Spain is facing a stark shift in its electricity mix as gas and coal continue to drive power generation amid an ongoing energy crisis. Fossil fuels are increasing their role in the country’s electricity system, aided by a collapse in hydropower generation due to drought, with hydropower down by 49 percent through August. Wind contribution has also declined by about 0.3 percent, while Spain is exporting record amounts to France because half of its nuclear capacity was shutdown, and to Portugal affected by drought. This characterization reflects reporting from El Periódico de España.
Gas-fired plants have more than doubled their output so far this year, now producing roughly a third of all electricity and surpassing nuclear and wind to become the dominant generation technology in Spain. Coal-fired plants, still in operation, have also doubled their production in the wake of higher electricity prices, returning to profitability in their final periods of operation.
The shift in the generation mix is slowing progress toward a cleaner electrical system and challenges Spain’s long-standing trend of reducing CO2 emissions. According to Red Eléctrica de España REE, the operator of the national electricity system, electricity companies increased CO2 emissions by about 45 percent from January through August.
From the start of the year until Friday, September 16, the Spanish electricity system emitted a total of 32.8 million tons of CO2. If current trends persist, emissions may exceed the 35.9 million tons released in 2021 within a few weeks, marking a notable near-term threshold for the country.
Spain has been committed to bending the emissions curve, a goal historically reinforced by a gradual reduction in coal use and a steady rise in renewable resources. The decline in coal has occurred over the past three years as renewables expanded and economic activity remained subdued during the pandemic period, contributing to a period of lower emissions overall.
Emissions spiked again in the summer, with notable peaks in July and August driven by the surge in gas-fired generation. In July alone, the country recorded emissions of 4.83 million tons of CO2, the highest monthly figure in three years, according to data from REE.
Overall, the current electricity landscape in Spain illustrates a transitional period marked by volatility in fuel sources, persistent drought impacts on water-dependent generation, and the resulting implications for emissions trajectories and energy security. Analysts note that policy choices, weather patterns, and market dynamics will continue to shape the country’s ability to move toward cleaner, more sustainable electricity while balancing reliability and price concerns for consumers.