Spain greenlights €60 M power line needed to supply PowerCo's Sagunto gigafactory
The Spanish government on Monday authorised construction of the La Plana-Morella high-voltage line, a critical piece of infrastructure to secure electricity supply to PowerCo's battery gigafactory in Sagunto.
After nearly two decades of administrative hurdles, the Ministry for Ecological Transition published its approval in the Official State Gazette (BOE), clearing the way for a new 86.94-kilometre double-circuit 400 kV corridor between the Morella and La Plana substations in Castellón province. The project budget exceeds €60 million and the line must be operational before end-2028.
The connection is essential for PowerCo's Sagunto battery plant — a wholly owned subsidiary of Volkswagen Group targeting production start in autumn 2026, with a planned capacity of 40 GWh per year, enough to equip around 500,000 electric vehicles annually. Spain's grid regulator, the CNMC (National Markets and Competition Commission), reports that Castellón's network is at 100% saturation and Valencia's at 88%, making the upgrade unavoidable.
The permit also covers decommissioning the existing single-circuit line between the same substations — closure approved on 3 June — resulting in 25% fewer pylons and better landscape integration. Reporting: Valencia Plaza.