The Spanish government announced today the imposition of a temporary ceiling on the reference price of natural gas used by power plants, as reported by Reuters.
Energy Minister Theresa Ribera said the move would immediately reduce electricity costs for more than 37% of consumers and 70% of industry.
“With this decision, Spain is leading a structural change in European energy policy,” said government spokeswoman Isabelle Rodrεςguez.
The European Commission agreed two weeks ago to allow Spain and Portugal to cap gas prices, initially to 40 euros per megawatt-hour and on average to 50 euros over the next 12 months.
“For the next 12 months we will have a special protection system in Iberia against high volatility,” said Minister T. Ribera.
According to Reuters, Spain and Portugal had persuaded Brussels to allow them to manage electricity prices on their own, which are often inflated by expensive fossil fuels even though Iberia has a large share of renewable and low-renewable energy production. the rest of Europe.
Ms Ribera added that Brussels would give the final green light to the plan within 10 days.
Source: Capital
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