Spain's Minister of Industry, José Manuel Soria, stirred up doubts after hinting at a pardon for power company tariff deficits. This situation is sounding all the alarms in company headquarters, considering that the companies are not acknowledging 5 billion euros in "ghost tariffs" that the Spanish govern has yet to factor into pending tariff payments that it still owes power companies.
The total amount of this deficit includes deficits incurred in 2011 and what is predicted for 2012 on the limits set two years ago with intentions of containing the tariff crisis. Specifically, the deficit from last year should not have surpassed 3 billion euros, but according to calculations from the National Energy Commission, it rose above 4 billion euros due to a failure to provide specific data the last time accounts were settled.
This year the deficit should not surpass 1.5 billion euros, but it will extend to 3.5 billion anyway after extra-peninsular power bills from Ceuta Island and Mellila Island are factored in to power bills, replacing what was budgeted before José Manueal Soria became the Minister of Industry.
In total, the imbalance will be between 4.5 billion and 5 billion euros, an amount that was not acknowledged during the last release form to the Tariff Deficit Amortization Fund (Fade following the abbreviation in Spanish) for 10.313 billion euros this past January 28, which was published in Spain?s Official State Gazette.
