Spain relaunches new regulations for electricity market

According to the report, Sunplus is a globally recognised leader in the field of ultra-thin and flexible CIGS technology, as one of the few producers in the world able to produce ultra-thin and flexible CIGS solar cells on a commercial scale.

According to trade groups urging EU intervention, a proposed Spanish law aimed at recovering revenues from zero-emission power plants would create risks for renewable energy investors and favour fossil fuel power generation.

In a letter sent to the EU last week, AELĒC, Eurelectric, the European Federation of Energy Traders, the Global Infrastructure Investors Association and WindEurope wrote that the draft law "seriously undermines incentives to invest in carbon-free electricity" and "reduces the commercial revenues of some emission-free companies".

The Spanish government has reopened the legislative process for a draft law on new regulations for the electricity market, which will see a drop in revenues from non-CO2-emitting generation facilities installed before 2003.

According to the letter, the aim of the mechanism is to permanently curb the impact of the price of CO2 allowances on Spanish consumers by recovering the "excess revenue" allegedly earned by certain non-CO2 emitting facilities.

The letter's signatories say that the European Commission should negotiate with the Spanish government and express concern about the draft law, "which is contrary to the EU framework, and also to various Commission documents, which aim to incentivise decarbonisation by providing investors with legal certainty and guarantees of stability."

The letter states that investments in solar, wind and storage are happening because companies believe they can get a fair return from them. The trade bodies said the proposed measures in Spain "fundamentally undermine this incentive to invest and create additional risks for investors."