Spanish electric companies ask Soria to lower power bills

This Friday electric companies will present a package of measures to the National Energy Commission aiming to stymie the tariff deficit, which is already above 24 billion euros. Further, they will attempt to meet with Minister of Industry José Manuel Soria to discuss the needs of the sector, which is suffering from serious liquidity problems due to the large tariff deficit.

According to sources consulted by elEconomsta, companies will propose a measure that increases power bills gradually and applies a so-called "céntimo verde" tax that imposes charge on fuel that helps finance renewable energy subsidies currently making up more than a third of regulated costs.

Specifically, the proposed measures are passing because access tariffs, the subsidized portion of power bills, will rise 30% in 2012 and 17% in 2013. Electric companies say that the Government should apply these price increases gradually through quarterly changes, because there is enough leeway to combine the percentage increases with natural increase in energy prices that are reflected in the other half of power bills.