Spain is experiencing a genuine boom in the battery sector , with dozens of energy storage projects and a gigafactory under construction. The combination of European funding, the need to stabilize the electricity grid, and the commitment to electric mobility are driving multi-million euro investments that will transform the country's energy landscape.
From northern Navarre to the Canary Islands, passing through Castellón and Zaragoza, battery storage initiatives are multiplying. Companies like Statkraft, Sungrow, Telefónica, and Stellantis are leading projects that not only improve the efficiency of the electrical system but also generate employment and economic activity in the regions where they are installed.
Storage projects throughout Spain
Statkraft, Europe's leading renewable energy producer, has received the first battery energy storage system (BESS) that it will integrate with its Montes de Cierzo wind farm in Tudela, Navarre. The system consists of six lithium-ion battery containers with a capacity of 14,26 MW and 28,51 MWh, with a charge and discharge time of two hours. The investment totals €4 million and has received public funding from IDAE (the Spanish Institute for Energy Diversification and Saving) through the Next Generation EU funding program. The company is also developing eleven other hybridization projects in Galicia, Andalusia, Navarre, and Extremadura , totaling more than 200 MW, and two stand-alone systems with an additional 90 MW.
In the Canary Islands, the municipality of Arico in Tenerife is home to the archipelago's largest energy storage facility, developed by DISA. It combines an 8 MW photovoltaic plant with an 8 MWh battery system , representing a €2 million investment also financed with Next Generation EU funds. The Minister for Ecological Transition, Mariano Hernández Zapata, emphasized that these batteries allow for the storage of surplus solar energy, releasing it when the grid needs it, thus improving the stability of the island's electrical system.
In Vall d'Uixó (Castellón), Sungrow Renewables is developing three major BESS projects: Cuevas, ALM Julben Solar, and ALM Vadux Solar. The combined investment reaches €150 million and adds approximately 700 MWh of storage capacity, enough to power 100.000 homes during peak hours. These projects will generate nearly €1 million annually in municipal taxes (property tax and business tax) and create opportunities for local businesses during their construction and operation. The company emphasizes that this infrastructure is crucial to preventing blackouts like the one experienced on the Iberian Peninsula.
Batteries for telecommunications resilience
Telefónica and Cellnex have expanded their agreement to install batteries on telecommunications towers, aiming to guarantee service during power outages. The initial agreement for 2.000 towers has been extended to 3.800 sites , and the deployment will be complete by June 2027. The government is preparing a royal decree that will require telecom companies to install batteries that ensure at least two hours of operation on towers covering 75% of the population. Telefónica already had batteries on 700 towers above its central offices, and this collaboration strengthens its network.
Battery manufacturing: the Figueruelas gigafactory
Stellantis and the Chinese giant CATL have begun construction of a gigafactory in Figueruelas (Zaragoza, Spain) that will start operations at the end of 2026 and reach full capacity in 2028. The 370.000-square-meter plant will produce one million batteries per year and employ 4.000 local workers, in addition to 800 Chinese technicians during the construction phase. The total investment is €4.100 billion, with €300 million coming from the European Connected Electric Vehicle (EEV) program. This joint venture, called Contemporary Star Energy (CSE), will supply batteries for 60 electric models from brands such as Peugeot, Citroën, Opel, Fiat, and Jeep, helping to make electric cars more accessible in Europe.
Overall, Spain is consolidating its position as a strategic hub for battery storage and manufacturing, with investments exceeding €4.250 billion and projects ranging from wind farm hybridization to telecommunications resilience. The combination of European funding, public-private partnerships, and a commitment to technologies like lithium-ion are laying the foundation for a more flexible, secure, and decarbonized electricity system, while simultaneously creating thousands of jobs and boosting local economies.
