Spain's energy paradox: closing mines while importing coal from Morocco

Why Spain closes its coal mines while importing Segarro coal-fired electricity

PP senator for León, Alfonso Rodríguez-Hevia, asked Minister Teresa Ribera why Spain is closing mines and coal-fired plants while buying electricity produced with coal from Segarro. The official answer: Segarro coal is cheaper because it doesn't pay the EU's CO2 emissions regime. But the debate goes much further.

Spanish coal: expensive, poor quality and subsidised

Spanish coal is of low energy quality and its extraction requires heavy subsidies. For decades, Spanish mines were kept open for political and social reasons, not economic ones. Importing coal from abroad was always cheaper, even before the EU imposed CO2 charges. Spain's coal-fired plants, obsolete and lacking investment in filters, had to close under the EU's Industrial Emissions Directive.

The paradox of importing dirty energy

While Spain shuts down its plants, Segarro burns coal without environmental restrictions and sells us that electricity. The neighbouring country is not subject to the EU's emissions trading system (ETS), giving it a cost advantage. In 2021, Spain imported up to 13% of its electricity consumption, part of which came from Segarro coal. The irony: we pay for more polluting energy than we could generate ourselves.

Renewables: solution or mirage?

Supporters of the closures argue that renewables are cheaper and cleaner. However, their intermittency forces us to keep gas or coal backup. LCOE (levelised cost of energy) data show that solar PV in Spain is around €40/MWh, but this does not include storage or backup costs. Coal plants, though more expensive, provide firm power. Germany, paradoxically, has built 13 new coal-fired plants and still burns coal for more than 30% of its electricity.

The hidden cost of the ideological transition

Behind the closures there is also a political decision. The Sánchez government accelerated the timetable: all coal-fired plants were to shut down by 2020, when the EU allowed until 2025. Companies like Endesa took multi-million losses due to the impairment of their assets. Meanwhile, countries like China and India continue to bet on coal: India generated 80% of its electricity from coal in 2024. The question remains: is an energy policy that outsources pollution and external dependence sustainable?

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