This exorbitant rise electricity prices during energy crisis It drives dozens of small energy companies forward. Extreme volatility and price chaos have strained the markets. disappearance of independent marketers without the financial power and without the collateral shield that the industry giants have.
In 2021, 22 small electricity companies had already shut down, unable to withstand the market tensions felt since the summer; Last year, with prices rising even more due to the impact of the war, 35 marketers unsubscribed from the official register of companies; and according to the National Markets and Competition Commission’s (CNMC) official list of marketers, 12 people have disappeared so far in 2023. Currently, a total of 501 trading companies operate in the Spanish market.
When a retailer goes bankrupt, its customers temporarily have a last-ditch contract with one of the major electricity companies (Iberdrola, Endesa, Naturgy, Repsol and Totalenergies) offering the regulated electricity tariff determined by the legislation to avoid the depletion of supply.
The regulated electricity tariff, called voluntary price for small consumers (PVPC), is reserved for consumers with contracted power below 10 kilowatts, ie households and some SMEs. Many large customers of energy companies that go bankrupt and automatically begin to have a de facto PVPC contract are not eligible for this regulated rate. Generally these are medium to large companies or public facilities that have much more power and consumption than a house.
Millionaire cost overrun
These big consumers they are ‘punished’ with an additional charge to their bills until they use the deadline rate and contract with another free market company based on their profile. The rise in the number of companies that disappeared and the exorbitant rise in electricity market prices for most of the year, due to the economic impact of Russia’s invasion of Ukraine, caused the amount collected for this concept to skyrocket by almost 800% last year. .
Last year, the extra cost paid by large customers affected by the disappearance of trading companies was exceeded. 63 million euros, almost nine times more This is 7.19 million (+776%) more than the previous year, as stated in the interim report on electrical system placements, which corresponds to all of 2022, prepared by the CNMC.
The amount also increased well above expectations, as the government and CNMC’s estimates for this concept were only 9.48 million for the full year, but were finally 564% higher than forecast due to exceptional circumstances, market prices and the increase. number of customers affected
20% surcharge on receipt
Customers who are not entitled to regulated fees (with contracted power of more than 10 kilowatts), customers who have to take advantage of PVPC when they are out of company, do not pay the same price as other users who receive such a fee. , but current legislation determines what owes them apply a 20% surcharge to all regulated items on your electricity bill.
Customers pay this 20% extra cost over normal PVPC prices to their new regulated retailer. The marketer pays this amount to the distribution company (the company that manages the networks that reach the consumer’s door). And the distributor liquidates these amounts as revenue from the electricity system to finance the regulated costs paid by all electricity customers.