The kWh electricity price in Spain
TL;DR
The kWh price has two parts: a regulated component (grid charges, system charges, taxes) that everyone pays the same, and a commercial component that depends on your tariff. The commercial component is either PVPC (regulated, changes hourly with a futures-based smoothing since the 2024 reform) or free market (fixed, or indexed with a retailer margin). Current reference ranges and where to check official data below.
How the kWh price is built
The wholesale price is decided in a daily auction at OMIE (the Iberian Energy Market Operator). Each day, OMIE publishes the hourly price for the next day.
Your final bill isn't just that wholesale price. It carries on top:
- Transport and distribution charges (regulated by the CNMC, Spain's energy regulator).
- System charges (regulated by the relevant ministry).
- Electricity duty (impuesto eléctrico) and VAT (21% in 2026).
- Retailer margin (free-market tariffs only).
- Meter rental.
The three shapes the price takes on your bill
PVPC (the regulated tariff)
PVPC is the State-set regulated tariff. Until 2024 its price was directly the wholesale market price hour by hour. Since the 2024 reform, the calculation also incorporates a futures-market component that smooths month-to-month volatility. The price still changes every hour and is published daily via REE eSIOS.
Only the eight Comercializadoras de Referencia (CORs) — the regulated reference retailers — can offer it. If you qualify for the bono social (social tariff discount), you must be on PVPC for the discount to apply.
Free market with a fixed price
You pay the same €/kWh all year (or for the term of your contract). The retailer absorbs the risk of the wholesale market rising, so a fixed price always bakes in a margin above the expected wholesale price. This is the predictable option.
Free-market indexed
Tracks the wholesale hourly price with a retailer margin on top. Conceptually similar to PVPC, but with the added margin and without the futures-based smoothing.
Current reference ranges
These are the typical ranges for new fixed free-market offers, taxes included. They make a useful yardstick against your current bill — if your €/kWh is clearly above these ranges, you're probably overpaying.
| Time band | €/kWh (range) |
|---|---|
| P1 — Peak (Mon-Fri 10am-2pm and 6pm-10pm) | 0.18 to 0.25 |
| P2 — Mid (Mon-Fri 8am-10am, 2pm-6pm and 10pm-midnight) | 0.11 to 0.15 |
| P3 — Off-peak (Mon-Fri midnight-8am, weekends, national bank holidays) | 0.07 to 0.12 |
Free-market sample, June 2026. Verified manually against live retailer offers. Last updated: 5 June 2026. Next refresh: July 2026.
For PVPC, values change every hour and usually sit below the fixed range during off-peak hours and on days with strong renewable generation, and above during winter peak hours with high gas dependency. Live official data is published at REE eSIOS — indicator 1001.
Which type suits you?
We break this down properly in PVPC vs free market and fixed vs indexed tariffs. The short version:
- PVPC is usually the cheapest option when renewable generation is high and gas dependency is low — but it remains more volatile than a fixed tariff. If an unexpectedly high bill in a bad month would stress you, avoid it.
- Fixed gives you a predictable bill. You pay a margin for that predictability.
- Indexed sits in between: it tracks the wholesale market but with a margin.
Frequently asked questions
What's the cheapest kWh price of the day? On PVPC, usually off-peak hours (early morning, weekends, national bank holidays) and midday when solar generation is high. The most expensive peak hours are typically evenings on weekdays. The futures component smooths these extremes versus the pre-reform setup.
Is "kWh price" the same as "electricity price"? Not exactly. In casual Spanish, precio luz usually means power term + energy term + taxes added together. Precio kWh refers only to the energy consumed.
Why does my bill go up in winter even when the kWh price doesn't change much? Because you use more kWh: heating, longer lighting hours, heavier appliance use. The main driver of your bill isn't the €/kWh, it's how much you consume.
Is there a price cap? The gas-price cap (the so-called "Iberian exception") was a temporary measure and is no longer in force. The wholesale price is set freely in OMIE. PVPC has its own smoothing via the futures component since 2024, but that's not a cap.
How do I see today's exact PVPC price for my tariff? The official figure is published at REE eSIOS, refreshed daily. We'll show it live on this page once we can guarantee feed reliability; in the meantime, look it up directly at eSIOS if you need the exact value.
Related concepts
- PVPC vs free market
- Fixed vs indexed tariff
- How to know if you're overpaying for electricity
- How to switch electricity provider in Spain
- Your bill, explained
Sources
- REE — eSIOS — official hourly PVPC price (indicator 1001) and consumption profiles.
- OMIE — hourly wholesale price.
- CNMC (National Commission on Markets and Competition) — regulated grid and system charges.
- Royal Decree 216/2014 (original PVPC framework) and the 2024 reform of the PVPC calculation methodology.