The collapse of electricity prices in recent days does not prevent 2022 from being the most expensive year in history
Electricity prices They stay on the ground An average of 1.82 euros per MWh for Saturday, according to data from OMIE, Director of the Wholesale Market, and the lowest data since January 31, 2021 (1.42 euros).
€1.82 is the result of subtracting compensation to gas companies (€0.83 per MWh) from the average auction price (€2.65) for the ‘Iberian exception’ which limits the price to €45 per MWh of gas used to generate electricity. .
Wholesale auction indicates that when it is New Year chimes The price will be only 0.1 € per MWh. Even, MWh will be €0 between 4 and 7 hours on Saturday. Between 2am and 5pm it will be less than €1 per MWh and from 7pm until 8pm the most expensive period: €20.
The decline in prices in the last two weeks of this month has led to the emergence of The December average is 128.36 euros per MWh (Including compensation for gas companies) compared to 242.43 euros in the same month last year. In addition, December became the second cheapest month (in November it was 123 euros) for the whole of 2022, a year in which it reached an average of almost 300 euros in August (299.63 euros).
Despite these current data, this year will go down in history as the most expensive for electricity, with an average annual price of 188.64 euros per MWh, compared to 111.66 euros in 2021.
The main reasons for this collapse in prices are the sharp drop in demand due to New Year’s Eve and the increase in electricity production using wind energy, which reduces the use of gas, although the price of this has also decreased in recent days.
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