Today, the world is witnessing an extraordinary transformation within Spain’s renewable energy sector. Experts are forecasting a boom in solar capacity and solar generation within the next decade. According to a new report from consulting firm GlobalData, renewable generation in Spain will increase by 131.2 terawatt-hours (TWh) in 2024. By 2035, that number is expected to grow to a staggering 313.6 TWh. This increase reflects a robust compound annual growth rate (CAGR) of 8.2%, underscoring the country’s commitment to sustainable energy solutions.
Spain’s cumulative renewable capacity will reach 218.1 gigawatts (GW) by 2035. This growth will be achieved with a strong CAGR of 9.1% over that period. Fortunately, Spain is already on a path to strategically expand its clean energy infrastructure. By 2030, the country plans for 81% of its electricity generation to be from renewable sources. Spain is committed to carbon neutrality by 2050. This ambitious goal is evidence of the country’s deep commitment to the global fight against climate change.
Spain’s clean energy strategy benefits from its lack of reliance on Russian gas. It benefits from a diverse approach to importing liquefied natural gas. The country has internal plans to build new interconnections with neighbors France and Portugal. This action will increase the security of our supply and increase the flexibility of our grid. These programs are critical to creating the flexibility we need to integrate more renewable energy sources and deliver a more reliable, resilient energy supply.
The Spanish central government has passed waves of policies to bolster its clean energy transition. The updated National Energy and Climate Plan (PNIEC) goes further, setting ambitious strategies to attract investment in the sector. At the same time, the Renewable Energy Economic Regime (REER) reinforces this checklist. These policies have created rock-solid investor confidence, doing their part to accelerate the hammer down deployment of utility-scale solar projects.
Moreover, the competitive auction framework established under REER is facilitating the rapid implementation of solar energy projects across the country. Today, Spain is a strong proponent of distributed generation. The recently passed Self-Consumption Law provides various incentives that drive rooftop solar installations in cities as well as in rural areas.
Spain’s ambitious national targets do not stop at solar and wind electricity either, with an investment of $11 billion planned for hydrogen production. The government’s commitment to grid modernization and cross-border upgrades is crucial for achieving both its 2030 and 2050 energy targets. By enhancing infrastructure and integrating renewable sources, Spain is positioning itself as a leader in the clean energy transition within Europe.