Spain's electricity bills rise as tax cuts end and gas prices weigh

On 2 June, Spain’s wholesale electricity price fell to an average of €51.08 /MWh, reflecting a recent gas‑price cap that lowered the daily market rate. The cheapest hour was between 15:00 and 18:00, with a low of €0.058 /kWh.

Meanwhile, the average household electricity bill under the regulated PVPC tariff increased to €75.63 in May, a 24 % jump from April’s €60.99. FACUA‑Consumers in Action attributes the rise to three factors: the reinstatement of standard taxes (IVA rising from 10 % to 21 % and the special electricity tax from 0.5 % to 5.11 %), higher generation costs linked to gas price spikes, and the restoration of contracted power levels. The analysis shows an extra €15 per month for a typical Spanish home.

The combined effect of higher taxes and energy costs is putting additional pressure on household budgets, prompting calls for permanent tax reductions for electricity and more stable long‑term pricing.