Spain has long faced uneven coordination between energy resources and the Ministry for the Ecological Transition, a pattern that has drawn attention from key sectors such as energy, maritime-fisheries, and automotive. Industry voices have pointed to a perceived closeness between policy priorities and renewable resources, port concessions, and the electrification of private fleets. In discussions framed by a firm but cooperative tone, industry groups highlighted disagreements with ministers who defended distinct agendas. In Vigo, Stellantis and regional manufacturers are acutely aware of the central government’s fragility on grid matters. The Ecological Transition ministry opposed a plan to install an electrical substation in Balaídos to feed the former PSA-Vigo operation and its suppliers at 220 kilovolts, preferring the existing 132 kilovolts, even as power outages persisted. A recent report underscored the reliability challenges in the supply chain and resonated with industry leaders, business executives, and municipal authorities. The national conversation now recognizes that Vigo benefits from very high voltages relative to other major Spanish urban centers, while some car plants do not enjoy a similarly robust distribution network.
Stellantis secures limited PERTE support for Balaídos and Madrid plants
Reyes Maroto indicated a shift in the government approach, signaling the formation of a technical group to review Stellantis proposals during a Senate session and after questions from opposition councilors. The administration signaled openness to consider a legal exemption that would permit a new substation and acknowledged that the Vigo supply quality has been deemed insufficient. The government emphasized the importance of Vigo as a leading automotive hub and described its need for a stronger electricity supply. The dialogue occurred through formal channels, with repeated references to a history of low-quality supply and officials challenging information provided by the automotive sector and the electrical networks department at the University of Vigo.
In an earlier planning phase, the 2015-2020 grid expansion by the transmission operator Red Eléctrica de España involved a project valued at 66.8 million euros, which was never completed. The regional mayor recalled that during the administration led by Mariano Rajoy the link was rejected, but with Pedro Sánchez in office, the city’s high-voltage aspiration resurfaced. The question remains whether the substation will appear in upcoming strategic plans or as a standalone item in the General Government Budgets. Commentators noted that no formal commitment had been made on its inclusion within the REE roadmap for 2021-2025, and no official position was given on a potential standalone funding path.
Business leaders greeted the shift with cautious optimism. The head of the Pontevedra Confederation of Employers described the substation as essential for Vigo, stressing that the factory is unique in Spain for lacking a high-voltage feed and that a stronger supply would bolster sustainability and future operations. The call from local industry leaders was clear: concrete steps should be taken now. By mid-September, regional outlets reported that the Vigo plant experienced multiple voltage dips, with 132 kV lines tripping and causing production interruptions and occasional malfunctions in software and equipment. The Ceaga cluster, which unites hundreds of companies with substantial annual turnover, warned that such disruptions undermine Galicia’s automotive competitiveness.