The average price of electricity for regulated rate customers linked to the wholesale market fell 9.23% this Monday compared to Sunday, to 244.19 euros per megawatt hour (MWh), according to provisional data from the Iberian Market Operator of Energy (OMIE) collected by Europa Press.
This price is the result of adding the average of the auction in the wholesale market to the compensation that the demand will pay to the combined cycle plants for the application of the ‘Iberian exception’ to cap the price of gas for the generation of electricity.
In the auction, the average price of electricity in the wholesale market – the so-called ‘pool’ – will be 145.35 euros/MWh for this Monday. The maximum price will be registered between 10:00 p.m. and 11:00 p.m., with 195 euros/MWh, while the minimum for the day, of 110 euros/MWh, will be between 11:00 a.m. and 12:00 noon.
To this price of the ‘pool’ is added the compensation of 98.84 euros/MWh to the gas companies that has to be paid by the consumers who benefit from the measure, the consumers of the regulated tariff (PVPC) or those who, despite being in the free market, they have an indexed rate.
26.5% LESS THAN WITHOUT APPLYING THE MEASURE.
In the absence of the ‘Iberian exception’ mechanism to limit the price of gas for electricity generation, the price of electricity in Spain would be an average of 332.44 euros/MWh, which is around 88.25 euros/MWh more than with the compensation for clients of the regulated rate, who will thus pay 26.55% less on average.
The ‘Iberian mechanism’, which came into force on June 15, limits the price of gas for electricity generation to an average of 48.8 euros per MWh over a period of twelve months, thus covering the coming winter, a period in which which energy prices are more expensive.
Specifically, the ‘Iberian exception’ sets a path for natural gas for electricity generation at a price of 40 euros/MWh in the initial six months, and subsequently, a monthly increase of five euros/MWh until the end of the measure .