The Spanish government openly expressed concern last month over the emergence in Spain of several foreign wind companies, claiming that the heavily subsidised sector was under threat from companies abroad. Francisco Serrano, the director of the government-run IDAE institute, told Spain's largest circulation newspaper, El Pa’s, that penetration of the market by Danish, American, British and Japanese firms could hurt the Spanish government's medium term target to turn national wind companies into a highly competitive industry, both at home and abroad. According to El Pa’s, Serrano admitted his fears could be interpreted as protectionism, but claims he was highlighting the subsidies afforded foreign wind developments in Spain, which in some cases had amounted to 25% of a project's costs. Vestas of Denmark and Kenetech of California are already well established in Spain's Canary Islands, in Tarifa in southern Spain, and Navarre in the north, while Denmark's Elsam Projekt and Nordtank, along with SeaWest of California, are seeking approval for projects in Galicia, on Spain's north-western border.

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