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Spanish Association of Cold Storage, Logistics and Distribution (Aldefe):

"Energy prices are unsustainable for the sector and a threat to employment"

In August, electricity prices in Spain have recorded a skyrocketing growth, reaching 105.12 €/MWh (as of August 28, 2021), which represents an increase of 11.62 €/MWh above previous forecasts. Prices in August 2021 have been historically high; the same as in April 2021. The increases observed in some days and times of the day are unsustainable, according to the secretary general of the Spanish Association of Cold Storage, Logistics and Distribution (Aldefe), Marcos Badenes.

Forecasts for September point to the price reaching 113.6 €/MWh, well above the moving average, while September is usually a month with average prices. The Aldefe said that a similar trend is observed in Europe. The United Kingdom stands out with the highest price: 125.04 €/MWh, compared to France with 76.27 €/MWh, Germany with 81.78 €/MWh or Italy with 111.92 €/MWh.

It accounts for 40% of the costs
For his part, the president of Aldefe, Julián Corriá, said: "The cost of electricity is vital for our subsistence. For a company devoted to cold storage, electricity represents around 40% of its operating costs and, furthermore, the taxation linked to energy is very high and we are excluded by CNAE from the aid in the electricity tax rebate. Also, we do not receive direct aid for energy efficiency, because the Administration, I insist, does not consider us an industry, when we transport and store thousands of tons of food and other perishable products every day, which is essential for the welfare of the people."

In the course of 2021 there has been a 35% increase in the total cost of electricity, and from June 2021 the prices of what is commonly called tolls have risen by 7% compared to the average of previous years.

"On June 1, our companies assumed a price increase in toll rates that was not expected, and now the market surprises us with new increases that hadn't been announced either, neither in the energy market, nor by our business management. The worst part is that we don't know for how long this will continue."

"It is a very serious problem for the companies, since contracts have been closed with customers at certain prices and now the costs are increasing without us being able to pass them on to third parties, which leads to losses that are a threat to companies and to employment."

For more information:

Spanish Association of Cold Storage, Logistics and Distribution
aldefe@aldefe.org
www.aldefe.org


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