Interesting - Aurora on the Iberian mechanism.

The mechanism caps wholesale market prices for fossil power plants, and recovers cost of cap on electricity consumers.

It does suppress electricity prices for ES and PT consumers, compared to DE/FR. But fossil gas use has increased significantly, adding to international LNG demand.

H/T @fbeirao

#energymarkets #gascrisis #energymastodon #iberianmechanism #electricityprice

When cold arrives. #IberianMechanism 🇵🇹🔗🇪🇸