Hybridisation drives the next leap in Iberian renewables

At an Enlit Europe session focused on innovation in the Iberian energy landscape, industry leaders explored how the region can use renewables more intelligently. Their consensus: hybridisation and co-location will be central to achieving that shift.

Silvia Encinas Hernanz, Strategic Growth Director at EDP Spain, stated: “If the last ten years have been about proving that renewables can power our lives, I would say that the next ten years will be that these renewables can do it intelligently, efficiently and sustainably.”

Encinas Hernanz suggests that hybrid projects make renewables more resilient, which is why EDP is currently investing in hybrid projects.

“For us, hybridisation is not just technical innovation, it’s a change in mindset: it’s about doing more with what we already have.”

One example of an EDP project is the Alqueva power plant in eastern Portugal, the largest floating solar-hydro hybrid project in Europe. While it’s the company’s first hybrid project in Iberia, EDP is currently approaching 1GW of hybrid projects in 10 different locations.

And that pipeline will keep growing, says Encinas Hernanz.

Maria del Carmen Vozmediano Serrano, Head of Development Renewables at Iberdrola, echoes this sentiment, adding that hybridisation is beneficial for the system as it increases generation capacity without requiring an increase in investment in transmission infrastructure.

Also, she explains that for developers, the CAPEX of a hybrid project is lower than the CAPEX of a standalone, as the hybrid project can take advantage of the existing infrastructure.

The math is simple - the combination of technologies provides better income and greater stability.

Vozmediano Serrano adds: “The reality here in Spain is, access to the grid is blocked. So, lots of developers have to take advantage of hybridisation to be able to keep on investing in renewable generation.”

According to Gregorio Morales Schmid, Chief Commercial Officer at Sonnedix: “Hybridisation is the real breakthrough we’ve seen in renewables.” 

However, while hybridisation involves innovation on the technology side it also requires innovation on the finance side. He refers to the evolution in banks when it comes to financing renewables. “Now, with including batteries and hybrid projects, this is something completely new for banks.”

And it’s a challenge in Europe because the continent is only starting out on its hybrid journey.

“We need to convince and bring in the banks to finance these new projects, because that is what the customer is looking to get from us.”