Living with Intermittent Renewable Power – Challenges for Spain and the EU

Spain is living with a high penetration of intermittent renewable power from wind and solar PV. Other EU electricity markets will soon have to do the same, if they are not already doing so. This Comment summarizes a number of the challenges facing Spain as a result of this form of de-carbonization, and also considers the implications for the EU.  For each of the challenges, the Comment suggests possible policy responses.  The Spanish case reveals the need for a fundamental revision of European wholesale electricity markets to reflect the cost structures of de-carbonised  power.  It also highlights the need to reconsider European policies on climate change to enable markets to support innovation in low carbon technologies.

By: David Robinson

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