The price of electricity in Spain for this May 23rd
CE Noticias Financieras
The Iberian Energy Market Operator (OMIE) updated the value of electricity in Spain. Here is the average, maximum and minimum rate throughout this Tuesday, May 23. Remember that the electricity tariff is modified every day, so it is important to stay informed to make better use of it. Due to the increase of prices in electricity bills, many households in Spain are aware not only of the daily rates, but also of how it changes every hour and thus use the current at the time when it is less expensive. Electricity prices Day: May 23, 2023 Average price: 83.78 euros per megawatt-hour Maximum price: 105.00 euros per megawatt hour Time of maximum price: 22:00 hours Minimum price: 60.00 euros per megawatt hour Minimum price time: 17:00 hours From historical tariffs to regulation Following the covid-19 pandemic and after the start of Russia's invasion of Ukraine, the price of electricity has risen across Europe to historic highs. In Spain, for example, the price of electricity peaked in March last year, when it was sold at well over 500 euros per megawatt hour. As electricity is generated through natural gas and Russia is the main supplier of this fuel, following the economic sanctions imposed by the international community on the Eurasian country for the invasion of Ukraine, the latter limited the hydrocarbon, increasing the prices of its derivatives. Due to the increases, the European Commission approved the so-called "Iberian exception", which aims to limit the price of natural gas in the wholesale market and to face the increase in the price of electricity. This Iberian derogation applies only to two members of the European Union (EU): Spain and Portugal. And although the "Iberian exception" will last until May of this year, the Spanish government is seeking to extend it until the end of 2024. Although electricity prices have decreased, tariffs are still high, as the Spanish authorities are obliged to pay compensation to companies that produce electricity, which is passed on to consumers. Meanwhile, Spanish citizens have had to take measures so that the electricity bill does not become so expensive, among them, reviewing the daily price of the service and in particular the hours in which the rates are lower to do the work that represents more electricity expenditure. The body in charge of announcing electricity prices is the OMIE, an electricity market operator designated to manage the daily electricity market in the Iberian Peninsula, i.e. Spain and Portugal. From one day before, the OMIE announces the electricity tariffs, as well as its lowest and highest prices, so that Spaniards can take them into account when using electricity.