Spain is considering several strategies to manage the excess electricity and promote further electrification of the economy. These strategies include:
Accelerating the electrification of the economy: The Spanish government has set a target of making 34% of the economy reliant on electricity by 2030. This involves moving away from fossil fuels and encouraging the use of electricity in sectors such as transportation and heating.
Encouraging the use of electric vehicles: Spain aims to increase the adoption of electric vehicles, which currently make up around 6% of vehicles on the road. This will help to reduce the dependency on fossil fuels and increase the demand for electricity.
Promoting the installation of heat pumps in homes: Spain is currently trailing many of its European neighbors in the installation of heat pumps. Increasing the use of heat pumps will reduce the demand for fossil fuels in heating systems and increase the demand for electricity.
Phasing out nuclear plants more quickly: By accelerating the phase-out of nuclear plants, Spain can create more room for renewable energy sources in the electricity mix, which will help to better balance supply and demand.
Increasing energy storage capability: Improving energy storage technology will enable Spain to store excess electricity generated by renewable sources during times of low demand and release it back into the grid when demand increases.
Engaging more industries in demand-side management: By encouraging industries to be more flexible in their energy consumption, Spain can better match electricity generation with demand throughout the day and night, reducing the risk of excess electricity generation.
According to José Donoso, the CEO of UNEF (the Spanish Photovoltaic Association), the COVID-19 pandemic had a positive impact on Spain's renewable energy sector, particularly solar energy. He explained that during the pandemic, people saved money and had more time to consider investments. As a result, many decided to invest in solar panels for their roofs, which led to a surge in demand for renewable installations. Additionally, the Spanish government introduced subsidies for renewable installations and set ambitious targets for renewable energy, further boosting the sector's growth.
The landscape of renewable energy development in Spain, especially in Castilla-La Mancha, has been rapidly growing over the past few years. The country has seen a significant increase in renewable energy infrastructure, particularly in wind and solar power. Spain now ranks as the EU member state with the second-largest renewable energy infrastructure, just after Sweden.
In Castilla-La Mancha, the overall installed power capacity represents 11% of the national total2. The region has been a significant contributor to Spain's renewable energy output, with more than half of the energy generated in the area coming from renewable sources2. Wind energy has been the prime renewable source in recent years, with the region's wind generation capacity doubling since 2008.
Wind turbines have become more visible in the region's skyline, with the Sierra del Romeral windfarm, operated by Spanish firm Iberdrola, as a prime example. The Spanish Photovoltaic Association (UNEF) has also played a significant role in representing the solar panel sector in the country.
The Spanish government, under Prime Minister Pedro Sánchez, has set ambitious targets to cover 81% of Spain's electricity needs with renewables by 2030. However, there are concerns regarding an imbalance between supply and demand, leading to a surplus of electricity at times. This has resulted in low electricity prices, which can be problematic for attracting investment in the renewable energy sector.
To address this issue, experts suggest accelerating the electrification of the economy, moving away from fossil fuels, and investing in energy storage capabilities.