Spain’s railway infrastructure manager, Adif, is set to fully transition its railways to renewable energy from 2026 to 2030. This significant initiative involves a €1.33 billion tender for a green electricity supply, which aims to ensure all electricity used by Spanish railway operators comes from renewable sources.
Adif’s new Energy Supply Strategy retains existing contract structures while introducing enhanced tools for managing energy costs and risks. Notably, the tender excludes network access fees, allowing railway operators to negotiate directly with suppliers for greater transparency in pricing.
The updated tender requires all suppliers to provide transition price offers indexed to market conditions. This mandates that railway operators can secure their electricity costs for flexible periods—monthly, quarterly, or annually—tailored to their specific operational needs. Adif plans to select three leading bidders based on competitive assessments and negotiate contracts that favor railway operators.
To mitigate price volatility and optimize energy management, Adif is implementing several innovative strategies. The pricing model will link costs to actual usage, along with OMIE market rates and balancing services. Additionally, Adif will manage electricity distribution points divided into 16 geographical areas, acknowledging regional supply variations and advantages.
A new hedging mechanism will align with OMIP’s liquidity periods, allowing railway companies to time their hedging strategies effectively while Adif negotiates supplier agreements on their behalf. This designed flexibility aims to shield operators from market fluctuations.
In terms of energy consumption, Adif projects that traction energy usage on its rail lines will reach 2.76 TWh in 2024, increasing to 2.79 TWh by 2025 due to heightened rail activity. The entire energy supplied through the new tender will be certified renewable, adhering to the Guarantees of Origin.
This initiative aligns with Adif’s Climate Change Action Plan for 2018-2030 and Spain’s carbon neutrality transportation goals. By adopting a more transparent and dynamic procurement approach, Adif is empowering operators to manage energy costs effectively, ensuring that Spain’s railway system operates on 100% clean energy. This move also reinforces Spain’s commitment to environmental sustainability.