The Heat Auction offers financial support to industrial companies looking to replace fossil fuels with renewable heat. For some industries, this support could make the difference between moving forward with an investment today or postponing it for several years.
However, preparing an application takes time. The requirements are detailed, deadlines are tight, and much of the official information is only available in English. Through these events, Caloran aims to make the process easier to understand for Spanish companies considering an investment in renewable heat.
About Caloran
Caloran (CALORAN ENERGIA INDUSTRIAL, S.L.) is a Spanish company that helps industrial customers reduce their dependence on fossil gas by identifying and developing renewable heat solutions suited to their operations.
Its work includes analysing industrial heat demand, selecting suitable technologies and supporting customers with their Heat Auction applications. Depending on the needs of each facility, solutions may combine solar thermal, heat pumps, electric boilers and thermal energy storage.
Caloran works with technology suppliers, including Absolicon and Savosolar, as well as local engineering partners in Spain.
Why the Heat Auction matters for Spain
Spain performed particularly well in the first Heat Auction pilot in 2025, with more selected projects than any other participating country. The Spanish government also contributed an additional EUR 50 million in national funding.
The upcoming IF26 auction has a budget of EUR 1 billion and introduces several changes that could make the scheme relevant to more industrial companies.
- Lower temperature threshold: Industrial process heat above 80°C is now eligible, compared with 100°C in the first round.
- Financial support: Selected projects receive a fixed premium for each tonne of CO₂ avoided, based on verified heat output, for up to five years.
- Additional support for renewable heat: Direct renewable heat technologies, including solar thermal, receive a 25% bonus compared with electric boilers.
- Application period: The auction is expected to open in early December 2026.
Companies do not need to have a fully developed project to submit a bid. They do, however, need to demonstrate that their plans are realistic. This includes a feasibility study, a strategy for obtaining permits, grid connection arrangements where necessary, and a letter of intent from a bank.
For companies considering participation, it is therefore important to begin preparations well before the application deadline.
What will the events cover?
The events will be held in Spanish and are intended for industrial companies with significant process heat demand, particularly those operating in the food and beverage, pulp and paper, and chemical sectors.
Caloran will explain how the Heat Auction works, what has changed for IF26, and which technologies are eligible for support. The sessions will also cover how solar thermal, heat pumps, electric boilers and thermal energy storage can be combined to meet industrial heat demand.
Another important topic is the application itself: what companies need to prepare, how bids are evaluated, and what to consider before submitting a proposal.
Register for these events
- Language: Spanish
- Format: Online event
- Dates: Starting November 17, December 1 and December 15, 2026. More dates will follow.
- Cost: Free of charge.
You can register directly here, or read more and register at: caloran.es/en/heat-auction
Remember that these events will be held in Spanish
Related
European Commission | Innovation Fund >>
Solar heat gets a 25% bonus and flat-plate collectors qualify in this year’s heat auction >>
