Over the last year coal-fired technology has seen its share in the mix reduced to a minimum, mainly in line with and as of the result of the progress of the energy transition. The decarbonisation challenges set by the European Union aimed at reducing CO2 emissions have meant that coal-fired generation, which is more polluting than other technologies, is no longer as attractive as, for example, renewable energy, which was the technology that covered more than half of the electricity generation in May (52.4%).
Furthermore, the fact is that green technologies entail lower costs because they do not need any other fuel other than just the water collected in reservoirs due to rainfall, the velocity of the wind or the intensity of the sun’s radiation. In addition to promoting the commissioning of new renewable power capacity within the national electricity system, the implementation of the European Union’s Large Combustion Plant Directive (LCPD) requires the investment in technical apparatus designed to purify the waste gases by combustion.
The current economic situation is aggravated by the rise in prices resulting from the auctioning of CO2 emission rights, which has quadrupled since 2013, when it closed with an average of 4.38 euros/tCO2, while in the first five months of 2020 the average price was 21.69 euros/tCO2.