Agenda
Challenges
Spain has very little domestic oil and gas production and relies heavily on imports, the sources of which are well distributed amongst Africa, the Middle East, countries of the former Soviet Union and OECD countries.
Oil consumption as a whole has dropped incrementally from its peak in 2007 (1.61 mb/d), and stood at 1.47 mb/d in 2010. Nevertheless, demand for middle distillates remained strong. The share of oil in total energy consumption as a whole is gradually declining.
Natural gas demand stood at 38.2 bcm in 2008, up 10% on the previous year and in line with the steady upward trend of recent years, but demand is estimated to have dropped some 10% in 2009, due to weather conditions, the increase in renewable electricity supplies and the drop in economic activity.
Political
One of the main pillars of the Spanish economy is its climate; in fact, climate-dependent activities like tourism, the wine industry, commercial livestock, are worldwide signatures of Spain. Climate in the Iberian Peninsula is becoming warmer and drier. Change rates are different among regions but warming trends are roughly the same. Regarding temperatures, The National Agency for Meteorology (AEMET) and others regional meteorological institutions such as Meteo Galicia in the Northwest have identified warming trends of between 0.4 to 0.8 ºC since the 1970s.
Status
Growth
At the end of 2009, renewable energies covered approximately 11% of our final energy consumption, and forecasts for 2020 indicate that we are on course to exceed the target established in the EU Directive on Renewable Energies stipulating that Spain must meet 20% of its gross final energy consumption using renewable energies.
Institutional Structure
Ministry of Industry Tourism and Trade
The Ministry of Industry, Tourism and Trade is the department within the Spanish general administration responsible for proposing and carrying out government policy in the areas of industrial development and innovation, trade policy, small and medium sized enterprises, energy and mining, tourism, telecommunications and the Information Society.
The Ministry of the Environment and Rural and Marine Affairs
It is responsible for several energy–related policies, such as air pollution and climate change. Within the ministry, the Secretariat of State for Climate Change is responsible for formulating and co-ordinating climate change policies.
Agencies
The ministry is supported by several semi-independent bodies, including the following:
a. The National Energy Commission (CNE) is the sectorial regulator for the electricity, natural gas and oil markets.
b. The Institute for Energy Diversification and Saving (IDAE) runs activities to increase public knowledge and awareness.
c. The Strategic Reserves Corporation (CORES) is the stockholding agency in charge of managing and maintaining minimum security stocks of crude oil, oil products and natural gas.
d. The Nuclear Safety Council (CSN) is the competent body in matters of nuclear safety and radiation protection.
Budget
Current
Spain, although not an individual member, is associated with the G-20 through its membership in the European Union. In view of its significant clean energy investments—$10.4 billion in 2009—it is profiled for its leadership, and earned a ranking of fifth among G-20 members for overall investment. Spain’s 2009 investment was down more than 50 percent from 2008 due to the global financial crisis and Spain’s budget difficulties.
Wind and solar have been the primary areas of investment backed by strong national support in the form of feed-in tariffs. Continued budget pressure jeopardizes ongoing renewable energy incentives.
History
For Spain’s Renewable Energy Action Plan 2005-2010, the funding available was of Eur 23.6 billion: Eur 22.9 from private sources, Eur 0.68 from public funds.
Key Policies
Recent Legislation
It is fair to say that Spain’s 2005-2010 Renewable Energy Plan has been an undisputed success in that as it has not only transformed Spain's energy model as planned, but has also allowed for the development of an industry which has positioned itself as a leader in many segments of the value chain at international level.
The Energy policy in Spain in the coming decade will be shaped by the European Union targets for 2020 on greenhouse gas (GHG) mitigation, renewable energy and energy efficiency. The country will have to cut emissions from the sectors outside of the EU Emissions Trading Scheme by 10% below their 2005 levels.
It will also have to increase the share of renewable energy sources in gross final energy consumption from 8.7% in 2005 to 20% in 2020.
Spain and other EU member states also have a separate binding target for renewable energy to cover 10% of transport fuel demand in 2020. Also, Spain will have to increase energy efficiency to help reduce energy demand in the EU by 20% below the business-as-usual level by 2020.
Miscellaneous
Further Information
Spain’s target under the EU Burden-Sharing Agreement related to the Kyoto Protocol is to limit its GHG emissions to an average of 15% above their 1990 level from 2008 to 2012. In 2007, emissions were 53% higher than in 1990. More reductions will be needed after 2012: emissions from the sectors not covered by the EU-ETS must be 10% below the 2005 levels by 2020. For the ETS sector in the EU as a whole, the reduction target is 21% below the 2005 level by 2020.
Transition to Globalisation
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Transition to Political Tools
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The European Environmental Agency (EEA) says European onshore and offshore wind energy potential is equivalent to almost 20 times energy demand in 2020.
Political Tools > Regional > Europe > EU > Dom. Policies > Economy > Energy
Transition to Political Actors
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The International Renewable Energy Agency (IRENA) will not back programmes to develop nuclear energy due to the waste it produces and the risks it presents.
Political Actors > Civil society > NGOs > Economy
