Thomas Gualtieri and Alonso Soto, Bloomberg News
MADRID
EnergiesNet.com 06 03 200
Iberdrola SA, Spain’s largest utility by market value, is increasing the price of gas to residential consumers by about 140%, as it seeks to pass on the global surge in costs.
The estimated annual price of gas per kilowatt-hour is set to rise from July 1 to 0.183 euros before taxes from the previous 0.071 euros, according to a letter to clients seen by Bloomberg News. A separate fixed charge paid by clients will be reduced from 6.08 euros per month to 5.75 euros. The overall increase would be about 140%, according to estimates included in the letter.
This would be the price under current conditions and doesn’t take into account any variations that may occur in the wholesale market over the next 12 months, according to the letter.
Spain’s government is working on plans to cap the price of gas used by utilities to generate electricity. However, the caps do not include gas used for retail consumers. A large part of Spanish households use the fuel for heating and warm water.
Iberdrola and its main rivals, Endesa SA and Naturgy Energy Group SA, supply both gas and electricity to residential users.
A press officer for Iberdrola declined to comment.
bloomberg.com 06 02 2022
