Renewable energies are inevitably forced to be understood within the operation of the electrical network. And therein lies one of the biggest challenges of the sector, which needs to improve efficiency in terms of absorption capacity. To do this, experts have agreed that the solution involves battery storage and the flexibility of demand. This was one of the main conclusions that were addressed in the fourth panel of the IV Circular Economy and Renewable Energy Conference of elDiario.es.
“The so-called discharges are an inefficiency because they waste energy whose variable cost is very low and is not desired, ideally these discharges should be zero,” admitted Manuel García Hernández, general director of Energy Policy and Mines of the Ministry for the Ecological Transition and the Demographic Challenge, who has also stressed that the Iberian electricity system has been a benchmark in the integration of renewables.
“We have to work to maximize renewable generation and minimize discharges, either by building more network or installing storage near where that network is built to eliminate network congestion,” defended García Hernández. “There are also other spills, with a single market node, that occur due to a demand that is lower than the supply. To avoid them, we must focus on the interconnection of the peninsula and the promotion of demand,” he noted. According to García Hernández “Spain can be a benchmark in terms of integrating renewables at levels that we have already seen, bringing flexibility to the electricity market.”
Along the same lines, Arancha Martínez, country manager of X-Elio, appealed to the promising future of our country in the generation of renewable energy. “In Spain right now we have a unique opportunity to promote those companies that want to come and set up not only data centers but other industries that need that high demand,” he said after exposing the unusual phenomenon of zero or negative prices occurring.
For her part, Raquel Paule, general director of the Renewable Foundation, delved into the causes of the recent increase in discharges, pointing out the cautious management of the network after the blackout and the low level of electrification of demand. For Paule, moving generation to where consumption is is part of the solution, in addition to storage. He also highlighted the imbalance between generation capacity and consumption: “In recent years we have electrified between 3 and 4% and that means that the demand for electricity is very low in relation to the capacity of renewables.”
The director of support for the development of facilities at Red Eléctrica, Luís Velasco, addressed the fundamental role of the high voltage network and its development in energy planning. Velasco mentioned the incorporation of new technologies, such as Dynamic Line Ratings (DLR) to increase capacity, and the repowering of existing lines, a process that is often slowed down by environmental regulations. “I believe that the first thing is the development of the networks, which comes in step with planning. Indeed, we are right now in the middle of the transition of everything we have to develop,” he said.
The ghost of the blackout
“What happened on April 28 had nothing to do with there not being enough storage capacity,” García Hernández wanted to clarify. “Storage gives you that flexibility, it gives you efficiency. It's about not having to waste energy, because in the end, above all, what we are interested in is having the most competitive prices possible to have,” he added.
Arancha Martínez, from the perspective of the producers, explained how the event generated instability in the sector and led them to “be even more conservative in the criteria.” This conservatism due to “the ghost of the blackout” has caused a “pendulum effect” in management: “We are in a complicated moment right now, with curves and high prices, but in two years we are going to see a totally different evolution.” Martínez urged the industry to focus on boosting solutions, such as batteries and hybridizations, instead of focusing on what happened.
From the Ministry, Manuel García Hernández emphasized the good reception of the calls for aid for storage: “It shows the great appetite there is for storage effects, both hybrid and 'stand alone', and different technologies.” “We, as authorizers of many facilities, are also seeing a large volume of projects that, before obtaining authorization, change their initial proposal to add storage,” he mentioned.
A connected network
Regarding interconnections, considered vital to absorb market discharges, Luís Velasco confirmed that the Bay of Biscay project, crucial to reaching up to 5,000 megawatts of capacity with France, is still underway with the objective of being achieved by 2028, despite the logistical complexities and binational coordination. In addition, he mentioned other ongoing projects, such as the interconnection with Portugal, scheduled for the end of this year, and the “three Pyrenees” underway, through Andorra, Aragon and Navarra.
The experts also referred to the need to increase investment in distribution networks and the regulatory role of the CNMC. The Ministry is working on a Royal Decree that reviews investment limits, expanding the maximum volume that transporters and