Spain on target for 2020 - PES

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Spain on target for 2020 - PES
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   Spain on target for 2020
   Wind energy has set two new records in 2011: in March, it produced
   more electricity than in its history and, for the first time, it was the technology
   that generated more power in Spain than any other resource.

   Spanish renewables generation over the first         Wind energy, and specifically the rapid            – Spain´s TSO – and the wind sector. All this
   two months of 2011 covered 38 per cent of           deployment of farms slowed down the need          translates into the effectiveness of the
   national consumption, with wind producing           for more expensive technologies that use          Spanish model.
   nearly half of this, according to statistics from   fossil fuels. This, added to the high water
   grid operator Red Eléctrica de España (REE).        resource in 2010, meant that electricity prices   Like Spain, Germany has an incentive
   To give these figures some context, during           in the Spanish market were among the              system for wind energy based on
   March wind energy in Spain produced enough          cheapest in Europe last year. This was the        environmental premiums (feed in tariff),
   electricity to meet Portugal’s monthly              main reason why Spain exported electricity to     considered by the European Commission to
   consumption.                                        France in 2010 for the first time in an annual     be the most efficient in Europe in economic
                                                       period. The average annual cost of the            terms. New German wind farms perceived
   “This historic milestone reached by wind            Spanish electricity market in 2010 was            last year 92 Euros per MWh, compared to
   energy shows that this technology is not only       38 €/MWh, compared to the 47.5 €/MWh              the average 77 Euros that received the
   indigenous, clean and competitive, but also         in France.                                        Spanish ones. Spain is, together with
   capable of supplying already 13 million                                                               Portugal, the European Union country with
   average Spanish households” said José               The wind figure is nearly half a percentage        lower wind tariffs.
   Donoso, President of the Spanish Wind               point up on its 16.5 per cent penetration level
   Energy Association (AEE).                           over the whole of 2010, which consolidated        Given the proven effectiveness of the
                                                       that technology as the third main generator in    system, the Spanish wind industry believes
   In fact, a report from the International Energy     Spain behind gas (30.4 per cent) and nuclear      that the new regulation to be issued by the
   Agency (IEA) shows that Spain is                    (20 per cent). The Spanish government is          Government should be based on the current
   the fourth largest net exporter (it exported        targeting 20.8 per cent wind penetration          system. For wind energy to continue its
   more than it imported) of the European Union,       by 2020.                                          development and Spain to meet the 2020
   after France, Germany and Czech Republic. In                                                          European targets, the Government needs to
   total, Spain exported electricity worth of 8.3      National wind association Asociación              now set the new regulatory framework to
   TWh in 2010. Last year, there were only six         Empresarial Eólica (AEE) sees growing             replace the Royal Decree 661/2007, which
   European countries that exported electricity.       penetration as proof of what it calls the         expires at the end of 2012. The installation of
                                                       sector’s “world class grid integration            wind farms requires long maturation periods
   The figure is just two percentage points             technologies”.                                    (six to eight years), so companies need to
   behind the EU’s binding target for the country                                                        know now the conditions under which the
   by 2020, set at 40 per cent. It is also exactly     Unlike Germany – who Spain will be battling       sector can be developed from 2013.
   double the penetration achieved by nuclear          for the top spot in the table of Europe’s wind
   power and just short of doubling top-dog            energy producing countries – 2010 was a year      Further to the economic benefits, as well as
   generator, combined cycle gas, which                of high levels of wind. Spain also enjoys         the obvious environmental benefits brought
   covered 21 per cent.                                comparatively lower generation costs. It has      by saving many thousands of tons in CO2,
                                                       more modern wind turbines than Germany            wind energy in Spain employs a massive
   Combined small and large hydro production           (the wind energy market began to develop          135,000 people, and as industry has grown
   topped the penetration chart for renewables         later than Germany) and it has a better grid      up around the booming market, Spain now
   at 19 per cent over January and February,           integration system thanks to the work carried     exports 2 billion Euros of technology, and
   closely followed by wind, at 17 per cent.           out between Red Eléctrica de España (REE)         invests over 150 Million Euros in research

62 PES: Europe
Spain on target for 2020 - PES
COUNTRY FOCUS

and development, with Gamesa, the leading          “Future growth in Spain depends heavily on      world leader in the design, manufacture
Spanish turbine manufacturer this year             the new regulatory framework”, says Franco.     and maintenance of wind turbines –
opening a technology centre in Singapore           The government has set the goal of 35,000       inaugurating its first manufacturing base in
that will work with Singapore universities and     MW worth of onshore wind turbines and 750       Brazil, in the town of Camaçari in north-
the Singapore Agency for Science to focus          MW of offshore turbines installed by 2020.      eastern Bahía this year. With this
on advanced materials research. “As leaders        These goals are not very ambitious, given       development, the company has begun to
in technology, we are determined to offer our      Spain’s previous record of expansion, but       make wind turbines in Brazil, just six
customers the best solutions for generating        reasonable considering the economic             months after it announced its decision to
wind energy,” said Gamesa Chairman Jorge           circumstances.                                  establish a manufacturing and sales
Calvet at the facility’s opening ceremony,                                                         presence in this country with the ultimate
“We are convinced that our alliance with           Measures taken to address the challenges        aim of making Brazil one of its core
these institutions will help us to remain at the   presented by the economic climate include a     medium-term growth markets.
forefront of advanced materials research, a        feed-in-tariff system which has helped the
field in which our new partners are likewise a      industry through the difficult times. Many       With productive capacity of 400 MW,
global benchmark.”                                 industry representatives agree that there is    Gamesa’s new plant assembles nacelles for
                                                   still a large untapped potential for the        2.0 MW wind turbines (G9X and G8X).
In spite of the fact that Spain is facing severe   onshore wind industry in Spain, both in         Gamesa’s industrial activity in this Brazilian
economic difficulties, an ambitious decision        terms of locations and grid infrastructure.     town will create 100 direct jobs and will
to further support the development of                                                              contribute to the development of the
renewable energy sources could be on its           Looking to the future of wind energy in         Brazilian wind power industry. Ultimately,
way. According to Spanish newspaper Cinco          Spain, there are factors affecting the          local suppliers will account for as much
Días, the Spanish government plans to              industry that will need to be addressed as it   as 60 per cent of the components used by
quintuple its financial support for the use of      moves forward. A more detailed prediction       the company to produce its wind turbines
renewable energy sources such as solar and         of meteorological information could             in the Brazil.
wind power. The country is going to spend          increase efficiency of wind turbines,
€18.5 billion on renewable energy projects         allowing electric companies and wind farm       The plant in Brazil follows on from
from 2011 to 2020, a yearly increase in the        operators to predict with a high level of       Gamesa’s fifth factory in China in the city of
support to the industry ranging from €529          accuracy when wind will pick up and slow        Da’an in Jilin province, one of the nation’s
million to €2.65 billion in 2020.                  down. The capability of the wind farms          most important wind resource hubs. The
                                                   network to hold all the electricity harnessed   facility, which will assemble 2 MW nacelles
In the past, the political support in Spain for    by wind power, predominantly in off-peak        for Gamesa’s G9X range, will initially have
renewable energy projects has been very            times, the cost of energy, and the              annual capacity of 500 MW.
strong, but the new regulatory framework           environmental effect that the abundance
will give the Spanish government the               of wind farm development in Spain               This new facility reinforces Gamesa’s
“opportunity to show how strong its support        could have.                                     position in China, where it already has four
will be in the coming years”, says Sonia                                                           factories (blades, generators, nacelle and
Franco, Communications Director for the            Away from home, the Spanish wind turbine        gearbox assembly) in Tianjin province, the
Spanish Wind Power Association                     industry has increasingly looked to expand      company’s largest manufacturing base
(Asociación Empresarial Eólica).                   its operations abroad with Gamesa – a           outside Spain.

                                                                                                                         www.peswind.com 63
Spain on target for 2020 - PES
COUNTRY FOCUS

     Setting the benchmark                              would wreak havoc on birds’ migratory           municipal licence awarded for its
                                                        patterns, obstruct navigation channels, and     construction to be null.
     In just a decade, Spain has gone from              blight the coastline.
     producing two per cent of its energy from                                                          The wind farm is in the Serra del Tallat, and
     renewables to nearly 20 per cent, with much        As with most opposition to wind farm            the order to demolish comes following the
     of this coming from wind power generation.         developments in Europe, it is often a           complaint from the protest group ‘Salvem El
     Currently, wind power in Spain generates           question of people being in favour of wind      Tallat’, They criticised the visual impact of
     enough electricity to cover the consumption        energy as long as the farm is not built on      the windmills and their effect on migratory
     of 10 million families.                            their doorstep. The system for paying           birds, and notes an environmental study
                                                        compensation for the implementation of          from University of Barcelona which declares
     Spain is geographically well suited to wind        wind farms pays only to the municipality in     the sierra to be important.
     energy generation; an abundance of open            which the farm is sited, instead of to every
     space with relatively low population levels        municipality which can see it, which has        In a statement, the judge stated that the
     means a reduced impact on local                    seen growing opposition to new                  building permit for construction of the wind
     communities, and as the country has come           developments that sit on regional boundaries    farm is null and void since it was granted
     relatively late to the renewables market           – allowing farms to be developed in close       without any prior plan to establish a
     (installing much of their technology in the last   proximity to local populations without proper   municipal general reservation of land for this
     ten years), Spain enjoys far more modern,          consultation with communities.                  purpose. The Town Hall in Vallbona de les
     and therefore more efficient technology.                                                            Monges has now been ordered to return the
                                                        While it may seem like Spain is charging        land to its original state.
     Spain has enjoyed far less opposition to           ahead and setting the benchmark for the
     wind farm development than many other              rapid deployment of wind farms, a recent        The farm started to generate 49.5 MW of
     European countries, though it is not without       decision to dismantle an already operational    power from its 80m high windmills at the end
     its critics. Recently, there has been              farm in Spain sends a clear warning that        of 2007 after an investment of 50 million, and
     increasingly vocal support against certain         proper processes must be followed in the        the company concerned says it will appeal to
     planned projects, largely on historical or         implementation of these farms - even in a       the Catalan High Court. Clearly, Spain’s
     conservational grounds. The sites that have        country that appears to have fully embraced     booming renewables industry, while a great
     met with the greatest hostility from local         the technology. The judge ordered that          success, is still subject to the pressures that
     groups are offshore developments – the             most of a 33 windmill wind farm be              have hampered other countries in developing
     arguments against claiming the turbines            demolished in Lleida, considering the           a successful wind energy industry.

64 PES: Europe
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