Spain's government, wind sector fail to agree on subsidies

MADRID (Reuters) - Spain's Socialist government and its wind power industry failed to reach agreement on subsidies for new capacity post 2012 and any decision on sector support should be left until after the November 20 elections, wind power lobby AEE said on Friday.

The AEE said it had asked the government to scrap its plans to legislate on a wind power subsidy it says will cut financing for the sector, destroy over 15,000 jobs an make 2020 renewable energy installation targets unachievable.

"In this context and given the proximity of the general elections, the sector urges the government formed after the polls on November 20 to work to avoid a legal vacuum in wind from 2013," AEE said in a statement.

An AEE spokeswoman said late Thursday it was trying to pressure the government to improve a proposal for wind power subsidies which the industry ministry said was its final offer.

A massive roll out of wind farms in Spain has made the country the fourth-largest generator of wind power in the world.

(Reporting by Jonathan Gleave; Editing by David Holmes)