Electricity costs in Spain are some of the highest in the EU, shows research from the Spanish dailly La Vanguardia.
As you can see from the table below, based on the cost of 100 kWh in the second half of 2019, electricity costs in Spain are the fifth highest in the EU, behind Denmark, Germany, Belgium and Ireland.
But, as usual in Spain, taxes and other official tariffs play a significant part in driving up the cost significantly above the EU average. According to the table, almost half the cost of electricity in Spain comes from taxes and tariffs (darker bar). It’s more like a third in most other EU countries.
Looking at my latest electricity bill, 35% of the cost was electricity generation, 21% was tax, and 43% was other regulated tariffs such as a green tax, distribution costs, and other costs.
VAT on gas and electricity is charged at 21% in Spain, compared to 20% in France, and 10% in Italy. It’s just 6% in Greece.
There is uproar in Spain because electricity costs spiked something like 20% during the cold snap in the first half of January, when Madrid was brought to a standstill by the heaviest snowfall in decades.
I’m thinking of doing a series of articles on ‘ripoff Spain’ and ‘bargain Spain’ to see how living costs compare to other countries in Europe, and I suspect the electricity costs will be more in the ripoff group. It doesn’t help that energy bills in Spain are fiendishly difficult to understand, let alone compare.