Ribera does not rule out that there will be “high prices” for gas and electricity until “well into 2022”

The third vice president and minister for the Ecological Transition, Teresa Ribera, affirms that the Government continues to work on “effective measures”.

Ribera does not rule out high gas and electricity prices until well into 2022

The third vice president and minister for the Ecological Transition and the Demographic Challenge, Teresa Ribera, has advanced that “it is not ruled out” that still high gas prices are registered in international markets in the coming months, “Until well into 2022”. This, he said, may cause it to continue to have its corresponding “Affection” in the electricity bill in Spain.

“This forces us to continue working with our European colleagues and with our economic actors,” according to Ribera, who has guaranteed that, if at a certain moment they manage to configure measures that can be effective to “provide stability,” they will obviously take them to the Council. of Ministers.

“But it is premature to think whether or not those measures that are yet to be clearly identified will appear on the horizon or, where appropriate, when they can be approved,” said the vice president. His answer was during a press conference in Murcia when asked if he is already working on a new decree to lower the electricity bill.

“We have not stopped working on how to promote structural measures that allow us to have cheap, clean energy at stable and predictable prices from day one,” as highlighted by the minister, who has valued that structural measures are the most important.

In this sense, he lamented that “what we are experiencing is a consequence of the gas price volatility in international markets ”. In this regard, he explained that the Government of Spain has tried “to ensure each of the measures that allow us to guarantee the maximum production to vulnerable consumers and the minimum effect of the wholesale market price on the invoice of the citizens.”

“And this is what allows us to say that the average costs of household bills in Spain will remain around what they paid in 2018 at the end of the year,” said the vice president. He has also recalled that “We have already reduced the tax burden by almost 60% and the fixed costs of our invoice by more than 90%.”

However, he believes that “we still feel there are several worrisome issues on the horizon.” The first, he adds, is “to verify the low coverage that the industry Spanish”.

Although the industry had a structure of fixed costs in which energy represented a lot, he pointed out that “he did not have too much energy contracted at long-term fixed prices.” Therefore, he explained that the sector “went every day to buy its energy from the market; and to the extent that this market has exploded, it affects it in a very important way ”.

In this regard, he has stated that his Ministry is working with the industry and with the electric companies, “Including marketers and companies, which are sometimes small plants, small producers and sometimes larger ones that produce renewable energy that is subject to a special regime, with a reasonable profitability set ”.

In his opinion, “we must also work in parallel to facilitate that the small independent operators that they did not have all the electricity that they later sell to their customers covered either, they can overcome this pothole to the greatest extent possible ”. The objective is for them to be able to solve “that important mismatch between the price at which they are committed to selling electricity and the price at which they buy it.”

“And we believe that it is also important to reinforce and ensure the issue of vulnerable consumers“, According to Ribera. For this reason, it has justified the extraordinary measures adopted by the central government last week, which have implied an increase in the public service obligation of the large electricity marketers “to make a very notable discount in the price of energy and its bill. ”.

“That is why we are also increasing the weight of protecting vulnerable consumers, both gas and electricity, against possible supply cuts,” he concluded.