Renis admits that electricity prices are affected by geopolitical factors

The president of Naturgy, Francisco Reines, considered that energy prices, especially natural gas, “have not escaped the fluctuations” that geopolitical movements can represent, although they are currently at levels much more normal than the extremes seen with the crisis due to the war in Ukraine.

In his participation at the “Wake Up Spain 2024” forum, he noted that, as we saw this weekend with the conflict between Iran and Israel, “geopolitical tensions have not gone away” and that “markets are in fact already ruling out scenarios in which this could happen.” There can be different scales for the development of energy 'commodities'.

What Rennis estimates is that a potential crisis would now be better in the case of natural gas, because storage filling levels are “much better” and, in addition, “more” has been possible. Lower prices.”

On the other hand, the President explained Naturgy's commitment to biomethane and biogas, although he recognized that hydrogen would be “the great fuel of the future, because it is the most abundant chemical element in the universe.”

“No one can escape these facts. The other thing is that its production requires having a sufficiently compatible process with low cost. Electrolysis is not currently a low-cost process, but it requires renewable energy, renewable electricity generation, which is combined with which,” he said. “It will take time.”

IMAZ: “Decarbonisation is not just electrification”

For his part, Repsol CEO Josue John Imaz defended that decarbonisation does not only involve electricity, and asked that this energy transition process be approached from “thought and calm”, leaving aside “ideologies, demagogues or populist rhetoric”. “It's often made around this issue.”

He stressed, “Electricity is a very important part of the decarbonization process, and it does its job well. But decarbonization is not just electrification.”

In this sense, he called for decarbonization in a way that does not leave aside the security of supplies necessary to maintain economic activities.

“In 2022, electricity demand reached 23%, the same percentage as it was five years ago. This means that the remaining 77% of the economy did not use electricity,” he said, highlighting the group's commitment to renewable fuels.

Iberdrola: Electrification is an opportunity for Spain and Europe

Meanwhile, Iberdrola Spain CEO Mario Ruiz Tagle estimated that reindustrialization in Europe “should be an aspiration through the electrification of the economy.”

The director stated that they from Iberdrola are “clearly” committed to the electrification of the economy, as he considered that “this is where there is a great industrial opportunity for Spain and Europe”.

At the same time, he highlighted the role of electricity grids in promoting the energy transition, which he considered would require “clear” incentives, regulation, and fiscal policy that “stimulates investment.”

Bogas warns of the “problem” of closing nuclear plants

For his part, Endesa CEO, José Bogas, warned of the “problem” that the closure of nuclear power plants could pose, especially in regions such as Catalonia where 59% of the energy consumed is generated from these plants.

However, he noted that in 2019 a protocol was signed for the orderly closure of the nuclear plant in Spain in the period 2027-2035, and although he stressed that he was “intellectually” in favor of prolonging its useful life, Endesa would adhere to this. With agreement.

In any case, Bogas emphasized that 24% of the energy consumed in Spain comes from nuclear energy, “which is clean energy, free of carbon dioxide emissions, which gives stability to the system and avoids the use of fossil fuels.”