Nuclear Power

16 Sep 2021

Spain: Nuclear Energy Sector on War Footing with Government

16 Sep 2021  by   
Spanish media reported that the Spanish nuclear energy sector is on a war footing with the country's centre-left government, due to measures adopted by the government as it struggles with an emergency situation over a record-breaking increase in electricity prices and tries to contain the impact on household and business energy costs.

The measure in question is a bill that will have to be approved in Parliament that aims at reducing the so-called "benefits from heaven" obtained by energy producers with low CO2 emissions (such as nuclear energy) that - due to current market mechanisms - manage to sell energy at prices similar to those who have to pay the European CO2 emission rights, thus obtaining higher profits.

This initiative has put the main companies in the sector in Spain on a war footing, including large electricity companies such as Endesa and Iberdrola.

A statement from the Spanish Nuclear Industry Forum (Foro Nuclear) said with the new law the companies would be forced to close the active plants in Spain, currently seven, early due to unsustainable costs.

Current concessions will expire between 2027 and 2035, said Spanish daily El País.

It said any plant closures cannot be decided unilaterally by the owners because to do so requires government and market regulator authorization.

Government sources told the sector that the planned measures are "in accordance with national and European law", according to Spanish public broadcaster TVE.

More News