Spain's shrinking industry halts as renewables falter

Lower summer wind output and a 35% cut in curtailment payments are bringing Spanish industry to a standstill. Meanwhile, nuclear's future is being decided behind closed doors.

English · Original discussion in Spanish · Published

Industry stops when the wind stops blowing

With the seasonal drop in wind during summer, Spanish industry is once again facing production shutdowns. Car plants in Valencia, Navarra and Zaragoza, already operating on razor-thin margins, suffer outages when wind power falls. On top of this comes a 35% cut in curtailment payments, making the bill even more expensive for large consumers.

What industrial fabric remains in Spain is a skeleton: chemicals in Tarragona, steel in Asturias and Cádiz, and an agrifood sector that is holding on. All of them depend on a stable and cheap electricity supply. With nuclear seen as doomed and wind power intermittent, the equation doesn't add up.

Political parties – PSOE, PP, Junts – are turning nuclear energy into a political plaything. Meanwhile, large electrolyzers and arc furnaces are shutting down. And the striking figure: curtailment payments have been cut by 35%, precisely when they are most needed to maintain grid stability.

In this scenario, industry is not stopping for lack of demand: it is stopping because of an energy model that does not match the reality of a country that needs firm electricity around the clock.

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Summary of a discussion on Burbuja.info - Foro de economía, actualidad y política., translated from Spanish and reviewed before publication. Read the full discussion (10 replies).

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