Galán supports the EU measures to fight against rising energy prices


The president of Iberdrola has implied that it is a more logical and effective plan than the one designed by the Spanish Government

The chairman of Iberdrola, Ignacio Galán, has accepted the measures announced by the European Commission to combat rising energy prices, which he has accepted without criticism. Galán made these statements during a conference he gave in Bilbao, at a conference organized by the Deusto Business School Alumni.

The Chairman of Iberdrola has detailed the important differences that exist between the measures that the European Commission has designed to intervene in the energy market, compared to the initiative of the Spanish Government. Thus, he has put the emphasis on remembering that the EU wants to tax "extraordinary profits" and not simple billing -which is then subjected to the pressure of increased spending-, as the Executive of Pedro Sánchez wants; also that the special collection is intended to help consumers directly and not be a collection that goes into the common box of public budgets, while setting maximum prices for renewable technologies "at 180 euros per megawatt, compared to 67 in Spain».

He has insisted that the "extraordinary profits are the product of the actions of the producing countries and especially of Russia and of the companies in the fossil fuel sector, which are having buoyant results." Faced with this, he has drawn attention to the cut in the results of electricity companies in Spain and the fact that some large European electricity companies -in France and Germany- are having to be rescued by their states to avoid bankruptcy.

In his opinion, the price of gas is the one that is currently distorting the entire scheme of electricity costs to ensure that companies such as Iberdrola are the main victims of this situation. “We have to buy gas to convert it into electricity. In addition, we have a large part of the electricity sold at fixed and long-term prices and when we do not have enough, because for example the wind does not blow, we are forced to buy very expensive electricity on the market. This situation is what is generating a cut in the results of electricity companies in Europe and serious difficulties for some companies.

He has advocated accelerating the energy transition to seek "Europe's energy self-sufficiency". A path that, she has explained, can be achieved "accelerating the transformation with more renewables and storage." A strategy that, he has insisted, «allows us to develop our own technology and industry. We have technology, we have capabilities and we have capital. We just lack adequate incentive schemes to carry it out ».

Galán has criticized the bureaucratic tangle and the difficulties of all kinds that are established to allow the opening of renewable electricity production parks, which leads to the delay of more than seven years in the commissioning of a facility. "It has to be simplified - he has pointed out - because we need to speed up that process". Looking to the future, he has warned about the fact that hydrogen technology is going to require "massive investments and the money will go where it can obtain a more adequate framework of incentives." Thus, for example, he has indicated that in the United States aid of "three dollars for each kilo of hydrogen produced" can already be obtained, while in Europe a framework of this type has not yet been designed.

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