Spain is moving forward with its nuclear decommissioning plans

Spain is moving forward with its nuclear decommissioning plans, disregarding calls for reconsideration and placing its bets on renewable energy and battery storage to bridge the anticipated energy shortfall.

The nation is set to shut down its seven nuclear reactors, which currently account for 20% of its energy mix, over the next ten years, along with the closure of its final coal plant this year. As the second-largest producer of renewable energy capacity in Europe after Germany, Spain aims to close the energy gap by increasing its wind turbines, solar panels, and large-scale battery systems. While the strategy isn't entirely devoid of fossil fuels—relying on natural gas plants as a temporary backup—the approach represents a significant commitment to clean energy. It hinges on rapidly expanding Spain's nascent energy storage sector from its current 3 gigawatts of capacity to a target of 20 gigawatts by 2030. Moreover, it calls for an unprecedented deployment of wind and solar facilities over the next five years. By the end of the decade, Spain aims for 81% of its power generation to come from renewables, up from just over 50% in the last two years. Spain's decision to phase out nuclear energy, made in 2019, contrasts sharply with a global resurgence in nuclear power, as concerns about safety and radioactive waste have been overshadowed by a growing demand for consistent, low-emission energy sources. The surge in energy consumption is expected to increase due to emerging demand from sectors like artificial intelligence and associated data centers, along with Europe's efforts to replace Russian gas following the 2022 invasion of Ukraine.

"If everyone is moving in one direction while we are going the other, it's essential to pause and reconsider," stated Ignacio Araluce, president of the Spanish nuclear industry association, Foro Nuclear. The Spanish government believes extending the life of aging reactors would simply increase the costs associated with managing radioactive waste, and is hesitant to invest in new reactors, citing the cost efficiency of renewable energy. To date, officials claim they have not received any formal requests from nuclear companies to alter the planned shutdown.

Endesa SA, the owner of the reactors, did not respond when asked about the potential for extending reactor lifespans. However, a company spokesperson noted that financial obligations related to the plants, especially taxes, have increased in recent years. Other operators, including Iberdrola SA, EDP SA, and Naturgy SA, also refrained from commenting. Spain's upcoming decommissioning of its first nuclear facility in 2027 brings apprehension, especially in light of Germany's recent shutdown of its last reactor in 2023. Coal operators there suggested they might need to keep plants running longer than planned to maintain electricity supply.

Additionally, natural gas plants may be required to operate beyond Germany's target of 2035 for a carbon-free power grid. Countries across Europe have encountered challenges managing supply and demand as more variable renewable energy sources come online, leading to negative electricity prices increasingly becoming the norm. To stabilize power markets, Spain has allocated €100 million (approximately $110 million) to four projects focused on energy storage through reversible pumped hydroelectric plants.

This includes funding for Iberdrola SA, one of the country's largest renewable energy producers and operators of nuclear facilities. Despite these developments suggesting a robust commitment to renewables, Araluce expressed that his organization wants to advocate for a broader approach to combating climate change, emphasizing that wind and solar are not the sole solutions. "There's still room for negotiation — we are hopeful," he remarked.