The price of electricity for industry in Spain is already cheaper than in Germany and approaching France

With rising electricity prices in Europe ukraine warif you can put a positive note, the price of electricity Spain this cheaper than germany and it approaches France. a fact that might Competitiveness of Spanish industry In a similar context to the current situation, as explained by the senior economist at the Bank of Spain on Tuesday, Martha Suarez Vareladuring his speech at the annual meeting of gas employers sedigas; Although they are from the industry, they cool this approach.

industry, especially sensitive rising energy prices with costs that can reach 60% of your total cost. According to monthly estimates made by Association of Companies with Large Energy Consumption (AEGE), a Spanish industrial consumer paid 181.89 euros per megawatt-hour (MWh) in May, while a German paid 195.50 euros per MWh. In the case of the French, the cost was 123.18 Euro MWh, which is a lower price than in Spain, but lower difference (46%), the usual thing until two months ago was that the Spanish price doubled the French price.

These figures cannot be compared to a year ago, at that time 76.95 Euro MWh was paid in Spain, while 35.59 Euro MWh and 48.67 Euro MWh were paid respectively in France and Germany. “It is true that public information what do we have our last price this year it would be cheaper“, the general manager of the Association of Companies with Large Energy Consumption (AEGE), explains, Fernando Soto. Future price projections for the electricity market show this for this year and next, and prices in the wholesale market are lower for Spain than for the other two countries.

AEGE estimates include: compensation to big industry for indirect CO2 emission costs in all three cases (in Spain this is up to the maximum allowed by the European Commission of 244 million). Also, in the case of Spain, temporary reduction of 80% of tolls initiated in the shock plan to mitigate the effects of war and permanent bonus of 85% of fees receipt, among other measures.

In the case of France, the final price for producers is 68%. ARENH rate (French for ‘Regulated Access to Historic Nuclear Electricity’) 42 euros MWh and 38% of the market price, while in Germany the industry is generally bilateral contracts with marketers, according to Soto, who guarantees them a long-term fixed price. In Spain, on the other hand, more than 70% of the industry buys its electricity directly from the market, so the so-called ‘pool’ is directly affected by prices, and this is the big ‘hurdle’, says the company’s managing director. AEGE .

The government tried to encourage it. long-term contracts By exempting the electricity companies from the deduction of the lost profits of the electricity companies, provided that they conclude contracts at a fixed price, they only assure from the employers association: I did not receive an offer. Adding to his words at the congress held on 30 November, Soto defended, “Electricity companies did not offer prices that are not indexed to gas, and when they did, they came to deterrent prices.” employers of large electricity companies (Aelec) requested a similar tariff to the French ARENH, but without much success. “I always give this example where nuclear technology costs money. And one manager said we should add the costs of (environmental) taxes to that price, so would raise about 55 or 60 euros”. “That would be an attractive price. But I haven’t seen any contracts at this price,” he adds.

This is why they insist there is a need for contracts isolated from the industry that guarantee them a competitive fixed price ‘from the pool’. “Obviously, if the interest of a state like the French is 42 euros, hard to match Price-wise to the French industrial consumer and the same in Germany, I don’t know the specifics, but they have bilateral contracts for 3 or 4 years that are very competitive”, he continues.

However, although long-term offers have not come in, employers are requesting other measures from the association. auctions at marginal price Announced six months ago by the government (where large power companies must necessarily auction some of the electricity they generate through nuclear, hydroelectric and wind power), but has not yet been put into operation. “But it would be best for them not to recommend gas-polluted rates,” he concludes.

Source: Informacion

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