Did you know that the cost of electricity in Spain went up by a further 8% in July? Personally, I can’t keep up with its meanderings, but what I do know is that the Government’s energy reform has not really been a success.

Despite reassurances from the government team that after the reform, electricity prices would stabilise and even fall, we haven’t seen much evidence of this from July’s figures, which have been blamed onto the electricity market.

However, the Government has said that July’s increase of 8% could have been worse.

And, it seems that the cost of electricity is not set to fall at any time soon, which is obviously making the Government nervous and dampening their initial optimism about their efforts.

Consumer rights organisation, OCU, on the other hand, had already warned consumers that this was likely to happen, having little faith in a system that uses 24 different tariffs for every day of the year. Turning the lights on is still just as expensive.

OCU also warns consumers that further increases loom on the horizon for the next few months and that the hope that prices will decrease at some point this year is slowly being extinguished.

OCU’s opinion is the complete opposite of the Department of Industry’s, who forecast that electricity costs would fall during 2014. Who do you think is more credible?

source: www.onthepulse.es