Tag #Capacity Mechanism

What is the immediate impact of Spain's new capacity mechanism for electricity?

On Wednesday, Spain's Ministry for Ecological Transition launched a public consultation for a new capacity mechanism to pay power plants for grid reliability. This follows pre-notification to the European Commission, who previously approved the plan, and aims to address Spain's electricity supply shortfall. The mechanism will use a competitive bidding system, and, once approved as state aid, will help ensure energy security.