The chairman of Iberdrola guarantees that the price of electricity would fall significantly by changing the government's regulated tariffs

Ignacio Sánchez Galán, Chairman of Iberdrola, has guaranteed that the price of electricity would fall by between 30 and 40% just by changing the regulated tariff that depends on the government.

The chairman of Iberdrola has pointed the way to reduce the price of electricity in Spain during the inauguration of the new Wallbox plant.

After making it clear that electricity companies have not made extraordinary profits given that 80% of demand is at fixed prices and fixed terms, and given that the problem of electricity prices only affects 20% of electricity demand, specifically the regulated tariff, the solution lies in where the problem is.

For Iberdrola's chairman, "we have a differential element which is the design of our regulated tariff, unique in Europe. If a design similar to that of other countries is implemented, the regulated tariff, which only affects 10% of the energy consumed in Spain, could fall by 30-40%".

In this sense, it is not necessary to temporarily leave Europe, but rather to reform what is unfortunately different in Spain than in the rest of the European Union. "Spain has always done very well with 'more Europe'". "Anything that makes us less Europe is not good for Spain. Let's change the bad design we have, which is the design of the regulated tariff, doing it like Portugal, we would reduce the tariff by almost half".

In this sense, Galán argued that "we are all aware that Europe has an energy problem". Spain is no different to the rest of Europe, according to Sánchez Galán. 

Over the last few days, it has been reported that the media have asked about the non-existent profits that have fallen from the sky of the electricity companies. Something that does not exist. Just as there is no price problem for 80% of electricity demand. The problem arose because the regulated tariff linked its prices to the volatile international price fixed daily.

Therefore, according to Galán, "by doing the same as Portugal, unleashing international prices as indicators of the price of the regulated tariff, reforming the PVPC tariff, the problem would be substantially reduced".