CHP, the key to competitiveness for a large section of Spanish industry

On 18 November, ACOGEN, the Spanish CHP Association, held its Annual Assembly. An event that provided an opportunity to reflect on the current status of CHP in Spain following the application of the new tariff reduction framework that has brought about the stoppage of hundreds of CHP plants and an annual drop in production of 20%. The economic impact of the reform represents a loss of 973 M€ per year, an unacceptable figure for the Spanish industry affected. However ACOGEN believes that this situation, despite its complexity, is not irreversible and hopes that the adjustments and final developments to the new regulatory framework will improve the delicate situations affecting these CHP plants, restoring the confidence of industry and allowing this activity, that is crucial for the real economy, to survive.

ACOGEN, the Spanish CHP Association, held its Annual Assembly on 18 November during which its president, José Manuel Collados, stated that “the current industrial cogeneration framework is asphyxiating businesses, increasing their manufacturing costs and impeding exports”.

General Manager, Javier Rodríguez, pointed out that “with a fall in production of 20% and 10% of the plants completely shut down, almost half the industries in the sector are still waiting to find out about the final implementation of the new regulations to decide whether they can continue production or bring their activities to a complete halt as it will be impossible for them to compensate for the increase in their energy costs”.

Article published in: FuturENERGY November-December 2014