Green Meiga Project
Green Meiga, a strategic project to accelerate the production of green methanol in Spain
In December 2023, Iberdrola Clientes, a company that is part of Iberdrola España, and Foresa signed a Grant Agreement with the European Climate, Infrastructure, and Environment Executive Agency (CINEA). The amount of this Innovation Fund grant totalled €122.9 Million, which constitutes a fundamental step for the development of this large-scale green methanol project in Spain.
E-Methanol GREEN MEIGA Project
What is green methanol?
Green methanol is methanol that has been produced renewably and without polluting emissions, one of its variants being generated from green hydrogen. This chemical compound can be used as a low-carbon liquid fuel and is a promising alternative to fossil fuels in areas where decarbonisation is a major challenge, such as the chemical industry (as a low carbon footprint raw material) and maritime transport.
Green Methanol only uses renewable energy sources in its production process, ensuring that no harmful gases are emitted into the atmosphere. Thus, green methanol is synonymous with clean, renewable methanol.
The company is a pioneer in green hydrogen with two real plants already operating in the country: a 20 MW plant for fertilisers in Puertollano and a 2.5 MW plant for heavy mobility in Barcelona. Our ambition does not end here, and our target is to reach 3 GW of installed electrolyser capacity globally by 2030. As a natural progression to our investment in green hydrogen, the Company is now developing green methanol projects to serve customers in the chemical and maritime industries.
Foresa is a chemical industry with more than 50 years of experience in chemical processes and production plants in Spain, Portugal and France. Methanol is one of the main raw materials for the formaldehyde and resins production and is used in several sectors and final products, such as the wood industry, packaging, construction, cork, pharmacy, composites, biofuels, insulation materials, etc. And in its sustainability path, the use of low-carbon raw materials is part of the business strategy. In addition, Foresa has a maritime terminal in the port facilities, which can be used for bunkering operations.
Green Meiga, a key initiative for the decarbonization of Spain's chemical sector
The Green Meiga project will receive €122.9 million of funding to produce 100,000 tonnes/year of e-methanol.
This project has been conceived as a door-opener in the sector, which will help unlock future investments in e-methanol. This will be the result of generating an enriching know-how and unquestionable Highly Competitive Outcomes in three technological areas that will spearhead the mass deployment of e-methanol technology in the coming years. These Highly Competitive Outcomes comprise the following: enhanced production performance (Highly Competitive Outcome 1); improved operational flexibility (Highly Competitive Outcome 2); and competitive production costs (Highly Competitive Outcome 3). For this, the project will develop novel concepts and technologies that cluster in a single integrated system, as an all-in-one, high-tech, e-methanol processing solution, which will be capable of avoiding 2,901,078.24 tonnes (t) of CO2 emissions (CO2eq) thanks to its integration in a unique business case.
The Green Meiga project will have access to a relevant uncovered market share, reinforcing the market positioning of Iberdrola España and Foresa as key players of the e-methanol industry. The strong commitment of both companies allows them to set out such an ambitious path, which will follow in the forthcoming years with a replicability plan, reaching more strategic and carefully-selected sites. Green Meiga initiated its strategic initiative by launching an ambitious and challenging industrialisation roadmap, designed as synonymous with a guarantee to ensure a reliable market take-up of the solution by the year 2029. To that end, the Company has formalised its nomination to the IF-LS programme to support the great investments required for the construction and operation of a commercial high-tech solution capable of producing 100,000 t/y of e-methanol by generating 20,000 t/y of green hydrogen and capturing 152,698 t/y of CO2. This translates into a reduction of 2,901,078.24 tCO2eq/y, which is circa half of the effect of the Yosemite National Park in the USA.
The cost-efficient production of e-methanol is essential for the chemical sector’s decarbonisation pathway, contributing to the European goal of reaching climate neutrality by 2050. The project will also contribute to the goals of the REPowerEU Plan of reducing fossil fuel consumption in industry and transport. As methanol is an important feedstock in the chemical industry, the on-site production of e-methanol can reduce GHG emissions, stimulate local economies and reduce the EU’s current fossil fuel dependency.
Green Meiga provides stability, reliability and sustainability to the economic model as well as social and territorial cohesion, as it will contribute to the creation of green jobs in Spain, expecting to create up to 426 jobs during the operation stage (considering permanent, temporary and induced) and around 6,000 jobs during the construction stage.
Roles of the Green Meiga Project Participants
The company will act as Coordinator, thus leading and monitoring all those activities carried out during the main phases of the project. From an operative point of view, Iberdrola España will be essentially involved in those activities related to the hydrogen production module, where it has a wider background and experience.
Foresa will carry out all of those activities related to the reception and refinement of CO2 from biogenic sources and the CO2-capture module, also including the e-methanol synthesis. Furthermore, FORESA will strongly support the development and implementation of the Knowledge Sharing Plan.
What are the main uses of green methanol?
Methanol (CH₃OH), also known as methyl alcohol, is a chemical compound in great demand due to its many industrial applications. It is used as a solvent and as an antifreeze, as well as in the production of plastics, wood boards, building materials and synthetic fuels, among others.
The expansion of green methanol as an alternative fuel to fossil fuels is particularly attractive to the high-value chemical and maritime industries because, being liquid at room temperature, it is much less costly to store and transport than gaseous fuels. Additionally, e-methanol has the lowest carbon footprint of all liquid fuels, further increasing its value. It can also be used in both internal propulsion engines and to power fuel cells, providing flexibility depending on individual needs.
The Iberdrola Group is driving the growth of renewable energy and electrification in Spain
The Iberdrola Group, of which Iberdrola España is a part, started investing in renewable energy more than two decades ago as the foundation on which to build its clean, reliable and smart business model. Thanks to this acumen, the company is today a world leader in renewable energy, with 41,250 MW of operational renewables by the end of the first half of 2023 and with 7,100 MW under construction, and on the cutting edge of the energy transition towards a low-emissions economy.
This commitment is reflected in our 2025 Strategic Plan, which will allocate around €17,000 million to the renewables business. Thanks to these investments, Iberdrola will increase its installed renewable capacity by 12,100 MW to 52,000 MW in 2025.
The decarbonisation of the planet is among the objectives that countries around the world have set for 2050. The commitment to a decarbonised society is everyone's task. At Iberdrola, we are committed to spearheading the energy transition, a challenge that we undertook 20 years ago and that has made us a world leader in renewables.
We are committed to the electrification of the economy, the promotion of green energy and technological innovation. In this sense, the project Green Meiga together all these commitments and puts us in the right direction to ensure a greener future for next generations.
The company advances its green methanol project with key amendment and regulatory momentum
In December 2025, the company, acting as the project coordinator, signed an amendment to the Grant Agreement with the European Climate, Infrastructure and Environment Executive Agency (CINEA), marking an important milestone for its green methanol initiative.
Following the completion of the project’s basic engineering works—commonly referred to as PRE-FEED—and after carefully assessing the technical and economic outcomes, the company determined that changes were needed to ensure the project’s long-term viability. As a result, the amendment formalized the relocation of the methanol project from Begonte, in Galicia, to Huelva, in Andalusia.
The revised agreement also expanded the project consortium with the incorporation of MAGNON, a key partner in the new location. MAGNON brings strategic assets essential for the project’s development, including suitable land, access to biogenic CO₂, existing environmental permits, and a reliable water supply (Magnon Green Energy, Ence’s renewable energy business is the first company in Spain in renewable energy production with forestry and agricultural biomass. Magnon has a total installed capacity of 266 MW of agroforestry biomass power generation. Its renewable energy production is around 1,500 GWh/year). In addition, CINEA agreed to allow a delay in the project’s start of operations, now scheduled for the end of 2028.
A critical factor underpinning the feasibility of the project lies in the evolving European regulatory framework. In particular, the RefuelEU Aviation regulation introduces mandatory quotas for e-SAF (synthetic aviation fuels), where the methanol-to-jet pathway is expected to play a central role, alongside penalties for non-compliance. Equally important is the final transposition of the RED III directive in Spain, which could enable long-term commitment from e-methanol offtakers. Such commitments are widely seen as the fundamental lever for unlocking the large-scale development of e-methanol projects across Europe.
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