Statkraft connects 44.5-MW solar farm to grid in Spain
Sep 19, 2024 15:28 CESTSpain added 7,489 MWac of new solar photovoltaic capacity across ground-mounted plants and self-consumption systems in 2023, positioning itself as the second-largest market by installations in Europe after Germany, Spanish PV business association UNEF has said.
With a 5.7% increase in capacity from 2022, Spain reached 32,488 MW of installed solar PV at the end of 2023, according to UNEF’s latest annual report.
Ground-mounted solar farms accounted for the majority of the new capacity, with 5,783 MWac (6,939 MWdc) installed in 2023. This represented an increase of 26.5% compared to 2022. The solar self-consumption segment added a total of 1,706 MWac (2,047 MWdc), down 32% year-on-year, in a sign of sector stabilisation following the power price-driven installation peak in 2022.
The added capacity is reflected in the increasing share of solar power in Spain's energy mix. In 2023, solar PV accounted for an average of 13.6% of the country's electricity generation, compared to 10% in 2022, 8.1% in 2021, and 6.9% in 2020, according to the report.
ECONOMIC IMPACT AND JOB CREATION
The PV sector's economic impact was substantial, contributing over EUR 18 billion (USD 20.1bn) to Spain's GDP in 2023. While direct GDP contributions from PV decreased by 1% to EUR 5.331 billion, the overall economic footprint, including indirect and induced effects, grew by 4%.
The sector also played a vital role in job creation, employing over 160,000 workers in 2023.
INVESTMENT AND INNOVATION
The Spanish solar PV industry demonstrated a strong commitment to innovation. In 2023, the sector invested over EUR 610 million in research and development (R&D), dedicating an average of 3.6% of its revenue to innovation. This was three times higher than the average R&D spending of Spanish industries, according to UNEF.
REGULATORY LANDSCAPE, CHALLENGES AND OPPORTUNITIES
On the regulatory front, UNEF characterised 2023 as a year of stability. The government's revised National Energy and Climate Plan (NECP) raised the solar PV target to 76 GW by 2030, indicating strong support for the sector.
UNEF welcomed the approval of 24,870 MW of solar PV projects in July 2024, taking it as a show of confidence in investors and the viability and quality of the proposals. However, the association emphasised the need for a rapid increase in energy storage capacity to match the growing solar PV generation.
Despite the impressive growth, the domestic PV industry faces several challenges, including uneven regional progress. While most regions in Spain are embracing solar energy, some areas are imposing barriers such as retroactive taxes or moratoriums.
UNEF calls for more supportive regulations, particularly for self-consumption and energy storage. At the same time, the association also emphasises the importance of social acceptance and integration of solar projects into communities.
(EUR 1.0 = USD 1.116)
Statkraft connects 44.5-MW solar farm to grid in Spain
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