“The Government has approved an unprecedented measure [...], a mechanism that has a very clear set of objectives: to limit the scale of prices, protect those who are most exposed and, thirdly, socialise the costs and benefits,” said the Minister of Environment and Climate Action, Duarte Cordeiro.
"We will obtain a very significant reduction in the price of electricity, thus generating savings for families and companies", declared the minister.
At the end of April, the governments of Portugal and Spain reached a political agreement in Brussels with the European Commission for the establishment of a temporary mechanism that will allow the average price of gas to be fixed at 50 euros per MWh.
The mechanism is expected to last around 12 months and allow the average price of gas to be fixed at around 50 euros per megawatt, against the current reference price on the market of 90 euros, with the price starting at 40 euros.