What is PVPC? Spain's Regulated Electricity Price Explained
PVPC is Spain's government-regulated electricity tariff — available to all small consumers, but not always the cheapest option. Here's everything you need to know.
PVPC stands for Precio Voluntario para el Pequeño Consumidor — literally "voluntary price for the small consumer." It is Spain's official regulated electricity tariff, managed by Red Eléctrica de España (REE), the national grid operator. Rather than setting a single price per kWh, PVPC prices change every hour based on wholesale electricity market rates.
Roughly 40% of Spanish households are currently on PVPC. It can be very cheap during low-demand periods (nights, weekends), but it exposed many consumers to extreme price spikes during the 2022 European energy crisis. Understanding how it works helps you decide whether it — or a fixed-rate tariff — is right for your situation.
PVPC is only available from comercializadores de referencia (regulated retailers) — the large incumbent suppliers such as Endesa, Iberdrola, Naturgy, EDP, and Repsol. Free-market providers cannot offer PVPC; they offer their own fixed or indexed tariffs instead.
How PVPC prices work
PVPC prices are set one day in advance by REE using results from the OMIE electricity wholesale market auction. This means tomorrow's 24 hourly prices are published each afternoon. Your smart meter records exactly how much electricity you use in each hour, and that usage is billed at the corresponding hourly price.
PPunta — Peak hours
Monday to Friday, 10:00–14:00 and 18:00–22:00. These are the most expensive hours. Running high-consumption appliances (washing machines, dishwashers, ovens) during peak hours significantly increases your PVPC bill.
LLlano — Flat hours
Monday to Friday, 08:00–10:00 and 14:00–18:00 and 22:00–00:00. Mid-price tier. A reasonable time to run appliances if you cannot wait for valley hours.
VValle — Off-peak hours
Monday to Friday, 00:00–08:00 and all day Saturday, Sunday, and national public holidays. These are the cheapest hours — typically 50–70% cheaper than peak. Ideal for charging electric vehicles, running the dishwasher overnight, or heating water.
PVPC vs fixed-rate tariffs
| Factor | PVPC (regulated) | Fixed-rate tariff |
|---|---|---|
| Price per kWh | Changes hourly | Fixed for contract term (typically 12 months) |
| Bill predictability | Low — bills vary significantly month to month | High — easy to budget |
| Best scenario | Flexible households able to shift consumption to cheap hours | Households with fixed routines or those who want simplicity |
| Risk scenario | Energy crisis: PVPC hit ~700€/MWh in 2022 | If wholesale prices fall significantly, you don't benefit until contract renewal |
| Exit penalty | None — you can switch at any time | Often none, but check your contract |
| Who offers it | Regulated retailers only (comercializadores de referencia) | Free-market providers (50+ options) |
The 2022 energy crisis lesson: During the 2022 European energy crisis, PVPC wholesale prices spiked to around 700€/MWh — more than ten times the historical average. Households on PVPC saw monthly bills double or triple. Fixed-rate customers were shielded. This episode led many Spanish households to switch to fixed tariffs.
Who can access PVPC
Not every electricity customer in Spain is eligible for PVPC. The following conditions must be met:
Your contracted power (potencia contratada) is 10 kW or less. Most Spanish homes have 3.3 kW, 4.6 kW, or 5.75 kW contracted — all qualify.
You have a residential (domestic) electricity contract, not a business or commercial contract.
You sign up with one of the designated regulated retailers (comercializadores de referencia): Endesa Energía XXI, Iberdrola Comercialización, Naturgy Iberia, EDP Comercializadora de Último Recurso, or Repsol Electricidad.
You cannot access PVPC if your contracted power exceeds 10 kW, or if you have an electricity contract in a business name.
If you have recently moved into a property and have not yet set up electricity, or if your supply has been cut off, the distributor will connect you at the PVPC tariff by default. You can then switch to a free-market tariff at any time.
Thinking of switching away from PVPC?
If you are currently on PVPC and want the predictability of a fixed-rate tariff, switching is straightforward. You will need your CUPS code (the 20–22 character supply point code on your bill) and your NIE or DNI. The new provider handles everything with the distribution network — you never lose power during the switch.
SaveRadar compares 50+ fixed-rate and indexed tariffs from free-market providers, showing real monthly costs including all Spanish taxes (electricity excise, meter rental, and IVA). Enter your consumption and contracted power to find out how much you could save versus PVPC.
Compare tariffs vs PVPC