On September 6, theDecree Law 6/2025, of urgent measures to accelerate strategic projects that contribute to the economic transformation of the Balearic Islands(hereinafter,DL 6/2025).
The purpose of this standard is to facilitate public and private investment in strategic projects in the Balearic Islands that contribute to its economic transformation. To this end, it establishes a framework for preferential processing, administrative simplification and support for promoters of private projects declared of special strategic interest, while simplifying and unifying the regulations on investments and declarations of special interest.
In our opinion, this is an interesting rule with great potential, which may be attractive to private operators interested in investing in our islands. It can also contribute to streamlining important public investments in the Balearic Islands, which are often slowed down by the complexity of their urban planning and administrative processing.
Below we review the main new features of DL 6/2025:
A) Strategic projects of private initiative
The art. 15 of DL 6/2025 provides that those investments can be declared PEIE \\\”with special relevance and contribution to competitiveness, the transformation of the economic model, sustainable development or social well-being\\\” that fall into one of the following categories:
a) Industrial investments that have the foreseeable result of \\\”significant and sustainable expansion or consolidation of the Balearic industrial fabric, or the adoption of measures aimed at guaranteeing the viability of a company or an industrial sector exposed to risks to ensure its continuity\\\”.
b) Investments that provide added value in innovative or technological sectors, that renew the productive pattern, improve competitiveness or favor territorial cohesion and socioeconomic development.
c) Initiatives that strengthen the knowledge society, research, universities, innovation and the qualification of human capital.
d) Educational, cultural, sports, health, social or mobility infrastructure or equipment projects.
e) Circular economy initiatives, eco-innovation, environmental sustainability, climate neutrality and improvement of the water cycle and water resilience.
f) Projects linked to agricultural uses in accordance with regional sector regulations.
g) Any other aligned with the strategic orientations of the Government of the Balearic Islands in the strategic investment planning instrument or in regional sectoral standards.
The categories are deliberately broad, which gives the regional administration a relevant margin of appreciation to decide which initiatives can benefit from the strategic projects regime. This breadth is qualified by the provision that the specification of priorities must be carried out through the strategic investment planning instrument approved by the Government (art. 4 DL 6/2025).
According to art. 22, the main advantages of the declaration as PEIE are:
(i) Institutional supportthrough a project director and the Accelerator Unit, which act as a single window.
(ii) Priority processingbefore all administrations, with a general reduction of deadlines by half, including environmental evaluations.
(iii) Possibility of benefiting fromadditional economic and financial incentives, as well as preferably in regional financing lines.
(iv) Stimuli in terms of training and hiring, participating in the planning of training programs linked to the project.
In this way, DL 6/2025 seeks to encourage strategic private investment, ensuring that it is channeled in an agile and coordinated manner, with institutional support being an advantage that can be differential.
B) Strategic projects of public initiative
DL 6/2025 also facilitates the execution of projects promoted by public administrations. Through a specific regulation, it complements what is provided in art. 149 of the LUIB and repeals previous regulations that had partially addressed the matter, such as Decree-Law 1/2018.
The objective is to offer a more coherent and detailed framework, which allows unblocking projects slowed down by excessively lengthy urban planning and administrative procedures. Public projects declared PEIE will also enjoy preferential processing and will not be conditioned by the determinations of municipal planning. Practical examples could be new educational centers, health infrastructures or facilities for waste management and treatment.
It should be noted that DL 6/2025 allows certain investments promoted by Local Entities to acquire PEIE status and thus access preferential processing. However, a difference is established: according to art. 24, while Palma and Ibiza can promote projects in any area, the rest of the municipalities will only be able to do so in terms of the integral water cycle, energy efficiency or waste treatment. This marked difference raises doubts about its justification, since it gives Palma and Ibiza a much wider scope for action than the rest of the local entities, and in our opinion could raise problems of territorial equity.
C) Conclusion
In our opinion, DL 6/2025 represents a positive step forward in attracting and supporting investment in the Balearic Islands. Its commitment to administrative simplification, reduction of deadlines and the creation of support mechanisms offers greater certainty to private promoters and undoubtedly provides public administrations with a clearer path to promote projects of general interest.
At Araújo & Benetti we are closely following this new regulation and will carefully study its practical implications. If you have any questions about DL 6/2025 or about investment possibilities in the Balearic Islands, our office is at your disposal to advise you and accompany you throughout the entire process.
