The year 2022 exposed a gap between Spain’s decarbonization goals and real-world progress, with economic headwinds shaping the path forward. The Sustainability Observatory’s latest findings suggest that 2023 might not bring a dramatic shift, detailing which capital cities either increased or reduced their emissions in the preceding year. The bottom line remains that greenhouse gas emissions from energy production in Spain rose by 24 percent, while emissions traded in the carbon market grew by 9 percent, and a roughly 7 percent decarbonization outcome was projected nationwide to align with United Nations targets, according to the Sustainability Observatory.
Across Europe, emissions fell about 7 percent in 2022, yet Spain registered a 9 percent rise and ranked fourth among EU nations for emissions in this sector, as reported by the Sustainability Observatory.
In brief, Spain did not demonstrate decarbonization in 2022, while a 7 percent reduction across all sectors was advised by the United Nations, according to the Sustainability Observatory.
Energy companies still generate higher overall emissions, presenting ongoing challenges for the sector.
Looking ahead to 2023, the outlook remains cautious: fuel consumption data for 2023 points to a possible 3 percent decline for oil products and an 18 percent drop for natural gas, which is encouraging. Yet the continued use of combined cycle plants and coal, ongoing drought reducing hydroelectric power, and rising transportation needs create a difficult scenario for the year, as noted by the Sustainability Observatory.
Emissions rise rather than fall
Several players in the energy and hydrocarbon sectors are central to this trend. They have continued to increase emissions instead of achieving steady reductions, according to the Sustainability Observatory.
Research identifies the ten entities with the largest CO2-equivalent emissions in 2022 as Repsol, Endesa, EDP, Naturgy, Arcelormittal, Cepsa, FCC, Iberdrola, Enagás, and CEMEX. Collectively, these ten companies accounted for about 60.5 percent of carbon market emissions and roughly 20.5 percent of Spain’s total emissions, as reported by the Sustainability Observatory.
The list of the ten most polluting groups in Spain is highlighted by the Sustainability Observatory.
Within this group, some show progress toward decarbonization goals while others lag behind international climate targets. In 2022, the largest increases came from Enagás, Naturgy, EDP, Endesa, and Repsol. Conversely, Cemex reduced emissions by 16 percent, Arcelormittal by 10 percent, and FCC by 2 percent. Cepsa and Iberdrola remained about the same, according to the Sustainability Observatory.
Repsol stands out as the most polluting
Repsol has consistently contributed to higher emissions in Spain, with a steady rise dating back to the early 2000s, according to the Sustainability Observatory. Specifically, Repsol’s CO2 emissions have grown by about 20 percent since 2008 and rose another 16 percent in 2022 compared with the previous year, according to the Sustainability Observatory.
The geographic distribution shows sharp increases across several autonomous communities, including La Rioja up 23 percent, Murcia up 22 percent, the Balearic Islands up 16 percent, Andalusia up 15 percent, the Basque Country up 15 percent, and Aragon up 10 percent. In contrast, Castilla y Leon decreased by 17 percent, Cantabria by 12 percent, and Madrid by 8 percent, as reported by the Sustainability Observatory.
The report notes that the only clear positive trend is the growing share of renewable energy, especially photovoltaic power, even as it brings notable environmental and regional impacts, according to the Sustainability Observatory.
The full Sustainability Observatory publication offers deeper context and regional details, urging stronger policy action and reliable corporate accountability to align with international climate targets and safeguard the climate for future generations, as stated by the Sustainability Observatory.
Notes on verification and context are provided by the Sustainability Observatory through a detailed analysis of sectoral emissions, corporate performance, and regional patterns. The discussion underscores the importance of transparent reporting and ongoing monitoring to drive meaningful decarbonization across Spain and the broader European energy system, according to the Sustainability Observatory.