Interesting to see whether other member states will adopt the same policy and how the Commission will respond.
The rest of Europe hasn’t got any price caps in place?
Sooo, the rest of the EU will cap tge prices too?
I mean it does make sense since Portugal and Spain use mainly North african Gas and renewable sources for electricity.
Also a reminder that both countries, before all of this, had proposed to build pipelines connecting the iberian pipeline and North african gas to the rest of europe but cheap russian gas won over that
“Yet Madrid and Lisbon had argued the Iberian peninsula should be allowed to cap prices to a maximum of €30 ($33) per megawatt hour because of their low interconnection with the rest of the bloc, describing themselves as an “energy island”.
Why aren’t they selling solar to France?
The article states that renewable energy costs zero to produce
That is of course false, it’s a very low marginal cost but those solar panels / wind turbines do not grow by themselves
Still, decoupling gas/elec prices makes sense for the Iberian peninsula
Hmm, generally speaking when you cap the price of goods or services at a below market price, when the supply is limited, you’ll simply have deficits. Have they fully considered that?
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Interesting to see whether other member states will adopt the same policy and how the Commission will respond.
The rest of Europe hasn’t got any price caps in place?
Sooo, the rest of the EU will cap tge prices too?
I mean it does make sense since Portugal and Spain use mainly North african Gas and renewable sources for electricity.
Also a reminder that both countries, before all of this, had proposed to build pipelines connecting the iberian pipeline and North african gas to the rest of europe but cheap russian gas won over that
“Yet Madrid and Lisbon had argued the Iberian peninsula should be allowed to cap prices to a maximum of €30 ($33) per megawatt hour because of their low interconnection with the rest of the bloc, describing themselves as an “energy island”.
Why aren’t they selling solar to France?
The article states that renewable energy costs zero to produce
That is of course false, it’s a very low marginal cost but those solar panels / wind turbines do not grow by themselves
Still, decoupling gas/elec prices makes sense for the Iberian peninsula
Hmm, generally speaking when you cap the price of goods or services at a below market price, when the supply is limited, you’ll simply have deficits. Have they fully considered that?
Based perro sanxe