HOUSEHOLDS on Spain’s regulated gas tariff could see annual bills rise by more than €300 when prices are reset on October 1, according to consumer group OCU.
The TUR (Tarifa de Último Recurso) is a government-set gas price available to homes using up to 50,000kWh a year. Like the UK’s Ofgem price cap, it is revised every quarter, but it is only offered by a handful of ‘reference’ suppliers linked to the big energy firms.
Readers can check whether they are on it by looking for ‘TUR’ on their bill.
OCU, Spain’s equivalent of Which?, estimates the unit price for TUR.2, the band covering most homes with gas central heating (5,000 to 15,000kWh a year), will climb from 4.12 cents to around 6.95 cents per kWh, a 69% rise.
Because standing charges, meter rental and taxes make up part of the bill, the overall increase is smaller but still steep. A typical household using 9,000kWh would pay about €910 a year, up from €600.
The spike is down to the pricing formula. In the October to December quarter, gas futures account for almost 47% of the supply cost, and futures are trading high amid current international conflicts.
Despite the jump, OCU advises against switching yet. It says the TUR is still at least 22% cheaper than the best fixed-price deals on the open market, which are also rising.
The group is urging the government to renew tax relief on gas, which expires this month, by cutting VAT and hydrocarbons duty.
Butane bottles, used in many rural homes, are priced separately and are not affected.
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