The Government approves a New Royal Decree on mandatory Carbon Footprint

On March 18, 2025, the Council of Ministers approved the Royal Decree on Carbon Footprint, requiring many companies and the entire General State Administration to calculate, reduce, and publish their environmental impact.

You might have a lot of questions now: Who does it apply to? From when? What does this mean? That’s exactly why we’re here—to explain it to you.

What is the goal of this change? The goal is to reduce greenhouse gas emissions and promote a more sustainable economy.

With mandatory carbon footprint, companies now have new obligations and challenges to meet in order to comply with Spain’s legal and environmental framework.

What is the mandatory carbon footprint, and why does it matter?

If you don’t know what it is, don’t worry—we’ll give you a quick summary.

The carbon footprint measures the amount of greenhouse gases produced by an activity, company, or organization. Until now, measuring it was optional—you did it if your suppliers required it, or you might not have measured it at all. With this Royal Decree on Carbon Footprint, calculating and reducing emissions is no longer optional.

It is now a legal requirement aimed at:

• Improving business competitiveness
• Reducing environmental impact
• Aligning Spain with international climate change goals

The Vice President of the Government and Minister for the Ecological Transition and the Demographic Challenge, Sara Aagesen, stated:

“Measuring the carbon footprint allows us to reduce emissions, improve production processes, become more efficient and competitive, drive innovation, and reduce dependence on fossil fuels.”

Is my company required to calculate its carbon footprint?

This Royal Decree affects a group of companies and organizations that were already required to monitor and publish their non-financial information under Law 11/2018.

This includes:

• Companies with more than 500 employees.
• Companies that consolidate financial statements.
• Entities classified as public interest organizations.
• Large enterprises.
• The entire General State Administration, including ministries, autonomous bodies, and Social Security entities.

Not required? Don’t relax just yet…

Even if your company is not yet required to comply, that doesn’t mean it won’t be affected. More and more businesses are measuring and reducing their carbon footprint, and your clients, suppliers, and business partners will demand it.

If you don’t adapt, you risk losing opportunities to competitors who do.

We are in a market where sustainability is a decisive factor—falling behind is not an option. If your company doesn’t take action, your competition will. The real question is not whether you should measure your carbon footprint, but how long you can afford not to.

Key Obligations of the Royal Decree on Carbon Footprint

What does this new regulation require? Companies and organizations must now take on new environmental responsibilities, including:

• Measuring their carbon footprint annually and officially registering it.
• Developing an emission reduction plan with specific strategies and clear objectives.
• Publishing results to ensure transparency and accountability.
• Offsetting emissions through CO₂ absorption projects recognized by the government.

Carbon Footprint Registry: Impact and Evolution

Since 2014, Spain has had a Carbon Footprint Registry, where companies and institutions voluntarily registered. However, with this new regulation, the registry will expand, and more businesses will be included.

So far, on a voluntary basis, the registry has achieved:

• 14,250 registered carbon footprints.
• 23,348 hectares of reforested land.
• 154,406 tons of CO₂ offset.

With the new regulation, the registry will likely include:

• New types of CO₂ absorption projects.
• Carbon footprint measurement for events and specific activities.
• Better integration with regional registries to ensure more effective data management.

Managing ESG Data: The difference between competing or falling behind

The Royal Decree on Carbon Footprint is not just a legal requirement—it’s a strategic opportunity. Sustainability is no longer optional.

Measuring and reducing the carbon footprint can make the difference between leading the market or losing ground. Companies that fail to manage their ESG (Environmental, Social, and Governance) data risk falling behind.

Meanwhile, those that take control will see clear benefits:

• Operational cost savings through improved energy efficiency.
• Regulatory compliance, avoiding penalties and improving access to public contracts.
• Enhanced brand reputation, showing a real commitment to sustainability.
• Access to tax and financial incentives for emissions reduction.
• Increased competitiveness in international markets where sustainability is a key requirement.

One thing is clear: businesses that act now to control their sustainability will secure their place in the future.

Deadlines and Consequences of Non-Compliance

When does this take effect?

For companies and organizations required to report, compliance is immediate. There will be regular reviews to ensure compliance and track emission reduction plans.

Failing to comply could result in:

• Fines and financial penalties for non-compliance.
• Difficulties in securing public contracts, as sustainability criteria become increasingly necessary.
• Damage to corporate reputation, affecting customer and investor trust.

Turn Sustainability into Your Competitive Advantage

Complying with the regulation is just the first step. The companies that go beyond compliance are the ones that stand out in the market. At Dcycle, we help transform sustainability into a strategic advantage.

With our technology and team of experts, you can:

• Easily and automatically measure your carbon footprint.
• Identify opportunities for improvement.
• Report on additional sustainability frameworks you might not yet know about.

With Dcycle, you won’t just comply with regulations—you’ll leverage your ESG data to stand out, enhance your reputation, and unlock new business opportunities.

It’s not just about compliance—it’s about becoming a market leader.

How companies should adapt to the Royal Decree on Carbon Footprint

To comply with the mandatory carbon footprint regulation, here are some key steps:

• Assess your environmental impact and develop a clear strategy for measuring your carbon footprint.
• Use expert tools like Dcycle to create effective reduction plans and ensure accurate reporting.
• Invest in renewable energy and energy-efficient technologies.
• Explore opportunities to offset carbon emissions through sustainable projects.
• Integrate sustainability into your corporate strategy to ensure long-term compliance.

With a solution like Dcycle, your company won’t just meet legal requirements—it will maximize ESG data, unlock new business opportunities, and maintain a leadership position in an increasingly sustainability-driven market.