Friday, January 20, 2017

The Spanish Justice investigate the rise of the electricity tariff – W Radio

Madrid, 20 jan (EFE).- The office of the Prosecutor of the Spanish Supreme Court opened proceedings to find out the reasons of the “successive increases” in the price of the receipts of the light, which are causing a wide controversy in the country, reported today the agency.

These proceedings, he adds, “are made in defense of the protection of the interests of consumers and users in order to determine the reality and nature of these acts”, according to the court.

In the past few weeks, the prices of electricity in the wholesale market rose to levels not seen since December 2013.

Those increases are being analyzed also by the Spanish Ministry of Energy and by the National Commission of Markets and Competition (CNMC) to verify if, in addition to the circumstances short-term, there is any anti-competitive behaviour on the part of the agents of the sector.

the rise in The cost of electricity in the wholesale market occurs in the middle of a cold wave in the country, which raised the consumption, with a shortage of water and wind, and high prices of oil and natural gas.

The Prosecutor’s office recalls that, since the reform of 2014, the Civil procedure Act enables prosecutors to initiate action to defend the interests of consumers who, otherwise, “would be helpless”.

The drought and the lack of wind in this period have limited the operation of hydroelectric plants and wind farms, the two technologies that allow you to generate electricity with less cost, and has forced you to rely on the combined-cycle power plants, which use natural gas as fuel.

As they currently are combined cycles which set the price in the wholesale market, a drop in the gas would affect favorably in the receipt of the light of the consumers under the regulated tariff. EFE

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