Iconic Building Project: Bilbao Island Smart City District

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Zorrotzaurre, a 2.5km artificial peninsula in Bilbao, is being transformed from a post-industrial wasteland into a cutting-edge smart city district.
Iberdrola & Bilbao City Council are transforming an old industrial area into a net zero emissions smart city testing ground for renewable energy solutions

In the heart of Bilbao, Spain, an ambitious urban regeneration project is taking shape. Zorrotzaurre, a 2.5km artificial peninsula created in the 1950s and 60s, is being transformed from a post-industrial wasteland into a cutting-edge smart city district.

The area, which fell into decline following an economic recession in the 1980s, is now the focus of a major redevelopment plan designed by renowned architect Zaha Hadid. The project aims to create a diverse urban environment that supports Bilbao's evolution from an industrial centre to a knowledge-based hub.

Asier Abaunza Robles, Councillor for Urban Planning & Public Space at Bilbao City Council, explains: "We want this to be a net zero emissions island, building new systems not only for Zorrotzaurre but also to create and promote renewable energy for the surrounding neighbourhoods."

Iberdrola leads Zorrotzaurre energy transition

At the heart of the development is a focus on smart energy solutions. Iberdrola, a Spanish multinational electric utility company, is leading the charge as part of the European ATELIER initiative.

Jose Ignacio Hormaeche from the Basque Energy Cluster describes the project as "a living lab where new technologies around renewable energy generation, smart metering, grid monitoring and digital management of services are tested in a real-life place with real customers".

The Basque Energy Cluster is a non-profit organisation set up in 1996 with the mission of improving global competitiveness of the Basque energy sector companies through industry-driven collaboration along value chains and underpinned public-private partnerships.

The project incorporates various technologies, including electric mobility, self-consumption, storage, and smart grids.

Nico Arcauz, Smart Grids Director at Iberdrola, emphasises the significance: "It's a flagship project. We're installing new intelligent solutions to balance the network and make it smarter."

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Technology campus brings innovation to Bilbao peninsula

The redevelopment includes the creation of a Technology Campus, which will house companies specialising in AI, big data, and Internet of Things technologies.

Two bridges now connect the island to the Deusto district: the Frank Gehry Bridge, opened in 2015, and the San Ignacio Bridge, completed in 2020. 

These connections integrate Zorrotzaurre into the wider city fabric.

However, challenges remain, with Arcauz identifying investment as a key hurdle: "The main challenge is the lack of investment. To invest, we need certainty, predictability, and a good enough return – that is key for the energy transition to take place."

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