European energy infrastructure is one of the more interconnected in the worldone in seven electricity units It is marketed through terrestrial and submarine cables. However, electrical networks They need more connections and improvements to guarantee stability and energy safety. Now, a German company has decided to challenge the monopoly structure of Spain.
German initiative. The Europe Link Development Company has proposed Apollo-Link, a project to create underwater interconnection between Spain and Italy. From the project page They have explained that it is an alternative to continue promoting networks in Europe and more in A context of energy crisis. In this way, the initiative would allow Italy to reduce its energy dependence and take advantage of the renewable energy of Spain.
Connection so far. Currently, the interconnection of Spain with the rest of the EU countries is done through France, except with Portugal. The Spanish electricity grid has exclusivity in the transport of electricity, so the German project will challenge the monopoly structure. However, there are exceptions for private international interconnection projects that can be described as “Merchant Lines”.
Merchant Lines. European legislation allows third parties outside of transport networks (TSOS) to develop international interconnections under the “Merchant Lines” regime, which is eximicated from the regulations of the Spanish electricity sector. However, these projects must meet certain requirements, and the technical-economic viability of the interconnection must be demonstrated. Despite the possibility of these private projects, the TSO always have preference to execute projects that conform to the official network planning.
Economic impact. As The economist has been able to have accesswithin the energy sector they have warned about the implications of this project. While Italy would benefit from Spanish renewable energy, on the other hand Spain would experience an increase in electricity prices due to the greater exchange with other countries. The negotiation of economic terms and the distribution of benefits and costs will be crucial to avoid disadvantages for the country, as already It happened in full crisis of 2022. In addition, before the implementation of the project, thorough studies must be carried out to evaluate its impact on the networks of both countries.
What will it consist of? Europe-Link Development has mentioned which seeks to facilitate the exchange of electricity between Spain and Italy. The objective is to link the electrical systems of both countries through an underwater cable of 660 kilometers and an exchange capacity of 2,000 MW. However, it is in a preliminary phase and needs the approval of the managers of the electrical networks of Spain and Italy, Electric and Terna, respectively.
Image | Apollo-Link
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