The price of electricity will go back above its historical price this Tuesday
(7-3-2022) The price of electricity in the wholesale market will rise by 23.15% this Tuesday and will mark its highest record in history with 544.98 euros per megawatt/hour (MWh). The war between Russia and Ukraine pushes up the price of energy.
Turning on a switch this Tuesday, March 8, will be ten times more expensive than it was just a year ago. According to data published by the Iberian Energy Market Operator (Omie), collected by Europa Press, the average price of the ‘pool’ for this Tuesday will be 544.98 euros/MWh, 102.4 euros more expensive than the previous maximum historical (442.54 euros/MWh), registered this Monday.
Russia’s invasion of Ukraine has caused an upward trend in energy consumption such as natural gas, whose increase has a direct impact on the cost of electricity. The price of electricity in the wholesale market on March 8, 2021 was 54.43 euros/MWh, one tenth of what it will cost tomorrow.
The geoeconomic factor plays a determining role in this escalation, as warned by the manager of the Efficient Energy Cluster of Catalonia, Francesc Ribera, in an interview with CMDsport. “The conflict between Russia and Ukraine or the issue of Algerian gas may slightly postpone this expected turning point,” he assured on February 22.
By time slots, the maximum electricity price for this Tuesday will be between seven and eight in the afternoon, with 700 euros/MWh, while the minimum, of 424.88 euros/MWh, will be registered between three and four in the morning from Monday to Tuesday.
The prices of the ‘pool’ have a direct impact on the regulated rate -the so-called PVPC- to which almost 11 million consumers in the country are covered, and serve as a reference for the other 17 million who have contracted their supply in the free market.
MARCH, THE MOST EXPENSIVE MONTH
The trend in the price of electricity, pushed by the high levels of the price of gas, means that this March is set to be the most expensive month in history in terms of energy consumption.
In the first seven days of this month, the average price of a megawatt hour in the wholesale market stood at 366.43 euros, almost 130 euros more expensive than the most expensive month in history so far, December 2021, with 239 euros on average.