KEY POINTS
- Galicia mandates turbine upgrades for wind farms older than 25 years.
- Developers warn of increased legal risks and market fragmentation.
- New power purchase agreement rules aim to support local industry
The Spanish region of Galicia has announced a landmark regulation requiring wind farms to replace turbines once they reach 25 years of operation.
The measure, approved by the regional parliament on Tuesday, takes effect on January 1, 2025.
Under the new rules, developers must begin upgrading turbines with more efficient and taller versions or risk losing their operating permits.
This policy is the first of its kind in Europe, and it has already triggered a strong reaction from the renewable energy industry.
Critics, including industry association WindEurope, argue that decisions about upgrading turbines should be left to developers, not governments.
“When to upgrade assets has always been a decision taken by developers,” a spokesperson for WindEurope told Reuters.
Moreover, spanish wind industry group AEE and other trade associations issued a joint statement condemning the rule, saying it would disrupt development, increase litigation, and create uncertainty for investors.
Industry groups call for review, warn of legal risks
The industry’s main grievance lies in the uncertainty and legal risks posed by the upgrade mandate.
Developers fear the rule could discourage investments in Galicia’s renewable energy sector and fragment the Spanish wind energy market.
“The government should not be forcing developers to dismantle turbines after 25 years,” said a spokesperson from the Spanish Wind Energy Association (AEE).
“These decisions are typically guided by technical and economic considerations, not arbitrary age limits.”
Nicolás Vázquez, Galicia’s industry secretary, defended the rule, calling it a “proportional measure” that aligns with the permits originally granted to developers.
Vázquez explained that no wind farm will be dismantled immediately upon hitting the 25-year mark. Instead, the process will begin at 25 years, but no turbine will be removed before it is at least 31 or 32 years old.
“If technical or environmental conditions make it unfeasible, the upgrade process will not move forward,” Vázquez added.
He also noted that Galicia’s new rules are designed to make room for more efficient and eco-friendly turbines, boosting energy output while maintaining the integrity of the landscape.
Power purchase agreements added to regional wind strategy
Another key provision in Galicia’s new regulatory package is the introduction of temporary rules governing power purchase agreements (PPAs) for new wind projects.
These agreements allow wind farms to sell a portion of the energy they generate to local industries through long-term contracts, creating a stable revenue stream for operators.
The new measures will remain in place until Galicia updates its wind power plan, which could take up to three years, according to Vázquez.
The government says the temporary PPA framework is less stringent than earlier proposals and only applies to new projects.
In the next five years, around 3,000 turbines in Galicia will be affected by the upgrade requirement, according to estimates from the regional government. Industry players warn that the financial and operational burden of compliance could jeopardize the profitability of existing projects.
