PVPC vs free market in Spain: which one suits you in 2026
TL;DR
- PVPC (regulated) passes the wholesale market price through to you hour by hour — cheap when renewable generation is high and gas dependency is low, expensive in years of crisis. Volatile.
- Free market gives you a fixed price (or indexed with a margin) in exchange for the retailer absorbing the wholesale risk. Predictable.
- Quick decision: if an unexpectedly high bill in a bad month would stress you, go fixed. If you can tolerate volatility and shift consumption to off-peak hours, PVPC.
Decision tree
Can your bill swing noticeably from month to month (especially winter vs summer)?
│
├── NO → Fixed free-market tariff
│
└── YES → Can you shift consumption to off-peak (midnight-8am, 2pm-6pm)?
│
├── YES → PVPC with the 2.0TD access tariff ✅ (statistically the cheapest)
│
└── NO → Indexed free-market tariff, or fixed if volatility stresses you
Which one has won in recent years
The historical balance depends on the year: in the gas-crisis years (2021-2022) PVPC was significantly more expensive than fixed tariffs signed before; in years with strong renewable output and low wholesale prices, PVPC ended up cheaper for most months.
There is no permanent winner. Any blanket statement of the kind "PVPC is always cheaper" or "always more expensive" ignores how dependent it is on the wholesale price at each moment. The monthly PVPC price data published by REE is the source for running this balance against your own time horizon.
When PVPC is a bad idea
- 100% electric heating with storage radiators (consumption concentrated in evening peak).
- Businesses with fixed 9am-9pm opening hours.
- Households on a tight budget, no buffer for a bad month's bill.
- Large families with flat consumption all day.
When PVPC is great
- Remote workers with the flexibility to run laundry and dryer when they want.
- Electric cars charging at night (off-peak is significantly cheaper than peak).
- Households with an inertial heat pump (pre-heat during off-peak).
- Households with solar panels (you self-consume during the expensive midday PVPC hours).
The trick almost nobody uses
PVPC has three time bands (the 2.0TD access tariff):
- Peak: 10am-2pm + 6pm-10pm (weekdays)
- Mid: 8am-10am, 2pm-6pm, 10pm-midnight
- Off-peak: midnight-8am + all weekend and national bank holidays
Off-peak is meaningfully cheaper than peak. If you move the washing machine, the dishwasher and overnight phone-charging to weekends or nights, you trim the energy share of your bill without changing anything else about your daily life.
How to switch to PVPC
PVPC can only be offered by the Comercializadoras de Referencia (CORs) — the regulated reference retailers. There are eight authorised in Spain:
- Energía XXI (Endesa group)
- Curenergía (Iberdrola group)
- Comercializadora Regulada Gas & Power (Naturgy group)
- Régsiti (Repsol group)
- Baser COR (EDP España group)
- CHC COR (CHC Energía)
- Teramelcor S.L. (Melilla only)
- Energía Ceuta XXI (Ceuta only)
Requirements: contracted power ≤ 10 kW (which covers essentially every residential supply).
Frequently asked questions
Are the CORs separate from their group's free-market retailers? Yes, they are legally separate entities. Curenergía is not Iberdrola's free-market business. Even when they belong to the same corporate group, the tariffs are distinct.
Can I switch back to fixed if I don't like PVPC? Yes, at any time, free of charge.
Does PVPC qualify for the bono social discount? Yes. To receive the bono social (social tariff discount) you must be on PVPC.
Is a free-market indexed tariff the same as PVPC? Conceptually close — both track the wholesale market — but a free-market retailer adds a commercial margin on top. PVPC adds only the regulated components (grid and system charges).