Keeping the nuclear fleet operating will allow the industry to save €1.4 billion per year, according to Monitor Deloitte
The consulting firm Monitor Deloitte has presented at the Spanish Confederation of Business Organizations (CEOE) the report “La contribución de la energía nuclear a la competitividad industrial en España” (The contribution of nuclear energy to industrial competitiveness in Spain), which states that Spain must ensure a stable, competitive, resilient and decarbonized electricity supply if it wants to strengthen its position as an attractive destination for industrial development and investment. In this context, extending the operation of the Spanish nuclear fleet is presented as a key strategic measure.
Energy costs are a determining factor for Spanish industrial companies, since they amount to an average of nearly 25% of their operating profit. In energy-intensive sectors such as metallurgy, chemicals, cement, ceramics and paper, this share can go as high as 95%, according to the Monitor Deloitte report presented on 15 January at the headquarters of the Spanish Confederation of Business Administrations.
An electric system with firm and predictable generation, such as that provided by nuclear power, is essential to offer affordable and stable prices over time. In addition, the electricity produced by nuclear energy is perfectly suited to the industrial consumption profile: constant, high, non-seasonal demand located close to production centers. The report shows that the industry's average annual operation at full load is 6,400 equivalent hours, compared with 7,500 hours for the nuclear fleet.
Monitor Deloitte recommends the long-term operation of the nuclear fleet to ensure security of supply at competitive prices
Moreover, Spain's energy context has changed since a timetable was set in 2019 for the gradual shutdown of nuclear power plants between November 2027 and May 2035. The development of renewable energy sources and storage (batteries and pumped storage) is progressing more slowly than the targets outlined in the Integrated National Energy and Climate Plan, and international developments have heightened the importance of ensuring security of supply at competitive prices. All this is without losing sight of the continued importance of reducing greenhouse gas emissions.
Key aspects of the report
According to the Monitor Deloitte study, extending the operation of the nuclear fleet beyond the scheduled shutdown dates would make it possible to reduce electricity prices by around €15/MWh in 2035, avoid the emission of some 14 million tonnes of CO₂ per year, and provide stability in the face of market volatility.
Monitor Deloitte estimates annual savings of $1.4 billion for industry if nuclear power plants remain in operation
Savings would amount to €1.4 billion per year for the Spanish industry, which as a whole generates a significant economic impact by contributing around €150 billion in gross value added—an indicator of economic activity and wealth creation used as a proxy for gross domestic product, calculated as output minus intermediate consumption—and by directly employing 2.2 million workers.
In summary, Monitor Deloitte concludes in its report that extending the operation of Spanish nuclear power plants would directly contribute to improving industrial competitiveness, added value, employment and social development across the country.
Main conclusions from the presentation of the report
The first speaker at the public presentation of the study, held at the CEOE headquarters, was Laureno Álvarez, Partner at Monitor Deloitte, who stated that Spain must ensure a stable, competitive, resilient, and decarbonized electricity supply by extending the operation of its nuclear fleet in order to safeguard industrial competitiveness and Spain’s attractiveness as an industrial destination.
This was followed by a speaker panel discussion featuring Manuel Argüelles, Director General for Energy and Mines of the Government of the Valencian Community; Carlos Reinoso, spokesperson for the Alliance for the Competitiveness of Spanish Industry; and Ignacio Araluce, President of Foro Nuclear.
Reinoso, spokesperson for the Alliance for the Competitiveness of Spanish Industry, defended several ideas he considers fundamental: technological neutrality; the contribution of nuclear energy to security of supply and to competitive energy costs for industry, and the opportunity to reconsider the shutdown timetable for Spain’s nuclear fleet.
In turn, the Director General for Energy and Mines of the Government of the Valencian Community recalled that “there is no country in the world that has nuclear energy and is considering closing its plants,” and argued that nuclear power plays a fundamental role in Spain’s path toward energy sovereignty, while also being a technology that contributes to reducing polluting emissions.
The President of Foro Nuclear emphasized that “if nuclear power plants are shut down, Spain would emit more than 50% of its current CO₂ emissions, electricity prices would rise and the electricity supply would become unstable, among other serious consequences. We have assets that, with 5% of installed capacity, generate 20% of the country’s electricity.”
The event concluded with remarks by CEOE President Antonio Garamendi, who defended climate neutrality and stated that at the firm he represents there is no debate: ‘Nuclear technology is necessary. It is a baseload generation source that contributes to economic competitiveness for companies and to security of supply.’
