The price of electricity today, Friday, is 232.28 euros, the second lowest price this month, and nearly 100 euros less than the massive 320.20 euros it cost during the first 18 days of March.
But with electricity prices still sky high many consumers are dreading their monthly bills and are struggling to pay steep increases at the pumps and of gas.
The Government is resisting pressures from opposition parties for further cuts to IVA (VAT) on electricity as “ineffective” and is promising a package of measures to tackle the problem on March 29.
For the first time the Government has recognised that the electricity market in Spain is “dysfunctional” and has condemned the “exorbitant profits,” announced by the companies this year.
Currently, the electricity companies charge consumers at the highest cost of production ie. prices do not reflect “green electricity” or the cheaper hydroelectricity but are pegged at the most expensive form of production.
A Government spokesperson has referred to a “wealth tax” on electricity companies as a possible method of reducing massive profiteering.
Another move, made by Portugal and Spain, is a proposal to the EU that electricity wholesale market should have a ceiling of 180 euros.
The EU has announced it is preparing a package of measures to tackle the rises, which will be presented to member states next week.
Meantime, many consumers are learning to live without their cars, turning the central heating down or off and living in dread of their electricity bills.
We will keep our readers informed.
