Electricity Prices Rise Sharply in Spain
The price of electricity in Spain soared by 40% in October 2025, reaching 84.73 euros per megawatt hour, a level nearly 39% higher than the previous month. This sharp increase has largely been caused by a significant drop in renewable energy generation, especially wind and solar power, as shorter daylight hours and lower wind outputs reduced supply.
As a result, combined cycle gas plants have become the leading source of electricity generation. Production from these gas-fired plants has surged by around 33% to make up for the shortfall, following grid operator measures that guarantee a minimum level of stable generation to prevent blackouts.
Looking ahead, experts say that the outlook for electricity prices is closely tied to the cost and availability of natural gas. Europe’s gas reserves are at comfortable levels, and if global flows remain steady and the winter is mild, electricity prices could remain contained. In this scenario, prices in early 2026 are expected to range between 78 and 82 euros per megawatt hour. However, any geopolitical tension or a cold snap could quickly push prices higher, potentially up to 85–90 euros per megawatt hour, reversing recent gains.
European Price Comparison
In October 2025, electricity prices in Spain reached 84.73 euros per megawatt hour—a sharp rise compared to earlier months. Spain’s prices were similar to France, where the wholesale price was around 83.79 euros per megawatt hour. In Germany, prices were noticeably higher, averaging about 96.41 euros per megawatt hour. Italy’s price was also elevated at roughly 99.21 euros per megawatt hour.
Household electricity prices per kilowatt hour reveal further differences:
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Spain: ~€0.28 per kWh
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France: €0.16–0.20 per kWh
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Germany: ~€0.40 per kWh
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Italy: ~€0.33 per kWh
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EU average: €0.29 per kWh
Overall, Spain’s recent price spike puts it near the European average but still under Germany and Italy, which continue to face higher power costs.