Who benefits from the rise in electricity prices?
The changes in electricity prices is a complex story. And, like any story, it has its characters. In this case, the price of gas is the main protagonist, since it is the main reason why the price of electricity has skyrocketed in the last few months.
Despite this, there is a tendency to assume that there are other characters who are benefiting from the situation. But that's not entirely true. So what's going on? Who wins from this increase? Let's take a look at those involved.
Who are affected?
When talking about the price increase in your electricity bill, we need to clarify some details. First of all, this does not affect everyone equally. Most domestic customers and SMEs in Spain have contracts in the free market. This totally or almost totally isolates them from the prices of the wholesale market, which is the one that has really suffered from this escalation.
Meanwhile, customers with regulated tariff contracts are the ones who suffer from the increases. We are the only European country in which the price set by the wholesale market is transferred to customers with a PVPC (Voluntary Price for Small Consumers) tariff, so they are affected by price changes in the daily market.