Average electricity price for regulated rate customers connected to the wholesale market It will drop 23.6% on Tuesday This is up to 116.49 euro/MWh compared to Monday, according to provisional data from the Iberian Energy Market Operator (OMIE) collected by Europa Press.
This price is the result of adding the average of the wholesale market auction to the compensation that the demand will pay to the combined cycle power plants for the application of the ‘Iberian exemption’ to limit the gas price for electricity generation.
At auction, the average electricity price in the wholesale market – the so-called ‘pool’ – stands at 107.46 Euro/MWh for this Tuesday. Price maximum 162.01 euro/MWh will be recorded between 21:00 and 22:00. minimum 47.83 euro/MWh for the day will be given between 16:00-17:00.
Compensation is added to this price of the ‘Pool’. €9.03/MWh To gas companies, regulated rate (PVPC) consumers, or those who have an indexed tariff despite being in the free market, which must be paid by consumers benefiting from the measure.
9.4% less
Specifically, if this mechanism were not implemented to limit the price of gas for electricity generation, the price of electricity in Spain would average approximately 128.55 €/MWhThis is around 12 Euro/MWh more than compensation for regulated rate customers and will therefore pay 9.4% less on average.
The ‘Iberian mechanism’, which came into effect on 15 June, limits the gas price for electricity generation as follows: Average 48.8 Euros per MWh for a period of twelve months, thus covering the next winter when energy prices are more expensive.
Specifically, the ‘Iberian exception’ is a road to natural gas 40 Euro/MWh electricity generation in the first six months and then 5 Euro/MWh monthly increase until the end of the measure.
this Ministry of Ecological Transition and Demographic Struggle has recently publicly announced a proposal for a royal decree to reduce the volatility of the regulated rate, called PVPC, to provide greater stability to a rate that has been particularly affected by the volatility of the electricity market. It gives more weight to references to futures markets, which will gradually grow to represent 55% in 2025.
The proposal proposes to include in the PVPC calculation formula –-Contracted by the owners of approximately nine million supply points, 35% of the country— medium and long-term price basket to avoid sharp fluctuations without losing short-term price references that encourage savings and efficient consumption.