Overview | November 2024

Energy transition

This is an average of 8 KPI’s that we detail

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On track

Spain is progressing positively toward emissions reduction targets and increasing the share of renewables in its energy mix. However, other sustainability targets such as the adoption of electric vehicles and renewable molecules are lagging expectations.


The country has excelled in managing energy costs, balancing affordable household electricity with more competitive industry costs, compared to the European Union.


Additionally, Spain’s energy imports remain high, straying from its goal of greater self-sufficiency.

Key highlights

4%

reduction in GHG emissions in 2023 compared to 1990 levels is attributed to strong progress in the industry and power sectors. Spain is currently on track to achieve the 32% reduction target by 2030

30%

below the EU average, industrial electricity use dropped sharply in 2023—the largest gap in a decade. The low cost of industrial electricity is one of Spain’s most valuable competitive advantages

12%

is the share of electric vehicle sales in total vehicle sales, a way off from achieving the 2035 European goal of representing 100% new vehicle sales and the PNIEC target for car parc

INDUSTRIALIZATION

This is an average of 6 KPI’s that we detail

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Lagging

Industry’s weight in the economy is lagging well behind EU averages and industry employment share is below prepandemic levels, as seen by a decline in some key industrial sectors in Spain such as vehicle1 production.


Despite robust investment in fixed assets and exports, R&D spending has almost stagnated over the past decade, potentially jeopardizing future innovation capacity.

1 All vehicles, not only EVs.

Key highlights

12%

is the steady share of Spain’s manufacturing GVA over the past decade, which remains well below the EU average of 16.4% and far from the 18% seen during the 1990s, showing no signs of reindustrialization

€53 billion

in investments in industrial fixed assets was seen in 2022, showing a 9 percent year-on-year growth rate, after steadily growing since 2014. However, this growth has yet to be reflected in macroeconomic indicators such as GVA or employment

250,000

units is the decrease in total vehicle production in 2023 compared to the prepandemic average from 2014 to 2019. Additionally, only 10% of production is electric, compared to 30% in Germany

Energy transition KPIS

Sustainability

Greenhouse gas emissions reduction

+ subindicators

1

2

Renewables in energy mix

3

Electric vehicle sales

Renewable molecules adoption

+ subindicators

4

Reliability

5

Energy dependency

6

Network readiness

N/A

Affordability

7

Household electricity prices

Competitiveness

8

Industry electricity prices

Industrialization  KPIS

Industrial production

9

Industry gross value added

10

Vehicle production

Investments

11

Investment in fixed assets

12

R&D investment

Jobs

Industry employment

+ subindicators 

13

Exports

14

Industry exports

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