Iberian Electricity Sector: A transition towards a more liberalized and sustainable market

Agustín García, María Teresa, García-à Lvarez and Blanca Moreno
Authors registered in the RePEc Author Service: Agustín García García

No 17-01, GDAE Working Papers from GDAE, Tufts University

Abstract: In recent years, important policy developments have impacted the electricity market in the European Union (EU), affecting the cost of energy and resulting in changes to countries’ electricity generation mix. This paper details the Spanish and Portuguese attempts to transition to a cleaner energy economy. At the end of the last century, Iberian countries started the process of liberalizing their electricity market and promoting the use of renewable energies in the electricity mix. Their objectives included establishing a “greener†energy supply, opening new employment opportunities, reducing dependence on imported fossil fuels, and pursuing a more sustainable economy and society. Assuming a leading role in the energy transition process has been a novel and challenging endeavor for both countries. The economic crisis only increased those challenges, leading to mixed results. In addition to covering the evolution of the Iberian electricity sector, this paper identifies key considerations for the future.

Date: 2017-02
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