Spain 131
distribution, and sale of electricity. The same market has also contributed to the
creation of a tariff deficit resulting from the difference between the income of
the electricity system and its regulatory costs. The tariff deficit reached €26
billion in 2013 (CNE/CNMC, 2007–2013), burdening both the RES sector and
end users. Thus, the energy policymaking processes have been criticised for
being developed unfairly by powerful actors while excluding the voices of those
potentially or actually affected (Clayton, 2000).
This can illustratively be seen in Spain, in this sense a unique case being the
only country where self- consumers are taxed for the electricity generated for
their own on- site usage beyond a normal fee for electricity exported to the grid
as in most counties. A Manifesto for the repeal of The Royal Decree 900/2015 has
been developed contrary to these procedural injustices, arguing that selfproduction and consumption constitute a community right and that systems
based on decentralised RES increase energy efficiency, create jobs, and boost the
local economy (Afman et al., 2017).
Second, the retroactive cuts of RES subsidies, as a response to the tariff
deficit (the Royal Decree of 2013) that broke the Spanish state’s promise, is a
foremost violation of recognition as the decree has not had any prior negotiation
with stakeholders (including RES investors), as highlighted repetitively by the
national wind association, AEE (McGovern, 2014).
As a result, in June 2016 hundreds of cases were brought before the Supreme
Court by investors who were against the legislative changes in an attempt for
restorative claims, yet the court ruled against the investors. The legal battle in
terms of retroactive cuts is not over yet. Now, many such investor companies
have turned to the International Centre for Settlement of Investment Disputes
with claims against Spain, with results still pending. Most recently, on 23 February 2018, in a second international ruling against retroactive cuts, Spain was
coerced to pay a Luxembourg- based investment firm €53 million in compensation (Weyndling, 2018).
Another very important dimension to consider in the renewable roll out is
the uneven allocation of risks and benefits of spatial factors and in terms of distributional questions. An extension and expansion of new geospatial requirements based on a shift to low- carbon alternatives (Bridge et al., 2013;
Bouzarovski and Simcock, 2017; Scheidel and Sorman, 2012), whether for solar
or wind, come about with distributional implications across both those regions
producing this energy and those consuming it. A case in the southern Catalonia
region has been well documented, where despite providing a surplus of electricity through wind production the region is still bound to the political and economic periphery (Franquesa, 2018).
Distributional implications also resulted through end users with disproportionate access to energy services and impacts on wellbeing in terms of energy
poverty. Concerns about energy poverty have been on the rise with estimates
indicating more than 1.5 million Spanish households in a situation of energy
poverty, meaning that over five million people have serious difficulties in
meeting basic energy needs such as electricity and gas (ACA, 2016; Raso,
distribution, and sale of electricity. The same market has also contributed to the
creation of a tariff deficit resulting from the difference between the income of
the electricity system and its regulatory costs. The tariff deficit reached €26
billion in 2013 (CNE/CNMC, 2007–2013), burdening both the RES sector and
end users. Thus, the energy policymaking processes have been criticised for
being developed unfairly by powerful actors while excluding the voices of those
potentially or actually affected (Clayton, 2000).
This can illustratively be seen in Spain, in this sense a unique case being the
only country where self- consumers are taxed for the electricity generated for
their own on- site usage beyond a normal fee for electricity exported to the grid
as in most counties. A Manifesto for the repeal of The Royal Decree 900/2015 has
been developed contrary to these procedural injustices, arguing that selfproduction and consumption constitute a community right and that systems
based on decentralised RES increase energy efficiency, create jobs, and boost the
local economy (Afman et al., 2017).
Second, the retroactive cuts of RES subsidies, as a response to the tariff
deficit (the Royal Decree of 2013) that broke the Spanish state’s promise, is a
foremost violation of recognition as the decree has not had any prior negotiation
with stakeholders (including RES investors), as highlighted repetitively by the
national wind association, AEE (McGovern, 2014).
As a result, in June 2016 hundreds of cases were brought before the Supreme
Court by investors who were against the legislative changes in an attempt for
restorative claims, yet the court ruled against the investors. The legal battle in
terms of retroactive cuts is not over yet. Now, many such investor companies
have turned to the International Centre for Settlement of Investment Disputes
with claims against Spain, with results still pending. Most recently, on 23 February 2018, in a second international ruling against retroactive cuts, Spain was
coerced to pay a Luxembourg- based investment firm €53 million in compensation (Weyndling, 2018).
Another very important dimension to consider in the renewable roll out is
the uneven allocation of risks and benefits of spatial factors and in terms of distributional questions. An extension and expansion of new geospatial requirements based on a shift to low- carbon alternatives (Bridge et al., 2013;
Bouzarovski and Simcock, 2017; Scheidel and Sorman, 2012), whether for solar
or wind, come about with distributional implications across both those regions
producing this energy and those consuming it. A case in the southern Catalonia
region has been well documented, where despite providing a surplus of electricity through wind production the region is still bound to the political and economic periphery (Franquesa, 2018).
Distributional implications also resulted through end users with disproportionate access to energy services and impacts on wellbeing in terms of energy
poverty. Concerns about energy poverty have been on the rise with estimates
indicating more than 1.5 million Spanish households in a situation of energy
poverty, meaning that over five million people have serious difficulties in
meeting basic energy needs such as electricity and gas (ACA, 2016; Raso,