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ELECTRICITY

The cheapest rates Spain’s electricity companies don’t want you to know about

Finding a cheaper tariff is one of the best ways to counteract skyrocketing electricity bills, but a leading consumer watchdog has warned Spain’s electricity providers are not always open to telling customers about the best deal they can get.

Published: 23 September 2022 09:57 CEST
Updated: 22 October 2022 09:56 CEST
cheapest rates electricity spain
Finding the more affordable rates can be difficult to do, and often Spanish electricity companies make them deliberately difficult to get hold of. Photo: Colin Behrens/Pixabay

Like in many parts of the world, inflation triggered by the war in Ukraine has made the energy market incredibly volatile and sent household electricity bills soaring in Spain. The average bill reached €158 in August, an eye-watering increase of over 60 percent compared to 2021.

To give you some idea of just how much prices have risen in Spain, in August of 2020 the average electricity bill was €64, in 2021 it was €93, and in August 2022 €158.

According to recent figures from Eurostat, electricity bills in Spain have risen eight times more than in France and four times more than in Germany. Whereas the average Spanish household paid 60 percent more in August compared to 2021, in France it rose by just 7.7 percent and in Germany 16.6 percent.

The Spanish government has tried various methods to ease the burden on households. In June the tax (IVA) on electricity bills was cut from 21 percent to 10 percent, and then it was quickly reduced again from 10 percent to 5. The European Commission agreed to cap gas used for power generation at €40 per megawatt-hour known as the ‘Iberian Exception’, with the price limit projected to average out at €50 over the coming 12 months.

READ MORE: Spain to cut electricity tax by half to ease inflation pain 

The Spanish government predicted the measure — which will be in effect until May 31st 2023 — would lead to a reduction in household energy prices of up to 20 percent, yet it has done little to limit the rise of electricity bills so far.

READ MORE:

Unsurprisingly, many Spaniards are now seeking ways to cut down on their bills, whether it be by using the washing machine at certain times to take advantage of off-peak hours, or limiting their use of air-conditioning.

Another method of saving on electricity costs is finding cheaper tariffs.

Yet finding the more affordable rates can be difficult to do, and often the electricity companies make them deliberately difficult to get hold of. That’s according to Spain’s Organization of Consumers and Users (OCU), which have identified some of the cheapest tariffs on the market today. 

Understanding peak and off-peak

Spanish electricity companies offer different prices depending on the time of day you use your electrical appliances. The tariffs are often broken down into hora punta (peak time), hora llana (flat time), and hora valle (off-peak).

If you live in Spain, this is why you might’ve heard the incessant spinning of washing machines through the night in recent months. Nowadays many people simply wait until the weekend, when the tariffs are always off-peak.

So, if you’re thinking about switching, which are some of the best electricity rates you can find in Spain?

Repsol Tarifa Largo Plazo

According to the OCU, the Repsol Tarifa ‘Largo Plazo’ can only be found via this link, because the offer is actually hidden on the Repsol website. And for good reason, too. The Repsol tariff is among the best offers the  market in terms of price per kWh consumed, although the power for off-peak time is a little more than some of the other offers on the list.

The tariff is non-permanent, with a fixed price rate for 3 years.

kWh Prices

Price per kWh consumed: €0.17/kWh.

Peak hours: €29.90 per kW.
Off-peak hours: €29.90 per kW.

Iberdrola Online Plan

The Iberdrola Online Plan, which you can find here, is only available until September 30th, so be sure to take advantage of it as soon as possible.

Using Iberdrola’s online tool, you can select a kW rate and it will give you price estimates for the different values. If you’re environmentally minded, Iberdrola’s Online Plan claims to use 100 percent green electricity, so you can enjoy renewable energy and reduce your CO2 emissions.

There’s also 14 hours of savings during the night up until mid-morning.

This plan is only for customers who take out the contract online, as the name suggests, and features entirely electronic billing.

kWh Prices

Price per kWh consumed: €0.159353 + metered gas cost (in August €0.161529 /kWh).
Price per kW contracted during peak hours (fixed term): €30.66747.
Price per kW contracted during off-peak hours (fixed term): €4.104338. 

Not the prices will be revised in line with the Consumer Price Index (CPI) on January 1st. 

Octopus Energy

Octopus Energy tariffs are not permanent and is all done online, which allows you the flexibility to move around again in the future if you come across a better offer. Octopus offer two fixed prices:

Octopus 3: price per kWh consumed during peak hours is 0.254 €/kWh; at flat time 0.209 €/kWh; and at off-peak hours 0.185 €/kWh.

Octopus Relax: price per kWh consumed of 0.212 €/kWh.

kWh Prices (both Octopus tariffs) 

Peak hours (fixed term): €32.85.
Off-peak hours (fixed term): €6.57.

Iberdrola Special Plan

The Iberdrola Special Plan offers a 15 percent discount during the first year, and its kWh prices for both on and off-peak are competitive with other cheaper tariffs.

kWh Prices

Price per kWh consumed: €0.178662 (minus the 15 percent extra discount) but plus a gas metering cost (which in August was €0.161529/kWh.)

Peak hours (fixed term): €30.52381
Off-peak hours (fixed term): €3.512901

Endesa ‘One Luz’ Tariff 

Endesa is currently offering the ‘One Luz’ tariff, which offers a 10 percent discount on consumption and an additional 10 percent reduction throughout the first year.

kWh Prices

Price per kWh consumed: €0.189 (plus the 10 percent +10 percent discount) + the metered gas cost (which in August was €0.161529/KWh).

Peak hours (fixed term): €33.86.

Off-peak hours (fixed term): €7.9973

Total Energies

Another interesting option is Total Energies, who offer entirely personalised pricing plans. Basically, Total Energies want to attract your business by outdoing your current rate. In order to receive a quote and see how it stacks up against your current provider, you simply upload a copy of your current bill to the website and Total Energies make an offer, often bettering your current rate.

If they make an offer, Total Energies promise a discount lasting for 4 years, although the price on which the discount is fixed is only valid for 12 months.

READ MORE: 11 ways to cut costs as Spain’s electricity rates beat all-time price records

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FAMILY

How to have an affordable wedding in Spain

If you're getting married in Spain this summer and are worried about increasing costs, there are several ways to save money and have an affordable celebration.

Published: 5 July 2024 10:38 CEST
How to have an affordable wedding in Spain

The price of an average wedding in Spain is between €12,000 and €45,000, according to an analysis carried out by the budget site Cronoshare. This depends on what it’s like, as well as the time of year in which it is celebrated and where in the country it’s held.

Asturias tops the list of the most expensive places to get married with an average cost per guest of €267. Murcia is the cheapest community with a cost of €134. In between are the Basque Country and Galicia (€224), Madrid and Catalonia (€207), La Rioja (€196), Castilla y León (€194) Cantabria (€193) and Aragón (€177).

But no matter where you choose, there are ways to save money and keep costs down.

The average costs in this article were taken using information from event company Eventos Multiverso.

READ ALSO: The ultimate guide to Spanish wedding etiquette

Stick to a budget and open a separate bank account

Set a realistic budget. You should know how much money you are willing to spend and stick to it. It’s also advisable to open a specific bank account and only use the money in there for the wedding. This will help you be more aware of how much you spend and you will be able to set limits.

Think outside the box when it comes to a venue

If you go for places that are specifically advertised as wedding venues, they are typically going to be expensive. This includes hotels, big country estates etc. But, if you go for a venue that’s not actually a dedicated wedding venue, you may find it cheaper. For example, you can hire a villa on platforms such as Airbnb or VRBO. Remember it’s important to look at conditions to make sure you can have an event there or contact the owner to make sure. You could even hire a large villa for a week getting people to pay for their own rooms, instead of paying for individual accommodation in nearby hotels. In this way, the venue has almost paid for itself.

READ ALSO: Can non-residents or new arrivals get married in Spain?

Buy the alcohol yourself

Alcohol and having an open bar is an expensive part of a wedding. Couples can spend around €50/guest for each hour of an open bar. This can easily rack up costs. In order for this to be more affordable, buy the alcohol yourself instead of getting it from a caterer. You can buy large quantities of wine, cava and beer from supermarkets or wholesalers or directly from wineries. You can even mix your own cocktails and put them in large glass dispensers for people to help themselves. You don’t necessarily need to limit the amount of alcohol, they can still drink as much as they would at an open bar, but it will save you money.

Do the legal part elsewhere

If you want to get married in a court or town hall ceremony, you often don’t have to pay anything because it is a public service, however, if it is in the church or through a notary you may have to pay an amount of between €70 and €400. If you do the legal part at the town hall first then, you can have the party part of the wedding wherever you want afterward.

READ ALSO: Civil union or marriage in Spain: which one is better?

Limit the number of guests

The more guests the more expensive wedding will be. We know that that’s an important day and you want to invite as many friends and family as possible, but it all adds up. Try to agree on a specific number beforehand and don’t let other people take control of the guest list. Remember for some people you invite, there will be a plus one as well.

Try to find a more cost-effective caterer, as the food budget for a wedding can be very high if you have lots of guests. (Photo by CRISTINA QUICLER / AFP)

Shop around for caterers

Food at a wedding can be one of the most costly elements, but there are ways to keep the keep to a budget. Each menu costs on average €120 per head, but if you contact different caterers you can usually get a better deal. If alcohol isn’t included, this will usually bring the cost down too. Not having individual servers can again save you money – most people will be happy to go up and get the food, so you only need a couple of professionals to give out the dishes.

Choose large sharing dishes as opposed to individual ones. For example, in Spain paella works really well for this. You could even have three different types of paellas for vegetarians, seafood and meat eaters ensuring dietary needs are covered as well.

Do the decorations yourself

Decorations can be costly if you don’t set a budget and have something in mind. If you hire people to do this for you or the venue is in charge, you are not only paying for the materials but also for the manpower. Effective decorations can be bought online and customised yourself for example decorate old jam jars with lace to make cute candle holders or vases for the tables. If you set up the decorations by yourself, you will also be saving money. Keep in mind, some venues may let you do this but, if it’s a typical wedding venue they may not.

Get friends and family to help with hair and make-up

Hiring a professional hairdresser and makeup artist can be costly with prices between €120 and €300. In addition, accessories can range from €400 euros to €800. Of course, you want to look your best on your big day and it’s nice to be pampered by a professional, but most people usually know somebody who has great hair and makeup skills. Your friends, siblings and cousins may even have skills you didn’t know about and be willing to help out. Then you only have the cost of the make-up itself.

Go for dried instead of fresh flowers

Choose dried flowers for the bouquets instead. The cost fresh flowers can cost anywhere between €100 to €300 each in Spain. Typically dried flowers are cheaper than this and it’s actually a growing trend in the wedding market. This also means you can keep them as a a momento because they won’t die after a few days. Places such as Etsy are great for these, but you can also inquire at your local florist or online.

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