Iberia — Giants and windmills

Abstract

Iberian companies are major players in the wind and solar energy sectors. By investing in renewable energy, Spain and Portugal are seeking ways to find cheaper energy alternatives for themselves and to create a niche as exporters of green technology. As sunny and windy as Spain and Portugal are, the sharp economic downturn could dampen growth and raise questions about the efficacy of the subsidy regime to date. The threat of a public backlash against renewable incentives is real, especially if power prices increase. Regulatory instability and excessive bureaucratic red tape create barriers. Spain is overhauling renewable energy regulation and the stakes are high. While energy-efficiency measures and electric mobility are overshadowed by renewable energies, these segments are growing in importance.