Electricity prices today, Tuesday July 19: the cheapest times to install appliances

Those looking for a good time to put on the most consuming appliances should take advantage of the cheapest hours of electricity this Tuesday. After the price de-escalation of the last few days, it will be the moment when the megawatt per hour will be cheaper considering the amounts of the previous days for customers at the regulated tariff. And it is that according to provisional data from the Iberian Energy Market Operator (OMIE), the price of electricity will fall further today. It will do so with a slight 0.43% compared to Monday, but it will place the price of electricity at 213.83 euros per megawatt hour (MWh), far from the 303.07 euros/MWh which was paid last Tuesday.

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electricity price for PVPC customers, it results from the addition of the average auction price on the wholesale market to the compensation that demand will pay to combined cycle power plants for the application of the “Iberian exception” aimed at capping the gas prices for electricity generation.

At auction, the price of electricity on the wholesale market – the so-called ‘pool’ – amounts to 142.35 euros/MWh for this Tuesday. The maximum price will be recorded between 10:00 p.m. and 11:00 p.m., with 182.49 euros/MWh, while the minimum for the day, of 118.49 euros/MWh, will occur between 03:00 a.m. and 04:00 a.m.

To this ‘pool’ price is added the compensation of 71.48 euros/MWh to the gas companies which must be paid by the consumers who benefit from the measure, the consumers of the regulated tariff (PVPC) or those who, although being on the free market, they have an indexed rate.

In the absence of the “Iberian exception” mechanism to cap the price of gas for electricity production, the price of electricity in Spain would have been on average around 267.06 euros/MWh, which represents 53.23 euros/MWh more than with compensation for regulated tariff customers, who will thus pay around 19.93% less on average.

Compared to a year ago, the price of electricity for customers of the regulated tariff on Tuesday is 116.42% higher compared to 98.8 euros/MWh on July 19, 2021.

The Iberian mechanism, which entered into force on 15 June, limits the price of gas for electricity production to an average of 48.8 euros per MWh over a period of twelve months, thus covering the coming winter, a period when prices energy are more expensive.

Specifically, the “Iberian exception” sets a trajectory for natural gas for electricity generation at a price of 40 euros/MWh in the first six months, then a monthly increase of five euros/MWh until the end of the measure.