The Diplomat
The Third Vice-President of the Government and Minister for Ecological Transition and the Demographic Challenge, Teresa Ribera, estimated that the ‘Iberian derogation’, which limits the price of gas for electricity generation, has saved Spanish consumers 1,383 million euros in the two months it has been in force.
At a press conference, Ribera indicated that this figure represents a saving of 22 million euros per day for Spanish society since the mechanism came into force.
The ‘Iberian mechanism’, which came into force on 15 June, limits the price of gas for electricity generation to an average of 48.8 euros per MWh for a period of twelve months, thus covering the coming winter, a period when energy prices are more expensive.
Specifically, the ‘Iberian derogation’ sets a path for natural gas for electricity generation at a price of 40 euros/MWh in the initial six months, and thereafter, a monthly increase of five euros/MWh until the end of the measure.
