in the Law of Electricity Sector, referring to the promotion of renewable energies, and up to 30% of total income may be allocated to measures with a social impact to alleviate situations caused by the transition to a decarbonised economy, or related to vulnerability to the impacts of climate change. Each year, following a report from the Ministry for the Ecological Transition and the Demographic Challenge, in accordance with current community regulations, up to 25% of the proceeds from auctions of greenhouse gas emission rights may be used for compensation of the effects of indirect costs for CO2 emissions , linked to electricity consumption, for installations at risk of carbon leakage. Article 31. Public contracting. 1. In accordance with the provisions of Law 9/2017, of November 8, on Public Sector Contracts, which transposes into the Spanish legal system the Directives of the European Parliament and of the Council 2014/23/EU and 2014/ 24/EU, of February 26, 2014, in all public procurement, environmental and energy sustainability criteria will be incorporated in a transversal and mandatory manner when they are related to the object of the contract, which must be objective, respectful of the informing principles of the contracting public and appear, along with the weighting attributed to them, in the corresponding specifications. For this, the contracting of the General Administration of the State and the group of organisms and entities of the state public sector Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62039 will incorporate, in accordance with article 126.4 of Law 9/2017, of November 8, on Public Sector Contracts, as specific technical requirements in the contract specifications, emission reduction and carbon footprint criteria specifically aimed at the fight against climate change. To this end, within a year from the entry into force of this law, the Ministry for the Ecological Transition and the Demographic Challenge and the Ministry of Finance will draw up a catalog of services in whose contracting the criteria of fight will be taken into account. against climate change mentioned in this section and in which such criteria for reducing emissions and carbon footprint will be identified, including those related to a sustainable and healthy diet. In any case, in accordance with the provisions of article 201 of Law 9/2017, of November 8, on Public Sector Contracts, the contracting authorities will take the pertinent measures to guarantee that in the execution of the contracts the contractors comply with applicable environmental obligations. 2. The General Administration of the State and all the agencies and entities of the state public sector, subject to the provisions of article 145.2 of Law 9/2017, of November 8, on Public Sector Contracts, in tenders for Drafting of projects, works contracts or works concession will include, among the award criteria, some of the following: a) Requirements for the maximum energy rating of the buildings that are tendered. b) Savings and energy efficiency that promote a high level of thermal insulation in buildings, renewable energies and low emissions from facilities. c) Use of sustainable construction materials, taking into account their useful life. d) Measures to reduce greenhouse gas emissions and other atmospheric pollutants in the different phases of the public works construction process. e) Climate change adaptation measures. f) Minimization of waste generation. 3. Likewise, subject to the provisions of articles 125 and 126 of Law 9/2017, of November 8, on Public Sector Contracts, in tenders for drafting projects, works contracts or work concessions, may include, as technical prescriptions, any of the following: a) That the wood used in construction comes from sustainably managed forests and according to their ecological footprint. b) Reforestation actions with native species, as a compensatory measure to alleviate the carbon footprint resulting from the execution of the work or service that is the subject of the tender. 4. The lease contracts in force for real estate, in which the General State Administration and the set of agencies and entities of the state public sector are the tenant, which are not considered to be buildings with almost zero energy consumption in accordance with the version in force as of December 31, 2020 of the Technical Building Code, may not be extended beyond 2030. Leases on real estate located abroad are exempt from this provision, which will be regulated by current building and environmental regulations. in the country in which they are located. Article 32. Integration of climate change risk by entities whose securities are admitted to trading on regulated markets, credit entities, insurance and reinsurance entities and companies due to size. 1. Companies that issue securities admitted to trading on regulated markets that formulate consolidated accounts, as well as those that are not part of a consolidatable group, that are required to include in the consolidated management report or in the individual management report, the statement of non-financial information in accordance with Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62040 provided for in article 49.5 of the Code of Commerce and in article 262.5 of Royal Legislative Decree 1/2010, of July 2, approving the consolidated text of the Capital Companies Law, they will send to the National Market Commission de Valores, within its management report, an annual report in which an assessment is made of the financial impact on society of the risks associated with climate change generated by the exposure to this of its activity, including the risks of the transition to a sustainable economy and the measures adopted to deal with these risks. 2. Consolidable groups of credit institutions and credit institutions not integrated into one of these consolidable groups subject to the supervision regime of the Bank of Spain and the European Central Bank, in accordance with the provisions of Regulation (EU) no. º 1024/2013, of the Council, of October 15, 2013, which entrusts the European Central Bank with specific tasks regarding policies related to the prudential supervision of credit institutions, will include among the information with prudential relevance referred to in the article 85 of Law 10/2014, of June 26, on the organization, supervision and solvency of credit institutions, and article 93 of Royal Decree 84/2015, of February 13, which develops Law 10/ 2014, of June 26, on organization, supervision and solvency of credit institutions, an annual report in which an evaluation of the financial impact on society of the risks associated with climate change is made due to the exposure to this of its activity, including the risks of the transition towards a sustainable economy and the measures adopted to deal with said risks. They will also publish specific decarbonization goals for their loan and investment portfolio in line with the Paris Agreement as of 2023. 3. Consolidable groups of insurance and reinsurance entities and insurance and reinsurance entities not integrated into one of these groups subject to the supervision regime of the General Directorate of Insurance and Pension Funds, in accordance with the provisions of Law 20/2015 , of July 14, of organization, supervision and solvency of insurance and reinsurance entities, will disclose and send to the General Directorate of Insurance and Pension Funds, within the periods indicated in article 93 of Royal Decree 1060/2015, of 20 of November, of management, supervision and solvency of insurance and reinsurance entities for the report on the financial situation and solvency, an annual report, in which an evaluation of the financial impact on society of the risks associated with climate change is made generated by the exposure to this of its activity, including the risks of the transition towards a sustainable economy and the measures that are take to deal with these risks. 4. The companies that formulate consolidated accounts and the companies that do not form part of a consolidable group, other than those provided for in the previous sections and that are obliged to include in the consolidated management report or in the individual management report, the statement of non-financial information in accordance with the provisions of article 49.5 of the Code of Commerce and article 262.5 of Royal Legislative Decree 1/2010, of July 2, which approves the revised text of the Capital Companies Law , will publish within their management report, an annual report in which an assessment is made of the financial impact on society of the risks associated with climate change generated by the exposure to this of their activity, including the risks of the transition towards a sustainable economy and the measures adopted to deal with these risks. The report will be published on the corporate website of the companies. 5. The content of the reports mentioned in the previous sections on the estimation of the financial impact of the risks for society associated with climate change will be determined by royal decree, within a period of two years from the approval of this law, and will include the following aspects in the information obligations established: a) The governance structure of the organization, including the function that its different bodies perform, in relation to the identification, evaluation and management of risks and opportunities related to climate change. b) The strategic approach, both in terms of adaptation and mitigation, of the entities to manage the financial risks associated with climate change, taking into account the risks already existing at the time of writing the report, and Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62041 those that may arise in the future, identifying the necessary actions at that time to mitigate such risks. c) The real and potential impacts of the risks and opportunities associated with climate change in the activities of the organization and its strategy, as well as in its financial planning. d) The processes of identification, evaluation, control and management of climate- related risks and how these are integrated into its global business risk analysis and its integration into the organization's global risk management. e) The metrics, scenarios and targets used to assess and manage the relevant risks and opportunities related to climate change and, if calculated, the scope 1, 2 and 3 of its carbon footprint and how it is addressed its reduction. Article 33. Integration of climate change risk in the financial system and energetic. 1. The Bank of Spain, the National Securities Market Commission and the General Directorate of Insurance and Pension Funds, within the scope of their respective powers, shall jointly prepare, every two years, a report on the degree of alignment with the goals of the Paris Agreement and of the regulations of the European Union based on future scenarios and on the evaluation of the risk for the Spanish financial system derived from climate change and the policies to combat it, which will be coordinated within the scope of the Macroprudential Authority Council of Financial Stability (AMCESFI). The report will collect the proposals that, where appropriate, it considers necessary to mitigate the risk and will be published and sent to the Congress of Deputies and the Senate. 2. The Operator of the electricity system, the Technical Manager of the gas system and the Hydrocarbons Logistics Company (CLH) will submit to the Ministry for the Ecological Transition and the Demographic Challenge, every two years and within the scope of their respective powers, a report in which an assessment of the risks and opportunities associated with a decarbonized energy system is made on the activities of the entity, its strategy and its financial planning. Likewise, the Operator of the electricity system, the Technical Manager of the gas system and the Hydrocarbons Logistics Company (CLH) must inform the Ministry for the Ecological Transition and the Demographic Challenge on the degree of alignment of their activities with Regulation (EU) 2020 /852 regarding the establishment of a framework to facilitate sustainable investments and amending Regulation (EU) 2019/2088. Article 34. Electricity sector decarbonization strategy. In accordance with the development of the Decarbonization Strategy to 2050 established in article 5, the Government is empowered to require the market operator, the system operator, the carrier and the distributors, defined in article 6 of Law 24/ 2013, of December 26, of the Electricity Sector, so that they prepare and present a decarbonization strategy in relation to their scope of action. Regulations will establish the minimum conditions and criteria that these strategies must include. TITLE VIII Education, Research and Innovation in the fight against climate change and the energy transition Article 35. Education and training in the face of climate change. 1. The Spanish education system will promote the involvement of Spanish society in responses to climate change, reinforcing knowledge about climate change and its implications, training for low-carbon and resilient technical and professional activity in the face of climate change and the acquisition of the necessary personal and social responsibility. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62042 2. The Government will review the treatment of climate change and sustainability in the basic curriculum of the teachings that are part of the Educational System in a transversal manner, including the necessary elements to make an education for sustainable development a reality. Likewise, the Government, within the scope of its powers, will promote actions that guarantee the adequate training of teachers in this matter. The Government will encourage universities to review the treatment of climate change in the curricula leading to the obtaining of official university degrees in which it is consistent in accordance with the competencies inherent to them, as well as the training of university teachers in this area. 3. The Government will review and keep updated the National Catalog of Professional Qualifications, as well as the catalog of training offers in the field of Vocational Training that train in professional profiles of environmental sustainability and climate change and energy transition. 4. The Government, within the scope of its powers, will encourage the process of accreditation of professional skills acquired through work experience, and through non-formal training channels, promoting education and training to advance in the fight against climate change and the energy transition. 5. The Government will take into account the influence of informal education together with formal education and non-formal education, and will make use of it to carry out campaigns to raise awareness among citizens about the effects of climate change and the impact that has human activity in it. In addition, the Government and the different Public Administrations will recognize and provide the necessary means and resources so that the entities can carry out non-formal education activities, understanding that it is one more way to promote the involvement of especially vulnerable groups in the fight against climate change. such as childhood and youth. Article 36. Research, development and innovation on climate change and transition energetic. 1. The Government, within the scope of its powers, will promote the inclusion of climate change and the energy transition, and will promote its adequate financing, among the priorities of the Spanish Science and Technology and Innovation Strategies and in the State Research Plans Scientific and Technical and Innovation. 2. The State Plans for Scientific and Technical Research and Innovation will encourage the participation of multidisciplinary scientific-technical evaluation panels, made up of independent experts qualified to assess the lines of research, development and innovation related to the aforementioned aspects. TITLE IX Governance and public participation Article 37. Committee of Experts on Climate Change and Energy Transition. 1. The Committee of Experts on Climate Change and Energy Transition is created as the body responsible for evaluating and making recommendations on energy and climate change policies and measures, including regulations. To this end, it will prepare an annual report that will be sent to the Congress of Deputies and submitted to debate therein, with the participation of the Government. 2. The Committee of Experts on Climate Change and Energy Transition will carry out its activity with full autonomy from the General State Administration and its composition will be equal to women and men. Regulations will determine its composition, organization and operation. 3. The Government will publish its position regarding each report of the Committee of Experts, in a reasoned manner, at least 15 calendar days prior to the subsequent debate in the Congress of Deputies. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62043 Article 38. Inter-administrative cooperation on climate change and energy. As of December 31, 2021, the Autonomous Communities must inform the Climate Change Policy Coordination Commission of all their energy and climate plans in force. Said plans may consist of a specific document that includes both the measures adopted, and the measures that are planned to be adopted, in terms of climate change and energy transition, consistent with the objectives of this law. Article 39. Public participation. 1. The plans, programs, strategies, instruments and provisions of a general nature that are adopted in the fight against climate change and the energy transition towards a low- carbon economy will be carried out under open formulas and accessible channels that guarantee the participation of interested social and economic agents and the public, in general, through communication, information and dissemination channels, in the terms provided by Law 27/2006, of July 18, which regulates the rights of access to information, public participation and access to justice in environmental matters. For the elaboration of the same, and without prejudice to other formulas of participation and deliberation, the Government will reinforce the mechanisms of participation that already exist and will guarantee in a structured way the citizen participation in the decision-making process in matters of climate change through the establishment of a Citizen Assembly on Climate Change at the national level and it will be recommended that regional assemblies and municipal assemblies be established. Its composition will take into account the principle of balanced representation between women and men and will include the participation of young people. The composition, organization and operation of the same will be developed by Ministerial Order. 2. The Ministry for the Ecological Transition and the Demographic Challenge, in collaboration with the other ministerial departments, will develop and keep updated a specific web page that facilitates citizen access to information related to climate change and the energy transition. Article 40. Policies, Measures, Inventories and Projections of Greenhouse Gases Greenhouse. 1. Within one year from the entry into force of this law, the measures that guarantee the coordination, monitoring, evaluation, publicity, report and notification to the European Commission, to the United Nations Framework Convention on Climate Change will be established by regulation. Climate, and any other body that so requires, of the emissions data from the national inventory of greenhouse gases, the projections of emissions and the policies and measures implemented, adopted and planned to meet the objectives derived from this law, of the National Integrated Energy and Climate Plans, its Strategic Environmental Assessment, the 2050 Decarbonization Strategy, as well as any other international or national objective in terms of greenhouse gas reduction. 2. The Ministry for the Ecological Transition and the Demographic Challenge will prepare and periodically update the reports that the State must complete in order to comply with the information obligations assumed by it within the framework of national, community and international regulations, as well as to provide an essential source of information for knowing the status of compliance with climate change policies and measures, their contribution to climate and environmental objectives, as well as the evaluation of their effectiveness. These reports will be submitted for approval to the Delegate Commission of the Government for Economic Affairs with the frequency established by regulation. 3. In accordance with community and international regulations, the Ministry for the Ecological Transition and the Demographic Challenge will regulate the institutional structure and procedures to ensure timeliness, transparency, accuracy, coherence, Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62044 comparability and completeness of information on policies and measures and on emissions and projections of anthropogenic emissions by sources and removals by sinks of greenhouse gases, including the use and application of data, methods and models, as well such as carrying out quality assurance and control activities and sensitivity analysis. Said structure and procedures will also ensure the total coherence of policies, with the National Inventories of atmospheric pollutants and other reports that the State must complete in order to comply with the information obligations assumed within the framework of international and European regulations on emissions to the environment. atmosphere. 4. For the fulfillment of its tasks, the Ministry for the Ecological Transition and the Demographic Challenge may request from any unit of the rest of the Ministries, as well as its dependent organizations, the necessary information for the estimation of gas emissions and absorptions of the greenhouse effect and the calculation of its projections, as well as for the evaluation of the economic and environmental impacts. The Ministries and organizations will have the obligation to supply the requested data with the required format and structure. 5. For the purposes of the provisions of the preceding sections of this article, the Ministry for the Ecological Transition and the Demographic Challenge will establish collaboration mechanisms with other public bodies or Public Administrations other than the General State Administration with powers in the field of design and execution of policies and measures with an impact on the mitigation and adaptation to climate change. First additional provision. Exclusion from the scope of the law of the equipment, weapons systems, installations and activities of the Armed Forces and the Security Forces and Bodies. Excluded from the scope of application of this law are equipment, weapons systems, installations and activities whose purpose is the protection of the essential interests of National Defense and Public Security. However, the Ministries of Defense and the Interior will make an effort to guarantee that the actions of the Armed Forces and the State Security Forces and Bodies are carried out, to the extent possible, in a manner that is compatible with the objectives of the law. Second additional provision. Divestment in energy products of fossil origin. Within two years from the entry into force of this law, the Ministry of Economic Affairs and Digital Transformation, the Ministry of Finance, the Ministry of Industry, Commerce and Tourism and the Ministry for the Ecological Transition and the Demographic Challenge will prepare a study of the state of affairs and a calendar proposal so that the General Administration of the State and the organisms and entities that make up the state public sector dispose of holdings or financial instruments of companies or entities whose commercial activity includes the extraction, refining or processing of energy products of fossil origin. Third additional provision. International Climate Finance Strategy. By agreement of the Council of Ministers, a financing strategy will be adopted international climate, as a planning instrument with the following objectives: a) Comply with the international climate financing commitments of the Kingdom of Spain. b) Ensure that the action carried out by Spanish Cooperation is consistent with the objectives of combating climate change and integrates the climate agenda and the Sustainable Development Goals, incorporating these principles into its regulatory and planning framework. c) Take advantage of cooperation and investment opportunities in developing countries aimed at dealing with climate change and in accordance with the Development Goals Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62045 Sustainable contributing to the creation of value and employment in Spain and in the countries object of cooperation. d) Introduce the consideration of climate change and the Sustainable Development Goals, in a coordinated manner in the different international financing instruments and support for the internationalization of the company, improving commercial agreements with the inclusion of reciprocity clauses in environmental requirements. e) Guide the instruments of international financing, cooperation and investment in developing countries to preferentially favor the ecological transition. Fourth additional provision. Additional measures in civil aviation. By order of the Ministry of Transport, Mobility and Urban Agenda, following a report from the Ministry for the Ecological Transition and the Demographic Challenge, the requirements for operational energy audits and strategic plans for environmental sustainability that airlines, management entities of the airports of general interest and the companies providing air traffic services, subject to the supervision of the State Aviation Safety Agency, must carry out as a measure to identify opportunities for improvement aimed at reducing emissions and implement their contribution to energy and climate goals. Fifth additional provision. Promotion of the Circular Economy. The Government will submit to the Parliament, within a period of six months from the entry into force of this law, a Draft Law on Waste and Contaminated Soil, which will include as one of its main axes the promotion of the circular economy, along the lines of what is established in the Spanish Circular Economy Strategy, Spain Circular 2030, with the aim of contributing to achieving a sustainable, decarbonized, efficient in the use of resources and competitive economy. The Government, within the framework of the Spanish Circular Economy Strategy, will develop Three-year Action Plans that will include measures and sectoral action plans aligned with the climate objectives agreed by the Paris Agreement, the lines of action of the Green New Deal, the objectives of the European Commission's strategy on circular economy and the objectives of the own Spanish Strategy. The Ministry for the Ecological Transition and the Demographic Challenge, the Spanish Federation of Municipalities and Provinces and the Autonomous Communities, through the existing inter-administrative cooperation bodies, will coordinate the actions carried out in the field of Circular Economy that contribute to the decarbonization of the economy. Sixth additional provision. Railway transport. 1. The Government will promote the use of the passenger railway within the scope of the future Law on sustainable mobility and financing of public transport, establishing the necessary measures to promote it in the face of more polluting means of transport. 2. In the field of freight transport, and in order to improve its energy efficiency and competitiveness, the Government will establish, in accordance with the provisions of the aforementioned Law on sustainable mobility and financing of public transport, penetration objectives of the railway in the transport of goods over distances of more than 300 kilometres. The Government will draw up a Strategy to promote freight transport by rail, within the framework of its strategic planning, in which there will be room for measures that affect all areas that may affect the increase in the competitiveness of this transport. Seventh additional provision. Green taxation. Within six months of the approval of this law, the Government will set up a group of experts to evaluate a tax reform that will assess taxation Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62046 green. In any case, the modifications introduced in this area will be in step with the economic situation. Eighth additional provision. Research, development and innovation in energy renewable. 1. In order to promote research and innovation in the field of renewable energies, the use of the different testing facilities available at the national level will be promoted, which allow the implementation of technological research and innovation projects that contribute to the development of terrestrial and marine renewable energies, as well as the fulfillment of the objectives set forth in this law. 2. For this purpose, and without prejudice to the provisions of Royal Decree-Law 23/2020, of June 23, which approves measures in the field of energy and in other areas for economic reactivation, the Government will regulate, within the scope of its competences, a specific framework for these test facilities, which will include the procedure for their categorization as such, the principles and requirements that must be met by the regulations that regulate said facilities, as well as the simplified authorization procedures, the exemptions which, where appropriate, will be applicable to the pilot projects that are developed in them and the sources of financing that in no case will affect the regulated resources of the electricity and gas systems. 3. Access to the test facilities as a controlled test space, or the performance of tests or pilot projects therein, will be carried out exclusively for research or innovation purposes, for the time necessary for its execution in the scheduled terms and not In no case will it imply the granting of authorization for the exercise of commercial or industrial activities unrelated to the purposes of research and innovation. 4. The pilot projects and the tests proposed within them will not be subject to the specific regulations applicable to commercial or industrial activities related to the generation, storage and distribution of renewable energies, and must comply, in any case, with the provisions of the this law, in the regulations issued in its development and in the rest of the regulations that apply to it, without prejudice to respect for the powers that correspond to the Autonomous Communities. 5. Access to the controlled test environment will be agreed within a Coordination Commission of the test facilities in which representatives of the different public authorities with powers related to the development of activities linked to renewable energies will participate. . 6. The public authorities with competences in the matter will cooperate with each other to guarantee that the controlled testing environment serves the objectives and guiding principles set forth in this law. To this end, the public authorities will collaborate in order to achieve an adequate functioning of the planned controlled testing space and will facilitate, within their sphere of competence and with the appropriate guarantees, the carrying out of tests. 7. The Government will proceed to adopt the regulations and administrative actions that are necessary for the development of this law. Ninth additional provision. Energy consumption reduction plan in the General State Administration. Within a year from the entry into force of this law, the Institute for the Diversification and Saving of Energy (IDAE) will present a plan with the objective that energy consuming centers, belonging to the General Administration of the State, reduce their energy consumption in the year 2030, in line with the «Long-term strategy for energy rehabilitation in the building sector in Spain» and the «National Integrated Energy and Climate Plan 2021-2030», by carrying out energy saving and efficiency measures. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62047 First transitional provision. Current plans and programs. The plans and programs that the Government has approved before the entry into force of this law, and whose purpose and content is that provided for in articles 4 or 5 of the same, will continue to apply, notwithstanding that their modifications or revisions are processed and approved in accordance with the provisions of the aforementioned articles. Second transitory provision. Exploration, research and exploitation of hydrocarbons. 1. The provisions of article 9 of this law shall apply to all applications for exploration authorizations and hydrocarbon research permits that are in process at the time of entry into force of this law. 2. Applications for exploitation concessions associated with a current research permit, which are in process before the entry into force of this law, will be governed by the regulations applicable at the time of granting the aforementioned research permit, with the exception of the possibility of extension, which is expressly excluded. 3. In any case, the admission for processing of the request for concession of authorization of exploitation of hydrocarbons that has not been initiated prior to the date of entry into force of this law will not proceed. 4. Research permits and concessions for the exploitation of hydrocarbon deposits already in force that are located in the territorial sea, the exclusive economic zone and the continental shelf may not be extended, in any case, beyond December 31, 2042. . Third transitory provision. Consideration of climate change in the development of planning and management of urban development, construction and transport infrastructure. In relation to the provisions established in letters a) and b) of section 1 of article 21 of this law regarding the consideration of climate change in the planning and management of urban development, building and transport infrastructure, these provisions They will not apply to plans, programs and studies whose processing had already been completed at the time this law came into force. In the subsequent modifications of these documents, the criteria not included in the study phase must be included. Unique derogatory provision. Regulatory repeal. All provisions of equal or lower rank that oppose this law are hereby repealed. First final provision. Modification of Law 34/1998, of October 7, on the hydrocarbon sector, Law 24/2013, of December 26, on the Electricity Sector, and Law 18/2014, of October 15, on the approval of urgent measures for growth, competitiveness and efficiency, in relation to the level of indebtedness and remuneration of regulated activities in the electricity and natural gas sectors. 1. A new section 6 is added to article 62 of Law 34/1998, of October 7, on the hydrocarbons sector, with the following wording: «6. Companies that carry out regulated activities may not grant loans, provide guarantees or endorse loans from other group companies or related parties that carry out liberalized activities or other activities outside the Spanish natural gas sector. Loans to companies of the same group whose purpose is centralized treasury management, without engaging in deregulated activities or other activities outside the Spanish natural gas sector, are excluded.» Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62048 2. A new section 8.bis is added to article 14 of Law 24/2013, of December 26, on the Electricity Sector, drafted in the following terms: «8.bis. The remuneration methodologies for transmission and distribution activities must contemplate economic incentives, which may have a positive or negative sign, to improve the availability of facilities, to guarantee the appropriate level of indebtedness in order to have a sustainable debt and other goals.” 3. Article 20.9 of Law 24/2013, of December 26, on the Sector is modified. Electrical, being drafted in the following terms: «9. Companies that carry out regulated activities may not grant loans, provide guarantees or endorse loans from other group companies or related parties that carry out liberalized activities or other activities outside the Spanish electricity sector. Loans to companies of the same group whose purpose is centralized treasury management, without engaging in deregulated activities or other activities outside the Spanish electricity sector, are excluded.» 4. Section 1 of article 60 of Law 18/2014, of October 15, approving urgent measures for growth, competitiveness and efficiency, is worded as follows: "1. In the remuneration methodology for regulated activities in the natural gas sector, the costs necessary to carry out the activity by an efficient and well-managed company will be considered in accordance with the principle of carrying out the activity at the lowest cost for the gas system with homogeneous criteria in the entire Spanish territory, without prejudice to the specificities provided for the island territories. These economic regimes will allow obtaining a remuneration appropriate to that of a low-risk activity. The remuneration methodology for the activities of transportation, regasification, storage and distribution of natural gas must include the corresponding incentives, which may have a positive or negative sign, to guarantee the adequate level of indebtedness that allows having a sustainable debt structure and other goals." Second final provision. Modification of Law 15/2012, of December 27, of Fiscal measures for energy sustainability. The second additional provision of Law 15/2012, of December 27, on measures taxes for energy sustainability, is worded as follows: "1. In the General State Budget Laws of each year, an amount equivalent to the sum of the estimate of the annual collection derived from the taxes included in the Law on fiscal measures for energy sustainability. 2. The contributions indicated in the previous section will be made through monthly releases for a maximum amount of the amount of effective collection for said taxes and fees, in the immediately preceding month, according to certification of the competent bodies of the Ministry of Finance. The contribution to be made based on the collection of the month of December will be charged to the budget of the following year.» Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62049 Third final provision. Modification of Law 3/2013, of June 4, on the creation of the National Commission for Markets and Competition, in relation to the communication on the taking of shares of groups of companies designated as manager of the electricity transmission network and natural gas. Section 2 of the ninth additional provision of Law 3/2013, of June 4, creating the National Markets and Competition Commission, is worded as follows: "two. The companies that carry out activities included in letters a) and b) of section 1 above, must notify the Secretary of State for Energy of the Ministry for the Ecological Transition and the Demographic Challenge of the acquisitions made directly or through companies they control in accordance with the criteria established in article 42.1 of the Commercial Code, of shares in other commercial companies or of assets of any nature that, based on their value or other circumstances, have a relevant impact or significant influence on the development of the activities of the company that communicates the operation . In the same circumstances indicated in the previous paragraph, the acquisitions made by the parent companies of the groups of companies designated as manager of the electricity and natural gas transmission network, as well as any other companies that form part of said groups, must also be reported. groups.” Fourth final provision. Modification of the revised text of the Law on Land and Urban Rehabilitation, approved by Royal Legislative Decree 7/2015, of October 30. Letter c) of article 20.1 of the consolidated text of the Law on Land and Urban Rehabilitation, approved by Royal Legislative Decree 7/2015, of October 30, is amended, which is worded in the following terms: «c) Address, taking into account the gender perspective, in land use planning, the principles of universal accessibility, mobility, energy efficiency, guarantee of water supply, prevention of natural risks and serious accidents, prevention and protection against pollution and limitation of its consequences for health or the environment. In considering the principle of prevention of natural risks and serious accidents in land use planning, the risks derived from climate change will be included, among them: a) Risks derived from sea pounding, coastal flooding and sea level rise. b) Risks derived from extreme weather events on infrastructures and essential public services, such as water and electricity supply or emergency services. c) Risks of mortality and morbidity derived from high temperatures and, in particular, those that affect vulnerable populations. These data will be offered disaggregated by sex. d) Risks associated with the loss of ecosystems and biodiversity and, in particular, the deterioration or loss of goods, functions and essential ecosystem services. e) Fire risks, with special attention to risks at the interface urban-forestry and between infrastructures and forest areas.” Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62050 Fifth final provision. Modification of Law 50/1997, of November 27, of the Government. A new letter h) is introduced in article 26.3 of Law 50/1997, of November 27, of the Government, with the following wording: «h) Impact due to climate change, which must be assessed in terms of mitigation and adaptation to it.» Sixth final provision. Regulatory development. The Government is empowered so that, within the scope of its powers, it approves as many provisions as are necessary for the application, execution and development of the provisions of this law. Seventh final provision. Regulatory development of Law 43/2003, of November 21, of mountains. The Government will approve, within a maximum period of one year, the necessary regulations for the development of Law 43/2003, of November 21, on Forestry, among them, the mandate of its article 65 "Incentives for environmental externalities" of regulate the mechanisms and conditions to encourage the positive externalities of managed forests. Eighth final provision. Sustainable mobility and transport financing bill. In order to reinforce and complement compliance with the emission-free mobility promotion measures established in this law, the Government will present a bill on sustainable mobility and transport financing to the Parliament. Ninth final provision. Modification of article 38 bis of Law 25/1964, of 29 April, on Nuclear Energy. A new paragraph is added to section 1 of article 38 bis of Law 25/1964, of 29 April, on Nuclear Energy, with the following wording: «The construction, expansion, repair, conservation, exploitation, dismantling or any other works that, in execution of the General Radioactive Waste Plan approved by the Government and charged to the Fund for its financing, the National Radioactive Waste Company, SA, SME (Enresa), by itself or through third parties, must carry out for the provision of the essential public service entrusted to it, constitute public works of general interest.» Tenth final provision. Self-consumption photovoltaic installations in horizontal property communities. The Government will propose the modification of the Horizontal Property Law to facilitate and make more flexible photovoltaic installations for self-consumption in horizontal property communities within a maximum period of one year from the approval of this law. Eleventh final provision. Reform of the electricity sector. Within a period of twelve months from the entry into force of this law, the Government and the National Commission of Markets and Competition, in the exercise of their respective powers, will present a proposal to reform the regulatory framework on energy that promotes: a) The participation of consumers in energy markets, including demand response through independent aggregation. b) Investments in the generation of variable and flexible renewable energy, as well as such as distributed generation. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62051 c) Energy storage. d) The use of electricity networks, the use of flexibility for their management and local energy markets. e) The access of energy consumers to their data. f) Innovation in the energy field. Twelfth final provision. Carbon footprint and emission reduction plans greenhouse gases from companies. 1. The Government, prior agreement of the Government Delegate Commission for Economic Affairs, will establish, within a year from the entry into force of this law, the typology of companies with activity in the national territory that must calculate and publish its carbon footprint, as well as the initial terms from which said obligation will be enforceable, its periodicity and any other elements necessary for the configuration of the obligation. 2. Likewise, companies that, in accordance with the provisions of the previous section, are obliged to calculate their carbon footprint, must prepare and publish a plan to reduce greenhouse gas emissions. 3. The greenhouse gas emission reduction plan must include a quantified reduction objective over a five-year time horizon, together with the measures to achieve it. Companies will be able to voluntarily offset their carbon footprint. 4. The obligations derived from the previous sections will be specified by regulation through the modification of Royal Decree 163/2014, of March 14, which creates the carbon footprint register, compensation and carbon dioxide absorption projects . Thirteenth final provision. Competence titles. This law is issued jointly under the exclusive powers of the State provided for in article 149.1.13.ª of the Constitution, in terms of bases and coordination of the general planning of economic activity, in article 149.1.23.ª of the Constitution, on basic legislation on environmental protection, without prejudice to the powers of the Autonomous Communities to establish additional protection standards, and in article 149.1.25.ª of the Constitution, on the bases of the mining and energy regime. Likewise, this law is also issued under the exclusive powers of the State provided for in articles 149.1.15.ª in relation to the promotion and general coordination of scientific and technical research, in relation to article 36; 149.1.18.ª in relation to the basic legislation on contracts and administrative concessions, in relation to article 31; 149.1.20.ª in relation to the merchant navy, ports of general interest, airspace control, traffic and air transport, in relation to articles 13 and 16 and the fourth additional provision; 149.1.21.ª in relation to land transport that passes through the territory of more than one autonomous community, traffic and circulation of motor vehicles, in relation to article 14; 149.1.22.ª in relation to the legislation, management and concession of hydraulic resources and uses when the waters flow through more than one autonomous community, in relation to articles 7 and 19; 149.1.23.ª in relation to the basic legislation on mountains, forest exploitation and cattle trails, in relation to article 25; 149.1.24.ª in relation to public works of general interest; and 149.1.30.ª in relation to the conditions for obtaining, issuing and homologating academic and professional qualifications, in relation to article 35. Exceptions to the foregoing, due to their lack of a basic nature and exclusive application to the General State Administration, are some matters that are regulated in this law, such as ports under the jurisdiction of the State, public contracting, and disinvestment in products. fossil fuels. For their part, the regulations modified by the first to fifth final provisions and ninth are dictated by virtue of the competency titles that protect said norms. Machine Translated by Google STATE OFFICIAL NEWSLETTER #121 Friday May 21, 2021 Sec. I. Page 62052 Fourteenth final provision. Incorporation of European Union Law. This law partially incorporates, in relation to the installation of electric charging points, Directive 844/2018 of the European Parliament and of the Council, of May 30, 2018, which modifies Directive 2010/31/EU regarding the energy efficiency of buildings and Directive 2012/27/EU on energy efficiency. Fifteenth final provision. Entry into force. This law will enter into force on the day following its publication in the "Official State Gazette". However, for concession contracts in execution at the entry into force of this law, section 11 of article 15 will not enter into force until the regulatory provision that determines the obligations regarding the installation of points of electric recharging in order to guarantee sufficient supply conditions for electric vehicle traffic circulating on the aforementioned roads. So, I command all Spaniards, individuals and authorities, to uphold and enforce this law. Madrid, May 20, 2021. FELIPE R. The president of the Government, PEDRO SANCHEZ PEREZ-CASTEJÓN https://www.boe.es STATE OFFICIAL NEWSLETTER D. L.: M-1/1958 - ISSN: 0212-033X