The average price of electricity in the wholesale market recovers today, friday april 29, the fallswith a decrease of 4.5% compared to yesterdaystanding below the level of 220 euros per megawatt hour (MWh).
Specifically, the average price of the ‘pool’ for this Friday will be 214.84 euros/MWh, which is about 10 euros less than the 224.97 euros/MWh on average this Thursday, according to provisional data published by the Iberian Energy Market Operator (OMIE) and collected by Europa Press.
The minimum electricity price for this April 29 at the province of Santa Cruz de Tenerife (Tenerife, The Palm, La Gomera Y The iron) will be given between 2:00 p.m. and 4:00 p.m. with 186 euros/MWh, while the maximum for the day will be recorded between 8:00 p.m. and 10:00 p.m. at 254.97 euros/MWh.
Compared to a year ago, the average price of electricity for this Friday will be 187.7% more expensive than the 74.67 euros/MWh of April 29, 2021.
The prices of the ‘pool’ have a direct impact on the regulated rate –the so-called PVPC–, to which almost 11 million households in the country are covered, and serve as a reference for the other 17 million who have contracted their supply in the free market.
In fact, the National Commission of Markets and Competition (CNMC) has verified that in 2021, in the framework of the upward spiral of energy, around 1.25 million people switched from the PVPC to a rate in the free market at a fixed price.
The ‘Iberian exception’
Last Tuesday, the governments of Spain and Portugal signed an agreement with the European Commission to put a cap on the price of gas in the wholesale electricity market of the Iberian Peninsula, which will stand at an average of 50 euros/MWh in the next twelve months .
Pursuant to the agreement reached with the Community Executive, the gas reference price will initially be set at around 40 euros/MWh and will mark an average price of 50 euros/MWh over the 12 months that it is in force, which is 20 euros more than the ceiling of 30 euros proposed by Spain and Portugal.
In addition, on March 29, the Government approved a national plan to deal with the impact of the war in Ukraine that includes, among other measures, the extension of the tax reduction on taxes levied on electricity bills until the next June 30, as well as the extension of the electricity social voucher to reach 1.9 million beneficiary households.
An early and extraordinary update of the regulated remuneration regime for renewables, cogeneration and waste (Recore) was also adopted with an adjustment of 1,800 million euros with which the charges on the electricity bill are lowered.
Another of the measures agreed by the Executive was an extension until June 30 of the reduction of gas to reduce extraordinary profits in the electricity market, expanding its scope of application to energy contracted on a term basis and at a fixed price from the entry of the norm if said price is higher than 67 euros/MWh.