Electricity Rates Higher than Ever. Spain Denounced

After the discount that had to be applied over the rates that had been charged to Spanish consumers during the first three months of this year, which most of us have received in July, August has brought another increase in the tariff, resulting in electricity rates being higher than ever. Calculating the average tariff over August, an average consumer now pays 1,4% more than in August 2013. And it looks like we will be condemned to pay quantities ever higher for the consumption of energy, as the Government refuses to approve a system that allows the rates to be established by calculating the real costs involved in generating energy.

Consumer organisation Facua compared prices in 2013 and 2014 and below you find a summary of their findings.

In the first eight months of this year, the monthly rate for each kWh consumed was 13,93 cts in January, 12,76 in February, 12,76 in March (the re-calculated tariff, discount included), 12,12 in April, 14,17 in May, 15,22 in June, 14,83 in July and 15,37 in August.

And with regards to the fixed tariff for each kW contracted, this has come from 3,78 euro in August last year, when the Ministry approved a rise of 62,8% with respect to the tariff of 2,32 euro which had been established in April 2012. In February of this year another rise of 17,9% has been approved, resulting in the 4,46 euro that you will find on your bill now. In just over a year, an increase of 92,2%.

In April this year Facua denounced the Spanish Government with the European Comission. The denuncia contains several elements, one of which the clear discrimination in calculating the price for consumed kWh for those with the new digital meters, and those without. Another, the non-transparant, unnecessarily complicated way to calculate the prices and information regarding the tariff to be billed only given in retrospect, not in accordance with European consumer law at all.

Facua hopes the European Commission will intervene and will start court procedings against the Spanish Government, leading to the paralisation of the present chaotic tariff calculation model.

Please note: The information provided is based upon our understanding of current legislation. It is not legal advice but is provided freely to enable you to be properly informed. We recommend that if you are considering taking action, you should seek professional advice.