The government approves this Friday. minister council extraordinary mechanism to limit gas price for electricity generationIt will be around 48.8 euro/megawatt hour (MWh) in the twelve months it will be in effect.
measure, which To be approved simultaneously by Spanish and Portuguese AdministratorsIt aims to alleviate the bills of household and industrial consumers with rates indexed to the wholesale electricity market or ‘pool’, which are most affected by the current crisis and the increase in energy prices.
On the eve of the Extraordinary Council of Ministers, Head of Government Pedro Sánchez confirmed that the price cap for gas will initially be set at 40 euros/MWh. last quarter”
According to the calculations of his cabinet, the mechanism, will allow to reduce invoice About 30% for the average consumer with a ‘pool’ indexed ratio, “It will guarantee an average price of 48.8 euro/MWh, which will be valid for the next twelve months and will represent significant protection.”
After the two Administrators approve, the mechanism will be forwarded to the authority “immediately”. As explained by Teresa Ribera, Minister for Ecological Transition these days, the European Commission “must adopt a decision of the delegation of commissioners to make its implementation effective”.
The idea, according to the government’s third vice-president, is that this system “will be fully operational in a few days, in a few weeks”.
On April 26, Spain and Portugal announced that they had reached a “political agreement” with the European Commission to limit the price of gas in the wholesale electricity market of the two countries.
Without knowing the details mechanism will benefit 40% of domestic consumers – those with regulated rate or PVPC, about 11 million – and up to 80% of industrial ones whose bills are tied to the ‘pool’.