Market Insight: Spain Energy Transition Investment Trends

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Executive Summary

Spain is rapidly becoming a leader in the European renewable energy transition, with solar and wind surpassing half of national electricity supply. But this success comes with risks: negative prices, curtailment and the April 2025 blackout reveal a grid unprepared for such swift change. This report analyses Spain’s energy mix, policies and market dynamics, concluding that the country’s transition will only succeed if storage, grid resilience and flexibility solutions scale up quickly – creating both urgent challenges and clear opportunities for solution providers and policymakers alike. Players in Spain’s energy transition should read this report to understand where the real bottlenecks lie, how policy and market signals are evolving, and where to find opportunities in the market.
Spain is rapidly shifting to renewables, but grid instability is a growing risk
Strong government ambition is clashing with political resistance and market instability
Grid infrastructure is a bottleneck as renewable growth outpaces investment
Solution providers have opportunities in flexibility, resilience and smart systems
Figure 1. Installed energy capacity (MW) in Spain: 2015-2025
Figure 2. Key policies and laws driving Spain’s energy transition
Figure 3. Solar PV vs BESS capacity in European countries
Figure 4. Hourly prices in Spain on a spring day (2025)

About the Authors

Hector Aguirre

Hector Aguirre

Industry Analyst

Hector is an Industry Analyst at Verdantix, where he delivers actionable insights to energy technology vendors, utilities and services firms, helping them navigate the energy ...

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Ryan Skinner

Ryan Skinner

Research Director

Ryan is a Research Director at Verdantix, where he leads a team of analysts delivering research, data and advisory services that help clients navigate the fast-evolving landsc...

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