The electricity price outlook for tomorrow remains stable after a period on the wholesale pool, with a rate of 191.47 euros per megawatt hour (euro/MWh). This marks a small decline of about 0.2 percent from the value set for Monday.
OMIE, the Iberian Electricity Market Operator, reports that tomorrow’s peak price is expected between 21:00 and 22:00 at 223.5 euro/MWh, while the trough occurs between 00:00 and 01:00 at 152.89 euro/MWh.
Even with this modest drop, electricity prices remain roughly three times higher than they were a year ago when the rate stood at 73.54 euro/MWh. The current level is still about 7 percent below the figure observed on February 24, when tensions rose following the onset of the crisis in Ukraine.
So far this month, the average price of electricity has been around 187.05 euro/MWh. This is close to a 100 euro reduction from the March average of 283.3 euro/MWh, and while the 111.4 euro/MWh level is lower than in 2021, that year remains recorded as one of the most burdensome in the historical series.
Wholesale market prices directly influence the regulated tariff known as PVPC, which serves approximately 11 million consumers in Spain. The wholesale reference also shapes the billing for the remaining 17 million customers who have contracted their supply in the open market.
The energy market has faced pressure from the situation in Ukraine, with the conflict affecting gas markets as sanctions tighten and the risk of disrupted imports to Europe considerations that add to price volatility.
In response, the government approved a national package to cushion the economic and social consequences of the energy crisis. The plan includes extending the electricity tax relief on bills through June 30 and continuing the electricity social bond, now extended to reach up to 1.9 million households.
Additionally, authorities in Europe have discussed measures to help the Iberian Peninsula cope with high energy costs. Spain and Portugal could benefit from a special treatment that includes a cap on gas used to generate electricity, which would stabilize prices for consumers in both nations.
Initially, the European Commission proposed a limit around 40 euro/MWh. The expectation is for stabilization closer to 50 euros on average over the coming year, an adjustment designed to reduce expenses for Iberian consumers as the measures take effect this month.
For other European economies, tomorrow’s electricity costs are projected to be different. In the United Kingdom, a typical price of about 168.27 pounds per megawatt hour is anticipated, roughly equivalent to 201 euros. Germany is expected to see a price near 218.16 euros per megawatt hour, while France is forecast at 218.21 euros. Italy leads the group with around 255.8 euros per MWh, sharing the same rate as Spain amid the regional market alignment in Portugal.