Geothermal energy in Spain is still underdeveloped, especially compared to countries like Germany or Italy—but it has growing potential, particularly for heating and future electricity generation.
Current situation
- Spain has very little geothermal electricity production today (almost none at commercial scale)
- The sector is mainly focused on:
- Heating & cooling (shallow geothermal / heat pumps)
- Small-scale projects in buildings and agriculture
- Installed geothermal heating capacity is about ~220 MW (heat pumps)
In simple terms: geothermal in Spain is used more for buildings than for power plants.
Where geothermal potential exists
Spain’s geothermal resources vary a lot by region:
1. Canary Islands (highest potential)
- Volcanic origin → best conditions for electricity generation
- Major islands:
- Tenerife
- La Palma
- Gran Canaria
- Could supply a large share of local electricity if developed
This is the only region where large geothermal power plants are likely.
2. Mainland Spain
Lower-temperature resources → mainly for heating:
- Catalonia
- Galicia
- Andalusia
- Madrid region
- Pyrenees
These are suitable for:
- District heating
- Greenhouses
- Industrial heat
Electricity production (future plans)
Spain is just starting geothermal electricity development:
- Government targets:
- 15 MW by 2025
- 30 MW by 2030
- Large projects planned in the Canary Islands:
- Tenerife: up to 100 MW+ potential
- La Palma: ~30 MW project
Important: These are planned or early-stage, not yet fully operational.
Direct-use applications (most important today)
Geothermal is already used in Spain for:
- Heating & cooling buildings
- Example: City of Arts and Sciences geothermal cooling project
- Agriculture
- Heating greenhouses (e.g., Almería projects)
- Public infrastructure
- Sports centers, administrative buildings, etc.
Growth and investment
Spain is actively trying to expand geothermal:
- €120 million in funding for exploration and feasibility studies
- 14 major study projects underway (mostly in Canary Islands)
- Strong focus on reducing fossil fuel dependence on islands
Challenges
- Limited high-temperature resources on mainland
- High drilling costs and geological uncertainty
- Strong competition from cheap solar and wind (Spain is a solar powerhouse)
- Projects still in early stages
Conclusion
- Spain has significant geothermal potential, but:
- Almost no electricity production yet
- Strongest opportunity is in the Canary Islands
- Current use is mainly heating & cooling
- The sector is emerging, with real growth expected after 2025–2030.