The Spanish government has adopted a royal decree introducing urgent measures to strengthen the national electricity system. This legislative package will be accompanied by new planning for the high-voltage transmission network, forming part of a broader strategy to modernise the country’s energy infrastructure.
A key measure is the proposed upward revision of the investment caps that currently limit how much electricity companies can invest annually on network upgrades. These caps currently stand at 0.13% of national GDP for distribution networks and 0.065% for transmission networks, in order to control costs passed on to consumers through their bills. The government plans to temporarily raise these limits by 62% until 2030 to accelerate grid investments. Under the new rules, investments in local distribution networks would increase by €7.7bn above current limits, while transmission network would rise by €3.6bn.
According to government projections, the new transmission planning will mobilise an unprecedented €13.5bn in investments by 2030. This will enable the grid to integrate new electricity demand that is expected to multiply by 14, reaching 27.7 GW by the end of the decade.
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