Average electricity price for regulated rate customers connected to the wholesale market Saturday will drop 0.69% compared to this Fridayup to 298.25 € Per megawatt hour (MWh) according to provisional data from the Iberian Energy Market Operator (OMIE) collected by Europa Press.
For Saturday, this new decline, coinciding with the arrival of the weekend and lower demand, together with a slightly higher share of renewable energy, will allow the electricity price to fall for regulated rate customers tied to the wholesale market. this week at 300 euro/MWh for the first time ever.
This week’s high prices are partly due to heat wave it affects the whole country, which means higher demand and a lower contribution from renewable sources (wind and photovoltaic).
In addition, tensions in gas supply in the context of the Russian occupation of Ukraine and maintenance work on important infrastructures are factors that stimulate the Dutch TTF market (a European reference in the price of this raw material). It will be placed above 170 Euro/MWh, In mid-June it was around 80 Euro/MWh.
For PVPC customers, this price is the result of adding the average auction price in the wholesale market to the compensation that the request will pay to combined cycle power plants for the application of the ‘Iberian exemption’ to limit the gas price for electricity. generation.
Average price of electricity at auction wholesale market –the so-called ‘pool’– set for this Saturday 136.83 euro/MWhwhat it means about 14.97 euros less more than today’s price (147.25 Euro/MWh).
this Maximum price The amount of light for this Saturday will be recorded at: 10:00 in the afternoon., with 176.16 Euro/MWh minimum 120.69 euro/MWh for the day, It will be given at 12:00 noon.
To this ‘pool’ price is added the compensation of 161.42 Euro/MWh due to consumers benefiting from the measure, regulated tariff (PVPC) consumers or gas companies, even if they are taxpayers. In the free market, it has an indexed rate.
5.9% less than applying the measure
In the absence of the ‘Iberian exception’ mechanism that limits the price of gas for electricity generation, the price of electricity in Spain would average 316.97 Euro/MWh, which means:us 18.72 Euro/MWh more compensation for customers of regulated tariffsso on average they will pay 5.9% less.
Electricity price of regulated rate for customers compared to a year ago this Saturday represents 241% more compared to 87.32 Euro/MWh on 16 July 2021.
The Iberian mechanism, which came into force on 15 June, limits the gas price for electricity generation to an average of 48.8 euros per MWh over a twelve-month period, thus covering the coming winter when energy prices are more expensive. .
Specifically, the ‘Iberian exception’ sets a path for natural gas for electricity generation, with an increase of €40/MWh for the first six months and then €5/MWh monthly until the end of the measure.
Cap on gas makes electricity 16% cheaper in first month
The Iberian mechanism of the upper limit on gas implemented in Spain and Portugal since 15 June, Electricity price for regulated rate customers dropped in the first month in effect According to calculations made by Europa Press, it is 16.2% compared to records that would be obtained in its absence, depending on the wholesale market.
In Spain between 15 June and 15 July, the average price for regulated tariff customers resulting from the addition of the ‘pool’ (wholesale market) price and the daily compensation for gas generating plants, 251.26 euros per megawatt hour (MWh) would have averaged 299.9 euro/MWh if the measure had not been implemented, that is, on average almost 49 euros more.