Electricity prices in Spain continue to skyrocket

Electricity prices in Spain continue to skyrocket with further rises expected on Thursday.

The average daily price of electricity in the wholesale market continues it’s upwards march. It will fall this Thursday by more than 9%, to €205.05 euros per megawatt-hour (MWh), remaining for the fifteenth consecutive day above the level of €200 euros, which will foreseeably cause October to close with the most expensive electricity bill in history.

According to data obtained from the designated electricity market operator (OMIE), the most expensive hour for consumers will be between 9:00 am and 10:00 am, when it will reach 252.33 euros/MWh, while the minimum will drop to 169 euros/MWh between 4:00 pm and 5:00 pm.

Predictions from the consumer organisation show that the bill for an average household (4.6 kW of power and 292 kWh of monthly consumption) will rise by 14.4 per cent to 100 euros this month. This figure represents an increase of 12.6 euros over the already high September bills. Without the set of special measures and discounts applied by the Government, the cost of the average bill would have risen to 132.3 euros.

Electricity prices in Spain

Iberdrola made a net profit of 2,408 million euros in the first nine months of 2021, 10.2% less than in the same period of 2020. Gains were affected by high energy prices, new taxes and the lower costs of ‘extraordinary’ items.

The company’s adjusted net profit, which excludes these items, increased by 5.2 % to 2,688 million euros, according to a report by the National Securities Market Commission (CNMV).

Specifically, Iberdrola estimates that € 114 million euros in losses is due to the impact of the royal decree-law that came into force in Spain in mid-September to reduce the benefits that companies have in the market for obtaining the same price with the cheapest technologies.

Meanwhile, the price of electricity continues to rise at a record high, reaching €205 euros MWh on Thursday, October 21- in the wholesale market, it has more than quintupled in a year. October continues the upward trend to be crowned as the month with the most expensive electricity ever recorded.

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