Spain's Audiencia Nacional overturns €25 million CNMC fine against Iberdrola

The Audiencia Nacional's fourth chamber annulled the €25 million sanction that the Comisión Nacional de los Mercados y la Competencia (CNMC) imposed on Iberdrola Generación in 2015. The fine was based on accusations that the utility had manipulated electricity market prices by inflating offers from its hydroelectric plants in the Duero, Sil and Tajo basins during late 2013.

The court ruled the regulator’s decision incompatible with the law, citing a January 4 2024 criminal court acquittal that found no market‑manipulation offense. It emphasized that facts established in criminal proceedings bind administrative authorities. The judgment also questioned the CNMC’s expert methodology as an “ad‑hoc” system lacking prior use. It concluded that Iberdrola’s market operators acted autonomously without intent to distort prices, leading to the fine being set aside.