Spanish energy company Iberdrola is to install Madrid’s first solar photovoltaic self-consumption system for a residential community.

The 20 kW installation comprises 60 photovoltaic solar panels and will be located on the roof of a residential building in the Retiro district.

It will supply energy for the building’s shared services and to 30 households – who will also be paid for any surplus energy generated back to the grid.

Iberdrola said that it expects the cost of electricity for shared services will fall by 60 per cent while each resident should see a reduction of around 30 per cent in their individual electricity bills.

Pablo Pirles, who heads Global Smart Solar at Iberdrola, said that there is now “increasing demand from the public and from businesses for cleaner and smarter energy supplies. In cities especially, shared residential projects are going to become much more common, and we see significant potential for many more projects.”

He added: “As we move towards a zero-carbon world, we need to maximize all potential sources of clean power coming on to the system. Schemes like this deliver genuine environmental benefits, as well as financial benefits for communities.”