Coal units have been offline since mid-July, with Red Eléctrica confirming they are “not matching bids in the markets.” Jean-Paul Harreman, director at Montel Analytics, noted coal has been “pushed out of the merit order” by renewables, nuclear and gas, adding that generation with this fuel is “dying out slowly” due to poor profitability.
Mainland Spain now has just 1.2 GW of coal capacity left – down from 10 GW five years ago – all owned by EDP, which has applied for closure. Endesa also plans to exit coal in Mallorca by 2027. While the national climate plan foresees the imminent retirement of coal, the market seems to be driving the phase-out even faster.
