What is CAE and how does it work? We explain how to obtain benefits.

Author: Laura Marín

CEO of Efitherma

What is CAE and how does it work? We explain how to obtain benefits.

Author: Laura Marín

CEO of Efitherma

CAE: Everything you need to know

What it is, how it works, and how to earn money

More and more people are wondering if they can benefit from the Energy Saving Certificate, better known as CAE. And the answer is yes… but with some caveats. We know that this issue raises many questions because the information circulating in Spain is, in many cases, confusing, difficult to access and, at times, contradictory.

If you are thinking about upgrading your heating or air conditioning system, this is something you should know: you could earn money by saving energy thanks to CAEs. Yes, you read that right. That’s why today we’ve decided to explain it the way we would have liked someone to explain it to us the first time: clearly, simply, and without technical jargon.

What is the CAE?

The CAE is the Energy Saving Certificate, an electronic document that certifies how much final energy has been saved by implementing an energy efficiency measure. For example:

Replacing a gas boiler with a heat pump.
Renovating a lighting system.
Optimise industrial processes.

Savings are measured in final energy (kWh), not in euros. But those savings have economic value.

We would like to thank Marta San Román, director of AFEC, for her presentation at the CONAIF 2023 Congress, where she offered one of the clearest explanations we have heard about this system. Her outline has been key to understanding the CAEs system in a simple and transparent way.

Why does the CAE have economic value?

Because there are large polluting companies (electricity companies, intensive industries, etc.) that are required by law to reduce their CO₂ emissions. One of the ways they can meet this obligation is by purchasing certified ‘energy savings’, i.e. buying the CAEs generated by others when they stop consuming fossil fuels, in other words, paying others for having saved energy.

It’s that simple. And if you install a heat pump instead of a gas boiler… you’re saving energy. Therefore, you can generate CAEs and obtain a financial benefit.

How does the CAE system work?

It depends on several factors:

End customer

Decides to upgrade their system and invest in energy efficiency. (For example, installing a heat pump.)

Installation company

It implements the measure and, in some cases, is also responsible for processing the CAE.

Verification company

Responsible for assisting with the entire bureaucratic process.

The Ministry

Officially certifies the savings achieved and issues the CAE for Ecological Transition and Demographic Challenge (MITECO), through the Institute for Energy Diversification and Saving (IDAE), with the participation of the autonomous communities.

The polluting company (obliged)

Purchase the CAE certificate.

Can Efitherma heat pumps generate CAE?

Yes, Efitherma heat pumps can generate CAEs. But it is important to clarify something: the CAE value does not depend solely on the equipment. It is not like a price tag that we put on the product. It depends on:

Which system you are replacing (gas boiler, oil boiler, etc.).
How much that previous system consumed.
The type of space where the installation is carried out (residential, hotel, industrial, etc.).

In other words, the same heat pump can generate more or fewer CAEs depending on the location and the system it replaces. For example, a heat pump that replaces a gas boiler in an old hotel can generate more CAEs (and more economic value) than the same pump installed in another location with lower previous consumption.

Can I benefit from the CAE in a new construction project?

In that case, it does not generate CAE.

Why? Because there are no savings compared to a previous system, and if there are no savings and no reduction in energy consumption and, therefore, CO2 emissions, there is no certificate. CAEs do not apply to new construction, only to renovations or replacements that involve a measurable and verifiable energy improvement.

Quick tips for understanding the Energy Saving Certificate (CAE)

It is not a subsidy.

CAES are not a subsidy; they are a way to monetise your energy savings.

Benefits

You can benefit financially from CAES by replacing your old system.

How much do I earn?

Its value depends on the previous system and the context of the installation.

Compatibility

They do not apply to new installations, only to renovations of polluting systems.

Would you like to know how to obtain the CAE certificate in Spain? For more detailed information and to apply for the CAE certificate, click here.

How can you tell if your project can benefit from the CAE?

Determining whether a facility can generate Energy Saving Certificates (CAEs) depends on whether this new solution significantly reduces energy consumption and whether the facility is correctly sized and documented.

At Efitherma, we manufacture highly energy-efficient solutions to generate ACEs and become an additional source of profitability for your project.

Furthermore, at Efitherma we accompany you throughout the entire process: we analyse your current installation, advise you on the potential energy savings and, if you meet the requirements, we help you process the certificates. You will not be alone when dealing with a system that, even today, remains complex and little known to most users.