The price of electricity falls this Sunday by 5.29%, to 59.67 euros/MWh, the second lowest in July

   MADRID, 15 Jul.

The price of electricity falls this Sunday by 5.29%, to 59.67 euros/MWh, the second lowest in July


The average price of electricity for regulated rate customers linked to the wholesale market will fall this Sunday by 5.29% compared to this Saturday, to 59.67 euros per megawatt/hour (MWh).

Thus, this Sunday, the day on which demand always falls because it is a weekend, will be the second lowest price in the 'pool' for a day so far in July, only behind the 48 .28 euros/MWh on July 2.

By time slots, the maximum price, of almost 114.95 euros/MWh, will be recorded from 10:00 p.m. to 11:00 p.m.; while the minimum price will be given between 4:00 p.m. and 6:00 p.m., with 15.69 euros/MWh, and another seven more hours will be added with the price around 25 euros/MWh in the day.

The average for the electricity 'pool' so far in July stands at 91.7 euros/MWh, compared to the 146.45 euros/MWh that it marked in the same month last year.

Compensation to the gas companies would be added to this average pool price, which must be paid by consumers who are beneficiaries of the measure, consumers of the regulated tariff (PVPC) or those who, despite being on the free market , have an indexed rate, but which is again at 0 euros/MWh, a situation that has been repeated since February 27.

The so-called 'Iberian exception' was extended until December 31, after the agreement reached by Spain and Portugal with the European Commission. Thus, it is extended for seven months, until the end of this year, and it is not excluded that it could be extended for a longer time if said framework is also extended.

Specifically, the agreement not only represents an extension of the Iberian exception that was already applied, but also implies some adjustments to accommodate it, such as the price reference, which until now increased by five euros per month, and will now be smoother.

In the original agreement, the aforementioned reference price for gas had an average value of 48.8 euros/MWh: it was 40 euros/MWh for six months, rising 5 euros/MWh each month thereafter. Now, it will increase by 1.1 euros/MWh from last April, to conclude at 65 euros/MWh.

Currently, the mechanism has had no effect on the marginal matching processes in the wholesale markets since the end of February, due to the drop in the price of natural gas below the thresholds set for its application, but, if necessary, the extension will allow maintain a reasonable price, not so dependent on the evolution of natural gas.