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V0408-26 26 February 2026 · SG de Tributos Locales Criterion in force
OTRO · impuesto sobre actividades económicas

Pump stations classified as hydroelectric production with 50% quota reduction

A company asks how to classify and allocate the IAE quota for a reversible pumping station using solar and grid energy. The DGT determines that pumping activity is classified as hydroelectric production with a 50% quota reduction, and solar generation is separately taxed at the municipal level.

The question raised

In which heading of the Economic Activities Tax Schedules must the described activity be classified. How the quota is determined. In the event that the reversible pumping storage station is located in a different municipality from the photovoltaic plant, how is the quota distributed?

The DGT's ruling

The activity of a reversible pumping station is classified under heading 151.1 (Hydroelectric power production), taxed at 50% of the quota for said heading, regardless of the energy source used for pumping. If solar energy is also produced, it is classified under heading 151.4. The quota for the solar heading is paid in the municipality where the photovoltaic plant is located, and the quota for pumping in the municipality where the hydroelectric station is located.

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