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- Hearing and public information
The council of ministers, on the proposal of the Ministry for the Ecological Transition and the demographic challenge (MITERD), has agreed to initiate urgent processing of the preliminary draft law that acts on the remuneration of the non-CO2 emitted in the electricity market, with the aim of regulating the reduction of the pay of power stations and not inframarginales commissioned before the entry into force of the market for emission rights.
The electrical energy represents approximately one quarter final energy consumption in Spain. Its qualitative importance is even greater: it is an essential supply for households, with a relative weight households in situations of vulnerability, as well as a productive input of great importance to business and industry, some of which – the so-called electrointensivas- is a determining factor of competitiveness in international markets.
The design market marginalista electricity generation, which is determined by the european regulation, the constitution establishes that all production facilities to operate in a given time receive the same price, for the offered by the last installation that has been married to supply the demand in this hour. This design marginalista, inter alia, allows these price signals and externalities, functioning as facilities cleaner and more competitive, receive higher incomes, which encourages its installation and entry into the market, replacing the most persistent and, in general, less competitive.
However, in the spanish electricity system there are a number of facilities that were put into operation before the entry into force of the market mechanism and emissions trading and which are not inframarginales and stations, this is a recurring basis perceive premium prices associated with the rights of CO2 and internalizing acquire power stations that are when they set the price market marginal. As such facilities and not inframarginales stations should not bear the cost of CO2 and were built and brought into operation prior to the implementation of the market for emission rights (2005), these sobre-ingresos correspond with remuneration of the non-CO2 emitted.
The above reasons justify a regulatory intervention to correct this situation, establishing a reduction of the remuneration of these facilities, for the cost of CO2 allowances not issued in the market a result of the internalisation of the cost of CO2 in the price of the wholesale market.
The revenue generated as a result of the mitigation will be used to finance the offices of the electrical system and to fund the policies of protection of vulnerable consumers at risk of social exclusion, contributing to the public authorities to additional resources to meet the provision of these consumers.
As a result of the above, is submitted to the process of hearing the above-mentioned draft law that acts on the remuneration of the non-CO2 emitted in the electricity market
Deadline for submitting arguments from the day Wednesday, June 2, 2021 until the day Thursday, June 10, 2021
Submission of allegations
The allegations may be referred to the email address: bzn-dividendoCO2@miteco.es
Those pleadings were directed to the General directorate of Mines and energy policy.