Spanish utility Endesa has outlined plans to shut down two coal-fired power plants representing around 40% of its coal-fired generating capacity in the country by 2020. The concerned power plants are the 1,051 MW Compostilla lignite-fired power plant in Leon, whose units were commissioned between 1961 and 1984, and the 1,101 MW Andorra coal-fired power plant in Teruel, which started operations in 1970.
Endesa will submit the application for the closure of the power plants shortly. The main drivers behind its decision are the new European Union's standards on resources and emissions for combustion plants. Upgrading the two facilities and carrying out investments to comply with the new regulations would be too expensive and not in line with the company's strategy.
Endesa, like its parent company Enel, is progressively phasing out its coal-fired power plants business and will continue to focus on power grids, renewable energies and electricity retail businesses.