Iberdrola SA: Snchez Galn calls for “more Europe” to overcome the energy crisis

Iberdrola chairman Ignacio Sánchez Galán believes the response to the crisis must be “more Europe” or it won’t be. “Regulatory stability and orthodoxy, legal certainty, more dialogue and more market rules are essential”. He believes that the solutions must be common and not that each country takes measures in isolation. The President of Iberdrola participated in the ‘Wake up! Spanish forum organized by the digital newspaper El Español. During his speech, he clarified that Spain is not an exception in this crisis, but that it affects “all of Europe in the same way”.

He believes that the EU has not done enough to reduce dependence on fossil fuels, which account for 60% of total energy consumption. In fact, he blamed high coal, gas and oil prices for the energy crisis. Sánchez Galán is clear that the solution to this situation is to accelerate the commitment to clean energy, self-sufficiency in order to reduce dependence on foreign energy.

The president of Iberdrola is clear that the solutions to the crisis must be shared by all, and that they must last over time. The president of Iberdrola believes that Europe “takes very seriously the implementation of policies that reduce dependence on foreign countries”. According to him, more investment is needed in renewable energies, electricity networks and storage. The deployment of renewable energies must be faster.

“Prices on the daily electricity market are similar across the EU, and even lower in Spain.” He pointed out that 80% of the energy is unaffected by fluctuations in the electricity market, as it is locked into fixed rate contracts. He understands that the differential element in the EU is the retail market: “Voluntary small consumer pricing (PVPC), subject to poor design, is what causes hourly price volatility”.

He named the United States as Iberdrola’s “main investment destination” because it has “predictability, stability and legal certainty”. He also pointed out that the country’s tax treatment is much more favorable to energy companies. He recalled that, according to a study by the BNP, Spain is the country “with the highest regulatory risk in Europe and that does not help”. He insisted on the need to provide Europe with more solid legal certainty in order to reduce the effects of future crises.

Finally, he praised the excellence of Spanish companies, which bear the name of the country all over the world, as well as its suppliers.

Mary I. Bruner