What are the consequences of the conflict between Russia and Ukraine on the Spanish energy market?

By Andrea González

On February 21 Putin signed the recognition of the independence of the Ukrainian pro-Russian regions of Donetsk and Lugansk, sending troops to the area. Three days later, he ordered a military attack on the Donbas region. Since then, the Russian army has attacked various regions of the country, including the capital of Kyiv, endangering the world's integrity.

How the war affects Spain

The main consequences for Spain are and will be economic. Experts from electricity companies, in addition to advising you on which electricity tariff to contract, say that the price of some necessities will be affected. The price of wheat is expected to increase by 30% and that of corn by 20%, with clear consequences on the prices of end products made with these materials.

And it is not the only product to be affected. Electricity and gas prices have been skyrocketing for some time now and are expected to continue to rise due to the conflict. So the electricity marketers will have to do something about it.

Rising gas prices

One of the markets most affected by the conflict between Russia and Ukraine is gas. Vladimir Putin's country supplies approximately 40% of Europe's gas.  Spain is the EU country that is least dependent on Russian gas, with 5%, because a large part of its supply comes from North African countries.

This confrontation has increased gas prices, which have shot up by 29% and exceeded 100 euros/MWh, and has caused soaring inflation that directly affects consumers' pockets. For this reason, it is important to use a natural gas comparator to find the cheapest gas company and save on your bill.

Rising electricity prices

Not only is the gas market affected, but it is also going to affect our energy bill. Electricity has risen up to 17% to 240.13 euros/MWh, the second-highest price of the year and five times higher than a year ago. For this reason, it is advisable to use an electricity comparator to save on electricity.

Other products increasing in price in Spain

The armed conflict would mean a price increase in different products at the national level, due to the fact that Ukraine and Russia are part of the Spanish portfolio of suppliers of different products. For example, Ukraine is the main supplier of wheat and sunflower oil. However, the national and international market is waiting for the actions that Russia might take in this regard, so for the moment, there is no certainty of what might happen later on.

The list of products that increase in price as a result of the war are the following:

● Wheat

● Sunflower oil

● Bread

● Dairy products

● Meat

● Among others

Full story: https://www.companias-de-luz.com/noticias/consecuencias-del-conflicto-entre-rusia-y-ucrania-en-el-mercado-energetico-espanol/