They warn that electricity will be 59% more expensive in April

The Organization of Consumers and Users (OCU) estimates that, if the current prices of the electricity, this month of April will be “by far” the most expensive of the eight years since the PVPC regulated rates exist, with a price of 59% more expensive than the average price in this month.

Thus, if current prices do not fall during the last week, TO FATHER figure that the month will close with a price of 62.23 euros per megawatt hour (MWh), 59% more expensive than the average price of the months of April and 24% more than in 2019, which was the next most expensive month .

The association points out that although April is traditionally a month with a low energy price, “the first three weeks of this month indicate that it will be the most expensive month of April in recent history” and about 3, 5 times more expensive than “the extraordinary and anomalous prices of last April due to the stoppage due to the effect of the pandemic.”

AN INCREASE OF 7 EUROS IN THE INVOICE

In this way, it warns that this rise in the price of electricity will mean an increase of 7 euros in the bill of an average home -with a contracted power of 4.6 kWh and a consumption of 3,500 kWh per year-.

Thus, the bill for the month of April will be 69.14 euros, compared to 62.25 last March, a month that already led to a significant rise in the electricity bill. OCU denounces that in just two months the electricity bill has increased by 14 euros.

This increase in the price of the pool is mainly due to the increase in the prices of CO2 emission rights, which also led to increases in the price of electricity during part of 2019. On the other hand, the price of gas used by combined cycles for the production of electrical energy.

COMPLAINT THAT HYDROELECTRIC SETS THE PRICE IN THE MARKET

However, OCU denounces that it is not these technologies that are setting the price in the OMIE market, but the hydroelectric generation plants that are sufficient -with the rest of the cheapest technologies- to cover the demand of most of the hours during this month of April.

In this sense, despite the low costs of hydroelectric power plants, the association believes that they “take advantage of the opportunity offered by the marginalist system and their ability to regulate their production, to offer their energy at a price only slightly lower than that of its competitors (thermal, combined cycles …) ”.

In this way, he denounces that this marginalist system used by OMIE to set the wholesale price, “amplifies the problem”, since it facilitates that these increases in the costs of certain technologies “are systematically used to generate extraordinary income in the rest of the technologies. “, And asks the National Commission of Markets and Competition (CNMC) to monitor” the anomalous increases in the price of electricity that have occurred throughout 2021 and open an investigation to ensure transparency in setting the price ”.

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