EDP anticipates the closure of coal plants in the Iberian Peninsula

in Renewable · 17-07-2020 01:00:00 · 2 Comments

EDP has decided to anticipate the closure of its coal plants in the Iberian Peninsula, which represents an extraordinary cost of around €100 million (before taxes) in 2020, the company revealed.

In a “privileged information” published by the Portuguese Securities Market Commission (CMVM), in Lisbon, the Portuguese electric company considers that the decision has been taken, taking into account “the continued deterioration of the market conditions for these plants during the first half of 2020”.

EDP (Energias de Portugal, S.A.) adds that it is developing projects in the regions of these plants to carry out “potential investments in line with the energy transition”.

In the case of the Sines plant (1,180 MW), which has not produced energy since January 2020, a “waiver declaration” was delivered on 14 July to the production license, to be closed in January 2021.

In this unit, the company has been developing, in consortium, a project for the production of green hydrogen with the possibility of export by sea.

As for the Soto de Ribera 3 plant (346 MW), in Asturias (Spain), which has not produced energy “for more than a year”, it will be requested to close in 2021, with EDP carrying out preliminary studies for the implementation “an innovative project” of energy storage.

At the Aboño plant (Asturias), EDP informs that the process of licensing the conversion of coal to steel gases is continuing.

The Portuguese electric company ensures that in the referred closure and reconversion processes it will respect “all labour responsibilities”.

Finally, EDP states that it is committed to “actively contributing” so that the regions where these facilities are located can benefit from the Fund for Fair Transition in its economic and environmental conversion.

The new European Union’s Fund for Fair Transition is one of the ways to materialise the European Ecological Pact, promised by the European Commission, to create a competitive economy that stops climate change.

One of the objectives is to reconvert the energy production industry based on fossil fuels, such as coal, but also the housing and transport sectors.

In October, the Government announced that it was prepared to close the Pego thermoelectric plant in late 2021 and to stop production at the Sines plant in September 2023.



Comments:

Why don’t you tell people more about Portugal’s green hydrogen plans. This is potentially a big story for Portugal future.

By Raymond Lehky from Lisbon on 17-07-2020 08:28

Interesting details, but missing information what will replace the coal and what will be the consequences (if any) for the consumer of electricity.

By John Dough from Beiras on 17-07-2020 08:10
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