The rate will be about 45 euros lower than the 307.34 euros that would be paid if the gas price cap were not included
The average price of electricity for regulated rate customers linked to the wholesale market will rise 11.3% on Tuesday compared to this Monday, up to 261.95 euros per megawatt hour (MWh), according to provisional data from the Iberian Energy Market Operator (OMIE) collected by Europa Press.
This price is the result of adding the average price 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 electricity generation.
In the auction, the average price of electricity in the wholesale market -the so-called ‘pool’- stood at 151.29 euros/MWh for this Tuesday. The maximum price will be registered from 10:00 p.m. to 11:00 p.m., with 180 euros/MWh, while the minimum for the day, of 129 euros/MWh, will be between 12:00 p.m. and 1:00 p.m.
To this price of the ‘pool’ is added the compensation of 110.66 euros/MWh to the gas companies that has to be paid by the consumers who benefit from the measure, the consumers of the regulated rate (PVPC) or those who, despite being in the free market, have an indexed rate.
14% less than without the gas cap
In the absence of the ‘Iberian exception’ mechanism to cap the price of gas for electricity generation, andhe price of electricity in Spain would be an average of 307.34 euros/MWhwhat it means about 45.39 euros/MWh more than with the compensation for clients of the regulated tariff, who will thus pay around 14.7% less on average.
The Iberian mechanism, which entered 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 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 monthsand subsequently, a monthly increase of five euros/MWh until the end of the measure.