Population and demographic structure

The population of Palas de Rei revealed a trend common to most Galician municipalities, marked by a continuous loss of inhabitants from 1991 to 2022, with a reduction of close to 1,700 inhabitants.

During the last decade, between 2012 and 2022, a less pronounced population reduction was observed in Palas de Rei, with -9.2%, and in Lugo, with -7%, but more pronounced in Galicia, with -3.3%. This phenomenon highlighted the persistent loss of population in rural areas.

When analysed by age, the population over 16 years of age experienced the greatest reduction during the period. Specifically, between 2002 and 2022, the age group most affected by population loss was the population over 64 years old, with -24%, followed by the working age population between 16 and 64 years old, with -18%.

However, since 2012 to 2022, all age groups showed a slowdown in the rate of population loss, with the reduction in the adult population standing at -8%, while the population over 64 years of age is reduced by -12.8%. On the other hand, the population under 16 years of age showed a decrease of -11% over the whole period, but in the last ten years shows a slight recovery.

Demographic ageing was reflected in the narrowing of the base of the population pyramid and the thickening of the top, as well as an increase in the average age. In Palas de Rei the average age of the inhabitants in 2022 was close to 54 years, with the average age of women being 56 and a half years, while the average age of men was 52 years.

The Total Dependency Ratio (TDR) in Palas de Rei reached its maximum in 2001, registering 89.5%, a figure significantly higher than both the Galician and provincial levels, with 51% and 60%, respectively. From that moment on, a gradual decline began, influenced by the significant reduction in the population over 64 years of age, at a higher rate than the working-age population. In 2022, the rate stood in 2022, narrowing the gap with the Galician and provincial rates, which stood at 62% and 65.8%.

Economy

The evolution of Gross Disposable Product (GDP) showed a divergent evolution with respect to Galicia and the province of Lugo, with more periods of decline than growth. At the end of the decade it exceeded its initial value, in contrast to the regional and provincial levels. Moreover, the impact of the pandemic was less pronounced than in Galicia and Lugo. Although it achieved a modest growth of 3.5% between 2002 and 2020, its increase was lower than that observed at Galician and provincial level, as well as in rural and urban municipalities as a whole.

The Gross Disposable Income (GDI) showed periods of notable growth between 2002 and 2020, mainly between 2002 and 2007, with 17%, reaching a figure of fifteen thousand euros per inhabitant. Thereafter it showed a downward trend until 2014, when it marked a turnaround and grew until the outbreak of the pandemic. Income ended up at approximately 13,415 euros in 2020, after suffering a fall of 4.33% due to the pandemic, in line with the falls of 3% and 1.8% in Galicia and Lugo respectively.

Using the number of social security registrations as an estimate of municipal employment, between 2011 and 2022, Palas de Rei experienced an increase of 2% in total registrations, while at the provincial level there was hardly any change in the number of registrations and at the Galician level, the number of registrations increased by 8%. The primary sector suffered a significant fall in affiliations with a loss of 15.5% of affiliations. The secondary sector experienced a reduction of around 3% of affiliates. The tertiary sector gained weight with an increase in membership of 15.8%. In 2022, the primary sector was the second productive sector with the second highest proportion of affiliations in the municipality, with 25% of these affiliations. The tertiary sector was the sector with the highest proportion of affiliations, representing 57% in the municipality. The secondary sector represented around 18% of the affiliations.

In 2022, Palas de Rei had an activity rate of 75%. The employment rate was close to 70%. The unemployment rate showed a gradual fall since 2011 of 10.5%, which then increased to 15.7% in 2013 and ended at 8% in 2022.

Energy resources

Palas de Rei has an important energy infrastructure based on renewable sources, specifically wind and solar photovoltaic. The installed wind power capacity is 15 MW since 2000, distributed in 25 wind turbines that reach an annual production of around 22,800-39,000 MW. It also has approximately 101.3 kilowatts of solar photovoltaic power installed. However, further diversification of renewable energy sources is essential to strengthen the municipality’s energy resilience and maximise its economic potential. The expansion of other forms of renewable energy, such as hydropower or biomass, would not only help to reduce dependence on a single source, but could also generate new economic and employment opportunities in the area.

The estimated electricity consumption of Palas de Rei in 2023 was 9,637.60 MWh. Residential consumption was 5,808.68 MWh. Utility consumption, including municipal services, was 2,448.42 MWh. Industry consumed 1,380.50 MWh.