Two major Spanish utilities have joined forces, investing €780 million ($919 million) in clean energy transition and creating about 7000 indirect and 400 direct jobs in the process. EDP Renováveis (electricity) and Reganosa (gas) wish to see Galicia (Spain), and more specifically the Ferrolterra region, turn into a green hub.
That is a sustainable (eco)system, where renewable energy is produced and then smoothly integrated within the smart grid, stored and distributed to cars, people, businesses. In other words, Energy’s Holy Grail of sorts, which will turn the Ferrolterra region into Europe’s green capital, according to Rocío Sicre, general manager of EDP Renewables Spain.
This investment will include an electrolysis hydrogen (H2) production plant, which will reach a capacity of 100 MW and produce 14,400 tons of green hydrogen every year. As Emilio Bruquetas, CEO of Reganosa, says: “Fourteen years ago, we brought gas to Galicia and now, with EDP Renováveis, we are going to bring hydrogen; we are going to participate in the configuration of a new energy ecosystem in our community.”
Moreover, the investment includes also, an energy storage system, developed next to a hydroelectric power station, with an installed capacity of 570 MW. And finally, a wind power complex, comprising four parks with new generation turbines, totalling more than 270 MW of installed power.
The development of the distributed renewable energy assets is expected to speed up the transition to low-carbon energy resources and help Spain reduce its carbon emissions from power generation whilst ensuring a secure energy supply. The projects are expected to add up to 1 GW of clean energy capacity into the Spanish grid.
The partnership between EDP and Reganosa is part of an agreement for a Just Transition, signed this year in March, between EDP, the Spanish Government and trade unions with the aim of ensuring the maintenance of economic activity and employment in regions where coal-fired power stations are deactivated. And the fact that it complies with the new Green Deal is just an extra benefit.