Why Can Spain Embrace Large-Scale Solar So Rapidly?

· HM,RE,JPN

Geography and the Structural Foundations of Solar Expansion

We, Hourly Matching Promotion Council Japan is currently conducting field research across Spain. Today, we are in Barcelona.

Over the next three articles, I would like to present a broader analysis of why Spain has been able to accommodate large-scale solar deployment at a pace rarely seen elsewhere in Europe, and what lessons this may hold for Japan.

Spain’s Exceptional Solar Expansion Within Europe

Spain has emerged as one of Europe’s most aggressive adopters of large-scale solar power. By 2025, the country’s installed solar PV capacity had surpassed approximately 50 GW, placing Spain among the largest solar markets in the European Union, second only to Germany in installed capacity terms. Solar power now accounts for roughly 20% of Spain’s annual electricity generation, standing alongside wind power as one of the country’s dominant generation sources.

This transformation is particularly remarkable because Spain achieved it despite earlier policy disruptions, including the retroactive revision of feed-in tariff schemes in the 2010s. Even after those setbacks, the country maintained a long-term strategic commitment to renewable energy deployment.

While many discussions focus on policy instruments such as FITs, auctions, or PPAs, the more fundamental question may be this: Why was Spain physically and socially capable of deploying large-scale solar infrastructure at such speed and scale in the first place?

Three Structural Conditions Behind Large-Scale Solar Deployment

My working hypothesis is that utility-scale solar deployment tends to accelerate when three structural conditions are simultaneously present.

The first condition is obvious: strong solar irradiation.

The second is the existence of land with relatively limited alternative economic use — areas where vegetation density is low and population density is modest. In such environments, land-use conflicts and social opposition tend to be comparatively manageable.

These two conditions are commonly found in deserts or semi-arid regions.

However, this alone is insufficient.

If abundant sunlight in deserts were the only requirement, humanity could theoretically satisfy global electricity demand simply by covering remote deserts with solar panels.

In practice, the economics and physics of transmission make this far more complicated.

This leads to the third and perhaps most important condition: proximity to major demand centers.

Even if solar resources are outstanding, projects become economically challenging when they are located far from industrial clusters or urban consumption hubs, because massive transmission investments become necessary.

In reality, the most favorable environments for large-scale solar development are regions where semi-arid land and large electricity demand coexist within relatively close geographic distance.

The Geography of Global Solar “Sweet Spots”

Globally, such regions are surprisingly rare.

Southern California is one example. Los Angeles sits adjacent to vast desert regions extending toward Nevada and Arizona.

The Gulf region is another. Dubai and Abu Dhabi are located near some of the world’s most solar-rich desert environments.

Chile provides another compelling case. Santiago lies relatively close to the Atacama Desert, one of the highest solar irradiation zones on Earth.

India also demonstrates this pattern. A corridor stretching from Delhi through Jaipur in Rajasthan toward Ahmedabad in Gujarat and onward to Mumbai connects major urban and industrial centers with extensive arid and semi-arid regions suitable for utility-scale solar deployment.

These locations share a distinctive geographic structure: large electricity demand centers positioned near land that is climatically favorable for massive solar development.

Such configurations are uncommon globally and can almost be viewed as geographic “singularities” for large-scale solar expansion.

Spain Also Possesses These Structural Characteristics

Spain, particularly in its southern regions, exhibits many of these same conditions.

Around Córdoba and Seville, broad semi-arid landscapes extend across Andalusia. While not deserts in the strict sense, these areas feature relatively dry climates, sparse forest density, and lower population concentrations compared with much of Europe. Productive land is often dedicated to olive cultivation or grazing rather than intensive agriculture.

Section image

As a result, land-use competition for solar development has historically been less severe than in densely populated or heavily forested European regions.

Section image

At the same time, Spain has experienced long-term demographic shifts similar to those seen in parts of Japan. Population and economic activity have gradually concentrated in coastal cities and major metropolitan areas, while some inland regions have faced depopulation and economic contraction.

Yet Spain’s major industrial and urban centers — including Madrid, Barcelona, Valencia, Málaga, Bilbao, and San Sebastián — remain geographically connected to these solar-suitable inland regions through relatively mature transmission infrastructure.

Section image

In other words, Spain satisfies the crucial condition of having large demand centers located relatively close to dry, sparsely populated land suitable for utility-scale solar development.

Renewable Energy Transitions Are Deeply Geographic

One of the key lessons from Spain is that renewable energy transitions are not universally replicable models.

The success of renewable deployment in one country does not automatically imply that the same approach can be transferred directly elsewhere.

Solar power deployment is profoundly shaped by geography: climate conditions, land availability, vegetation density, agricultural patterns, industrial concentration, transmission topology, and demographic structure all matter.

Japan, for example, faces very different structural conditions. Mountainous terrain, high forest coverage, concentrated population density, fragmented flatland availability, and stronger land-use competition create fundamentally different constraints for utility-scale solar deployment.

This does not mean Japan cannot expand renewable energy. Rather, it suggests that the optimal pathway may differ significantly from countries such as Spain, the United States, Chile, or parts of India.

Future energy strategies must therefore be designed not only around technology and policy, but around the underlying geographic and social realities of each country.

Visit our site and join us!

Section image