The average price of electricity on the wholesale market is picking up a little today, settling at €214.66 per megawatt (MWh)around 12 euros less than this Friday (226.90 euros/MWh) and deviate from the maximum registered since the entry into force of the so-called gas cap.
Considering only the results of the auction on the wholesale market, which until now fixed the price, electricity is 128.7 euros/MWh, nearly nine euros less than on Friday, according to data from the Iberian Electricity Market Operator (OMIE).
By time slots, Saturday begins with the maximum price of the bowlfrom midnight to one o’clock in the morning when it will be paid to €185/MWhsix and a half euros less than that day, while the minimum of 65.7 euros/MWh will be between 4:00 p.m. and 5:00 p.m.
However, to these amounts must be added the compensation to the gas companies, which pay households and businesses. For Saturday, the average adjustment is 85.96 euros/MWh. This compensation must be paid by the consumers who benefit from the measure, the consumers of the regulated tariff (PVPC) or those who, although being in the free market, benefit from an indexed tariff.
The mechanism, accepted by the European Commission, limits from June 15 the price of gas to produce electricity to a average of 48.8 euros per MWh for twelve months, to cover the coming winter, when prices will be even more expensive. Ecological Transition Minister Teresa Ribera said consumers who benefit from the gas cap have saved between 25 and 30 euros/MWh over the past seven days.
Compared to a year ago, the price of electricity for customers of the regulated tariff this Saturday has become more expensive more than 42 euros. On June 25, 2021, the bowl average of 86.57 euros per megawatt hour.
Facua criticizes the reduction of VAT to 5%
Facua-Consumers in Action criticized the fact that the government “avoid” increasing the application of new taxes on electricity companies and it limits itself to announcing a new reduction in VAT on electricity, from 10% to 5%, which will be approved this Saturday within the framework of the new anti-crisis plan.
Its secretary general, Rubén Sánchez, pointed out that although the lowering of the minimum tariff could reduce the increase in the electricity bill, he considered “unacceptable that the Government resume measures that go through reduce income for the public treasury, which is absolutely essential for maintaining and financing the welfare state”.
Thus, he recalled that the previous reduction in VAT was not noted on the receipt due to the increase in the price of electricity, “a circumstance which could be repeated”. According to him, the measures must go “through reduce the profits” of the electricity companies by taxes “which serve precisely to return part of this income to the public coffers, for the benefit of all users”.
In this sense, he criticized the fact that the executive is again postponing the decision to create said taxes until the finance law for 2023 and said that it is dangerous to develop this type of measure based on large cuts taxes without balance them with tax hikes on the electricity sector or large corporations in general.