What the government wants reduce unexpected profits of energy companies economic vice president Nadia Calviño was convicted Wednesday at the Congress of Deputies. In recent months, the Administration has warned that the energy crisis is creating extra profits for energy companies thanks to the rise in electricity prices. and sets up a system to control and reduce them.
In recent weeks, in addition, the Government has openlyreduce them snow sent from heaven It is at the center of action by big energy companies (as the industry calls it) to combat the impact of rising prices for homes and businesses. “The main aim of the government is to reduce the unexpected profits of energy companies and to benefit everyone. There will be a very significant reduction in extraordinary revenue,” Teresa Ribera, Vice President and Minister of Ecological Transition, condemned last Friday.
Electric companies deny the existence of millionaire benefits The government says it wants to cut off all electricity production as they sell their electricity at prices much lower than the prices set by the electricity market upfront and therefore cannot benefit from the increases. But the Government is asking them to provide credible proof of this, and for months it has been forcing them to disclose data from thousands of contracts on the prices at which they sell their production.
The Executive Now, with a decree that last week approved capping the price of gas to reduce electricity, is further expanding its requirements to disclose sensitive business information if they want to avoid assuming ‘compensation’ for power plants. gas to cover the difference between the actual cost of its production and the maximum price set by the Government. And it forces companies into an information avalanche with data from millions of contracts with end customers that they need to ship. OMIE, manager of the electricity market, in principle within five working days ending the following Monday.
Since last October, power companies have been sending a large number of documents to the USA. Electricity Grid – the operator of the electricity system – and then scrutinized by the National Markets and Competition Commission (CNMC) with data from thousands of contracts showing that they are selling electricity to their customers at a price much lower than the price set by the illegal electricity market, thus redeeming itself from outages. Last March, the Administrator expanded the extra revenue reduction system to include all contracts signed at high prices (over 67 euros per megawatt hour, MWh), so sending business data has been even more so since then.
Millions of contracts, not revealed
The government last week approved a plan to cap the price of gas used to generate electricity and has managed to contain increases in the electricity bills of millions of homes and companies until final approval from Brussels. Placing a maximum price on gas used to generate electricity (48.8 euros per MWh on average for a year compared to 80 euros in recent months) would lower the price of the electricity market as a whole. However, electricity produced by gas power plants will continue to be paid at its real (and high) price, reflecting the high prices of natural gas into production costs. In other words, some kind of compensation has to be paid to the electricity companies that have gas plants, this price difference so that they can cover their real costs.
This The additional cost of electricity generation from gas power plants will only be borne by the beneficiaries. directly due to the decrease in the wholesale price. The extra cost of gas power plants will be immediately passed on to marketers and industrial customers who buy directly from the market, who offer the regulated price and pass it on to their customers. And gradually it will also be communicated to free market customers who update the terms of their rates over the next 12 months.
Like this Utilities unwilling to pay this adjustment compensation must demonstrate to OMIE that they have future hedging instruments. and they did not benefit from the decrease in the wholesale price caused by the gasoline cap. And these guarantees include millions of contracts with end customers of companies that were signed before April 26 and are not connected with the development of the electricity market. The power company, which does not provide this sensitive data in detail, will continue to fund the adjustment cost to compensate for the gas power plants expected to be between 5,000 and 6,000 million in the industry next year.
Source: Informacion
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