What is the OMIE market and how does it affect the price of your energy?

The OMIE market (Operador del Mercado Ibérico de Energía) is where electricity is bought and sold in Spain and Portugal. It works like a daily auction in which electricity generators offer their energy and traders, such as Frank Energy, purchase it for distribution to households and businesses. The price of electricity changes every day according to supply and demand: it rises when there is more consumption or less production, and falls when the opposite occurs.

OMIE does not sell directly to consumers, but acts as an intermediary between generators and retailers. Therefore, the price set in this market directly influences the tariffs we offer our customers. Factors such as demand, weather conditions and fossil fuel prices can cause the cost of electricity to fluctuate.

At Frank Energy we work to ensure that these variations affect our customers as little as possible, monitoring the market on a daily basis to always offer competitive and transparent tariffs.

For more information, please see our blog on the OMIE market.