The wholesale electricity price, known as the pool price, has been updated for the European market. On Sunday, May 15, it stood at 127.23 euros per megawatt hour, reflecting a more than 33% drop from the level recorded on the prior Saturday. This marks one of the lowest points seen this month.
Data from the Iberian Market Operator (OMIE) shows that the price is expected to peak between 21:00 and 22:00 on Sunday, reaching as high as 226.18 euro/MWh, with a noted minimum near 15:00 to 17:00 of about 1.03 euro/MWh.
In practical terms, Sunday — a day typically characterized by reduced economic activity and lower energy demand — is projected to feature the month’s lowest price. It also marks the cheapest Sunday since April 23, when electricity traded at 86.25 euro/MWh.
Despite this decline, the wholesale price remains higher than the same Sunday in the previous year. It has risen about fivefold compared with the third Sunday of May last year (26.65 euros), but stands roughly 38% below the levels seen on February 24, the day Russia invaded Ukraine.
Wholesale market prices have a direct impact on the regulated tariff, known as PVPC, which covers more than 10 million consumers in Spain and serves as a reference for the remaining 18 million who contract their supplies in the open market.
EU eyes a possible complete shutdown of Russia’s gas supply tap
The ongoing conflict in Ukraine has created tension in the energy markets, particularly around gas, given the risk that Russian imports to Europe could slow due to sanctions. In response, the government has prepared a national plan to address the economic and social effects of the situation in Ukraine. This plan includes extending tax relief on electricity bills until 30 June and widening the electricity social bonus to reach 1.9 million beneficiary households.
Gas price cap aims to lower electricity costs
Following recognition by the European Council of Spain and Portugal’s challenges in managing high energy prices, due in part to limited interconnection with the broader continent, both countries launched a mechanism to contain gas prices used for electricity generation over a 12-month period.
The mechanism is designed to cap the gas price at an average of 48.8 euro/MWh during the measure. It is projected to reduce wholesale electricity prices by up to about 40%, potentially bringing prices down to as low as 130 euros per MWh from June onward, according to government calculations.
Across other European nations, the average price per megawatt hour on Sunday varied widely: the United Kingdom around £103.41 (approximately 122 euros), Germany about 149.03 euros, France around 147.72 euros, Italy near 217.56 euros, and Portugal aligning with Spain as markets integrate.