The Minister for the Ecological Transition, Sara Aagesen, does not want to waste any more time. One of its first actions has been to launch the so-called capacity market, which was on pause due to the uncertainty that was generated regarding the future of the former minister, Teresa Ribera. Now, with control in place, it has already launched a public consultation for the creation of an electrical backup system in case Spain suffers an energy blackout. On a technical level, it is a mechanism that seeks capacity in the electrical system that can always be available to take action. That is, as if it were a kind of insurance, the Government will open a public auction for companies to offer their energy production plants in case a blackout occurs. Standard Related News If Naturgy plans to invest up to 900 million in 30 biomethane plants Raúl Masa The plants will be operational before 2030 and will be key in the new strategic plan that will be released in February. But can Spain be left without electricity? In the ‘Regulatory Impact Analysis Report’, the ministry explains that our country is radically transforming the electricity mix. This is due to the massive entry of renewables into the system. In fact, in 2024, 56% of electricity generation will already be produced with this technology. A situation that is going to get worse in the coming years. However, remember that this change in the composition of the energy ‘pool’, which will also include the closure of nuclear power plants from 2027, requires regulatory measures that confer “the existence of sufficient backup sources and flexibility to guarantee security of supply. Teresa Ribera’s candidacy for the European Commission has delayed the arrival of this capacity mechanism, although we must return to the question: can Spain remain in the dark? Red Eléctrica, the system manager, has had to comment on the matter, and in accordance with the mandate of the European Parliament, has carried out an analysis to determine the situation. The company chaired by Beatriz Corredor determines that in 2025 there could be a vacuum of 6.2 hours, which would mean an electricity generation of more than 12 GWh. That figure decreases over the years, among other things, because storage systems will improve, and there will always be greater backup. Even so, by 2027 a potential system outage is expected that would reach 4.7 hours; and that it would be 1.6 hours in 2030. It is worth asking whether a continuous capacity market is necessary, with the cost that it entails, due to a potential absence of electricity similar to the duration of three football matches. The answer is yes. The cost of being without power throughout the system for a few hours is simply not quantifiable. Therefore, it is necessary to have this backup mechanism. 6.2 hours Red Eléctrica has calculated in its analyzes that there could be a hole in the system of more than six hours this year in which there would be no electricity. Regarding its financing, ministry sources prefer not carry out any type of forecast. What is known is that the expense will be assumed by the electrical system, whose simple translation is: all consumers. In this sense, the documentation referring to the public consultation does not want to reveal the figure either. The process is a closed auction, that is, the different companies will offer the capacity of their plants, with a proposal of what they would like to charge for it, and the Government will determine what it wants based on needs. For this reason, they argue that a distorting element would be caused if approximations of what this capacity market would entail are launched. We will therefore have to wait for the auctions to be held. How it worksA temporary auction will be held as soon as possible for the next few years, which are also the most pressing; and later the main auctions for the coming years will be held. The provision of the service will be for five years, once the service begins, and always depending on the needs required by the system. Logically, in the event of non-compliance on the part of the company, it would entail a strong penalty. Likewise, this capacity market has a hidden debate that the Government has launched. In the supporting report he explains that this mechanism will also be used to encourage the use of storage. The best explanation to understand this mechanism is like imagining insurance. It is something that you have, and that is not usually used, but it is always better to have it. As explained by the consulting firm AleaSoft, “the implementation of the new capacity market in Spain is fundamental for the accelerated development and deployment of storage systems. energy with batteries in the electrical system. In a context of increasing integration of intermittent renewable energies, such as solar and wind, batteries play a critical role in providing flexibility, storage and backup at times when renewable production cannot meet demand. The use of this mechanism is intended to promote the rise of storage, which will be necessary. Technology used The question at the moment is what type of plants will have the greatest options to obtain this capacity. At a technical level, the consultation explains that “the generating facilities that participate will not be able to emit more of 550 grams of CO2 per kWh and must comply with the firmness and flexibility requirements established in each call. “New investments will be limited to renewable technologies, storage or demand management.” Under this formula, the Government enables many types of access to this capacity market, although in reality, as things stand right now, this system is tailor-made for combined cycle plants.56 percent Last year Renewables were responsible for generating 56% of the electricity. Despite their increase, they need support systems. In fact, it has been mainly the gas sector that has insisted the most on the regulatory development of this mechanism. With the massive entry of renewables, gas has begun to take a secondary role in the development of the electricity mix. Thus, according to data provided by Enagás, the manager of the gas system, in 2024 there was a decrease of more than 20% in the needs for natural gas to generate electricity. Therefore, companies are beginning to see it as a problem to have a large number of unused plants, but whose maintenance costs are very high. In this context, the capacity market provides income for having these plants available. However, we will also have to see how it affects battery investment. In any case, what is desired and expected is that in the end no blackout occurs.
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