Spain: Viesgo fined €6m for altering electricity market

Power distribution and generation company Viesgo Generación will be fined €6 million for altering the electricity market between January and October 2014, the CNMC announced. Viesgo has said it will appeal the decision.

Spanish regulator CNMC said it has verified that Viesgo offered the energy produced by its thermal power station at Cádiz, called ‘Los Barrios’, at abnormal or disproportionate prices. That power plant is one of five that supply the area called Campo de Gibraltar, which requires permanent access to this facility to guarantee its power supply.

CNMC has accused Viesgo of taking advantage of the situation to exclude itself from participating in daily auctions, presenting high offers for the ‘Los Barrios’ plant, knowing that these would probably be accepted under a more favorable scheme for the company.

Sources with the company indicated that Viesgo respects competition rules, which is why they will appeal the sentence, as they consider that Viesgo’s share (2% of the market) is too small to significantly alter the prices within the Spanish wholesale energy market.

Full Content: El Economista

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