Sánchez has already spent the 1,688 million piggy bank created by the PP to cushion the rise in electricity

Pedro Sanchez He has blamed the PP for having left him a legislation that has favored the rise of the electricity bill. It does so after three long years of government in which the law has not changed. But, aside from this, it hides that the reform of the last PP government made it possible to end the tariff deficit and generate a surplus. That surplus became until 2019 a huge piggy bank of 1,688 million euros. There is nothing left of that piggy bank because Sánchez has used it to avoid an even greater rise in the receipt.

The PP Government in the hands of Mariano Rajoy undertook a reform to end the annual generation of tariff deficit with electricity companies. This deficit includes the right to collect electricity by the real price of energy that is not transferred to the price and that, therefore, the energy companies have been having to assume unduly.

The tariff deficit began its journey in 2000. From a technical point of view, it was collecting the difference between the income that the Spanish electricity companies actually received from consumers and the costs that the regulations recognized to the electricity companies for sending the light to every home and business. In 2014, this accumulated tariff deficit reached more than 30,000 million euros, after imputing a last annual debt of 3,541 million euros. And the PP decided that the time had come to end this mechanism of generating a growing mountain of debt every year. Since then, the volume of the deficit has not stopped falling to the point that, from 2014 to 2019 there have been no additional red numbers and a surplus of 1,688 million has been accumulated.

Electrical system surplus

But, now, that is over. The explanatory statement of the legal reform on light that the Government of Pedro Sánchez prepares recognizes that this saving, that light money box has already been exhausted: «For this purpose, Order TED / 952/2020, of 5 October, by which the surplus of the electricity system is applied to cover temporary imbalances and temporary deviations between income and costs for the 2019 and 2020 years.

The use of these funds allowed the 2019 closing in equilibrium and the end of 2020 is expected to approach that balance. However, all existing funds have been applied, so this tool may not be applied in 2021 or in future years ”. Translated: the savings generated by the reform of the PP are over. From now on, the price will go up without a shock absorber.

Some of those who know that this is the case and who, in addition, appear on Moncloa’s target to pay for the appearance of a reduction in the electricity bill that Sánchez prepares, are Spanish industries. Pedro Sánchez finalizes a scam of the stamp in the monthly payment of electricity: take out the renewable costs of the receipt of all households and companies for electricity to hide those payments in the rate of natural gas and gasoline.

Sustainability Fund

The mechanism devised to camouflage these payments is the FSustainability wave. A fund that energy companies and consumers will pay in other ways. And it will mean a tax penalty for the affected industry of 2,650 million euros. The “industry cannot assume more external energy costs”, affirms the Alliance for the Competitiveness of the Spanish Industry, as OKDIARIO has already published. It is the organization that represents strategic sectors with the capacity to “develop a business fabric of high productivity and added value, with a powerful export capacity and investment in R + D + i and advanced technologies, becoming a fundamental pillar to structure a solid economic model, generator of quality, stable and qualified employment”, As the association explains on its own website.

It is an organization made up of seven sectoral associations whose companies generate no less than 50% of the Gross Industrial Product, 2.8 million direct, indirect and induced jobs, 50% of industrial exports and 50% of investments in R + D + i. Among those represented are the National Association of Automobile and Truck Manufacturers, the Spanish Association of Petroleum Products Operators, the Chemical Industry, the Paper Industry, the Food and Beverage Industry and the Steel Industry.

The aforementioned fund, as stated in the explanatory memorandum of the aforementioned project, “aims to assume the costs associated with the specific remuneration scheme for renewables, cogeneration and waste (Recore), extracting them from the set of charges in the electricity system and progressively transferring most of its financing to traders and operators of all energy sectors “.

This measure will suppose a apparent reduction of the electricity bill by taking those items out of the monthly payment for electricity. But the reality is that, all it does is take these payments from a receipt to take it to the companies – natural gas, gasoline, industry and the electricity companies themselves – which will pass it on to consumers in their respective final prices.

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