The government has implemented an 18-month pause aimed at reining in speculation within the renewable energy sector. Over the next year and a half, the system operator is to remain withdrawn from approving new projects, with Red Eléctrica de España, now operating under the redea name, overseeing the transition. This pause does not impact projects already blocked by the Consell up to a month ago that must receive an environmental response by 25 January because they already hold port connections. However, it does apply to projects that are still in early development stages. In the Valencia region, the system operator handles roughly 15,688 megawatts, compared with the Consell’s tracking of about 10,000 megawatts. Employers in Valencia’s renewable energy sector have expressed support for the moratorium.
The executive action follows a spike in speculative activity around photovoltaic and wind initiatives in recent weeks. The moratorium is tied to royal decree 20/2022, published in the official government gazette during the last week of December. The decree notes that about 290 transmission grid nodes are reserved for access auctions and are in the final processing stages to ensure orderly access to renewable generation and storage. Although the decree is not yet fully approved, drafts presented for consultation suggested that projects prioritizing rapid service initiation could receive favorable assessments.
The government’s text points to a pattern of speculation described by some intermediaries who have already begun procedural steps while others are blocked from sites that would be viable for developers with genuine development plans. The decree indicates this situation has been observed in recent months. It also highlights rising demands for early guarantee procedures and administrative permits, along with increasing documentation required within environmental review processes.
The executive warns that these preliminary moves hinder agencies, local communities near project locations, and the Administration from supporting truly viable renewable facilities. For developers, sites with strong renewable resources can become unavailable when firms without intent to build hold them. Procedures are started for communities hosting projects, even when the network or the site cannot absorb the proposed developments socially and environmentally. Additionally, the decree notes an uptick in pending lawsuits, suggesting inefficient resource use on projects that may not be suitable for completion.