1. UNIVERZA V MARIBORU
FAKULTETA ZA ELEKTROTEHNIKO, RAČUNALNIŠTVO IN INFORMATIKO
Smetanova 17, 2000 Maribor, Slovenija
26 TH POWER ENGINEERING– FERI 2017
ANALYSIS OF THE SPANISH ELECTRICITY MARKET AND PROPOSALS FOR FUTURE DEVELOPMENT
Ester GETINO, Emilio GARCÍA, Klemen DEŽELAK
Dates, May 2017

2. The aims of the work COOPERATION
Understand the operation of the Spanish electrical system
Describe the Spanish electricity market
Recognize that the problems of the same not be repeated in the future
Provide possible future developments in the research field
COOPERATION

3. Illustration 1: Institute of astrophysics of Spain
The aims of the work
Illustration 1: Institute of astrophysics of Spain

4. Content
Introduction
2. Historical review of the electricity market in Spain
Current situation and operation of the electricity market in Spain
Problems and proposals
Conclusions
Questions and discussion

5. 1. Introduction
“The supply of electric energy constitutes a service of general economic interest because economic and human activity can not be understood today without its existence ”- Law 54/1997
Liberalization of the electricity sector in Spain in 1997.

6. STRUCTURE OF THE SPANISH ELECTRICAL SYSTEM AFTER 1997
1. Introduction
STRUCTURE OF THE SPANISH ELECTRICAL SYSTEM AFTER 1997 2 3 1 4
Illustration 2: Red eléctrica de España
1: Generation (free competition)
2: Transmission (natural monopoly)
3: Distribution (natural monopoly)
4: Retail (free competition)
Division into 4 activities:

7. ELECTRICAL ENERGY GENERATION MIX
1. Introduction
ELECTRICAL ENERGY GENERATION MIX
20.3% coal plants
21.8% nuclear plants
8.5% combined cycle
50.6% conventional thermal plants
36.9% renewable plants
Installed power Capacity in Spain = 101,027 MW
Main Problem = Foreign dependency (all fuels) -> 72.9% of the total energy resources used this year was imported (data from Eurostat year 2014)

8. 1. Introduction ELECTRICITY DEMAND
Instantaneous maximum electricity demand in Spain reached in 2015 was 40,726 MW.

9. INTERNATIONAL CONNECTIONS
1. Introduction
INTERNATIONAL CONNECTIONS
Illustration 3: ENTSO-E
European goal: at least 10% for 2020.
Spanish ratio: 2,8%
Slovenia ratio: >18%

10. The Spanish electricity system continues to face the tariff deficit
2. Historical review
MIBEL (Iberian Electricity Market) is created, merging the Spanish market and the Portuguese market.
Red Eléctrica de España (REE) was created which involves the nationalization of the transport network
The tariff deficit arose and avoiding the broken bank of the electrical system is published the Royal Decree 9/2013
1985
1997
2008
2011
2013
Today
Electricity prices in Spain reach high values ​​in comparison with neighboring countries (€ / kWh)
The Spanish electricity system continues to face the tariff deficit
The Law of the Electricity Sector is approved which implies the liberalization of the electricity system

11. 3. Current situation and electricity market
Free competition market and unregulated market.
Unique market for Portugal and Spain: MIBEL (Iberian electricity market).
WHOLESALE MARKET
Illustration 4: OMIE

12. 3. Current situation and electricity market
Free competition market and unregulated market.
This activity is exercised by mercantile companies.
These companies acquire energy in the wholesale market and deliver it to the final consumer by hiring and paying tolls  for access to the transmission and distribution networks, which subsequently have an impact on the consumer´s electric bill.  
RETAIL MARKET

13. 4. Problems and proposals
Tariff deficit
Economic crisis
Cost of generation in non-mainland electric systems
Scarcity of energy resources in Spain
Special Regime of Renewables
PROPOSALS
Incorporation of renewable energy without affecting the financial stability of the system
European Single Market.
Improvement of electrical interconnections

14. 5. Conclusions
The liberalization of the electricity sector in Spain and with it the free competition regime was a milestone for the country.
This liberalization had to be carried out in a gradual and not so abrupt manner, causing the financial instability of the system and giving rise to the tariff deficit.
Spain should continue betting on the incorporation of renewable energy to the energy mix while at the same time trying to reduce the tariff deficit.
All Member States should bet on a single European market where the integration of renewables does not entail an extra cost for the electrical system of each country.

15. 6. Questions and discussion

16. THANK YOU FOR YOUR ATTENTION
UNIVERZA V MARIBORU
FAKULTETA ZA ELEKTROTEHNIKO, RAČUNALNIŠTVO IN INFORMATIKO
Smetanova 17, 2000 Maribor, Slovenija
26 TH POWER ENGINEERING– FERI 2017
THANK YOU FOR YOUR ATTENTION
Ester GETINO, Emilio GARCÍA, Klemen DEŽELAK
Dates, May 2017