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[BUSINESS] · Spain, Latvia · 3 sources

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Spain faces energy paradox as solar generation hits record levels

Spain is experiencing an energy paradox where record solar photovoltaic generation is not significantly reducing reliance on gas and nuclear power. In August, solar energy accounted for approximately 32.9% of the country's total electricity production, making it the primary source for the month.

Despite the rise in renewables, gas-fired combined cycle and nuclear plants continue to provide essential stability to the grid. To manage costs and geopolitical volatility, the Spanish government has extended the operation of the Almaraz nuclear power plant until 2030, whereas it was originally scheduled to close in 2027 or 2028.

Electricity prices remain a concern; the average price per megawatt-hour in August reached 126 euros, representing an 84% increase compared to the previous year. While renewable sources have consistently provided over 50% of Spain's generation in recent years, the system still requires fossil fuels and nuclear energy to compensate for fluctuations in wind, sun, and water availability.

Entities

Almaraz Nuclear Power Plant · Augstsprieguma tīkls · Latvia · Red Eléctrica · Spain