BMI View: Policy uncertainty will continue to weigh on the Spanish renewables sector as investor confidence remains weak due retroactive subsidy cuts and stricter sector regulation. While c a pped capacity auctions represent an upside to our muted growth forecasts - with sustainability the new focus of the government making for greater policy continuity - continuous regulatory changes - such as the proposed solar tax - does little to attract investors. The upcoming general electio n in December is likely to cloud the political landscape further , as a turn to coalition politics seems increasingly likely.
A number of regulatory changes since 2012 have rocked Spain's renewables industry - with retroactive cuts on renewables subsidies and caps on investment returns having having a deleterious effect on investor interest in the market. The announcement of capped capacity auctions in an already saturated market implies that growth prospects for the renewables sector are to remain muted. As a result, we expect Spain's large renewable energy companies to continue to look abroad in order to grow their businesses.
Key Trends And Developments
In July 2015, Germany-based renewable energy developer Juwi secured approval from Spain's Ministry of Environmental Affairs to develop a 450MW solar project in the Murcia region of the country. The project, which has been in the planning stage since 2012, still requires further approval from Spain's Ministry of Industry before construction can start.
In April 2015, the government announced that it would introduce a new auctions system, as opposed to a fixed Feed-in-Tariff system. The first auction is planned to award 500 megawatts (MW) of capacity for wind and 200MW of biomass capacity.
It was announced in February 2015 that the government is taking steps to resurrect its faltering renewables industry, reportedly aiming to add over 8.5 gigawatts (GW) of renewables capacity between 2015-2020, comprising primarily of wind...
The Spain Renewables Report researched at source contains BMI Research's assessment of the current renewables market in Spain. The report also contains historical data together with forecasts to end-2018 covering electricity generation (TWh) and electricity capacity (MW).
The renewables sectors covered in the report include Wind, Solar, Geothermal, Tidal and Wave, and Biomass (See Table of Contents for exact coverage). The report also features details on government green energy agendas and funding opportunities, as well as presenting a detailed list of key renewables projects currently being planned or undertaken in Spain, their capacity, the timeframe of construction and their current status.
The report discusses the various energy policies currently in force, including targets, subsidies and the relevant infrastructure developments or limitations which might impact on renewables growth, analysing the potential effects of regulatory changes in conjunction with the background macroeconomic outlook. Finally, there is a general overview of the competitive landscape in Spain, together with a detailed summary of the main utilities and manufacturers present and their business operations.
BMI's Spain Renewables Report provides industry professionals and strategists, sector analysts, investors, trade associations and regulatory bodies with unique independent forecasts and competitive intelligence on the Spain renewables industry.
- Benchmark BMI's independent renewables industry forecasts for Spain to test other views - a key input for successful budgeting and planning in the renewables market.
- Target business opportunities and risks in the Spain renewables sector through our reviews of latest industry trends, regulatory changes and major deals, projects and investments in the country.
BMI Industry View
Summary of BMI's key industry forecasts, views and trend analysis covering the renewables market in Spain, regulatory changes, major investments and projects and significant multinational and national company developments.
Industry SWOT Analysis
Analysis of the major Strengths, Weaknesses, Opportunities and Threats within the renewables sector and within the broader political, economic and business environment.
BMI Industry Forecasts
Historic data series (2010-2012) and forecasts to end-2018 for electricity generation (TWh) and electricity generating capacity (MW) for each individual renewables sector present in the country.
These in turn are broken down into:
Electricity Generation: Overall capacity (TWh), growth % change year-on-year, KWh per capita, % of Total Non-Hydropower renewables generation, % of total electricity generation.
Electricity Capacity: Overall capacity (MW), growth % change year-on-year, % of non-hydroelectric renewables capacity and % of total capacity.
These forecasts are in turn supported by explicit assumptions, in conjunction with analysis of the key risks to the main forecast.
Business Environment Rankings
BMI's Renewables Business Environment Rankings provide fully comparable Risk-Reward Rankings aimed at investors in the regional renewables market.
The rankings methodology makes sophisticated use of various industry, economic and demographic data point.