Choosing the right electricity tariff is essential if you want to optimise your consumption and save on your monthly bill. In Spain, the electricity system is mainly divided into two large markets: the free market and the regulated market. Understanding the difference between them is the first step towards making an informed decision.
- In the free market: electricity companies, such as Repsol, offer a wide variety of tariffs, with prices and conditions agreed directly with the customer.
- In the regulated market: the price of electricity is set by the Government and changes every hour depending on supply and demand; the main tariff in this market is known as PVPC (Voluntary Price for the Small Consumer).
Below, we explain the main types of electricity tariffs you can find in August 2026 in each market, so you can identify which one best suits your consumption habits.
Free market rates
In the free market, energy suppliers design their own offers, giving you more choice and flexibility to find a tailor-made plan. These are the most common:
Fixed-price electricity tariffs
With a fixed-price tariff, you pay the same price for every kilowatt-hour, or kWh, you consume throughout the day, regardless of the time. This price remains stable for the duration of the contract.
It is a good option if you are looking for stability and prefer not to worry about electricity market fluctuations, as it allows you to plan your monthly spending without surprises.
Variable-price electricity tariffs
Also known as indexed tariffs, variable-price tariffs link the price per kWh to wholesale electricity market prices.
This means the cost can change every hour and every day. Although they involve greater risk due to volatility, they can be more economical when market prices are low.
Flat-rate electricity tariffs
Flat-rate tariffs consist of paying a fixed monthly fee, regardless of the amount of energy you consume. This fee is calculated based on an estimate of your annual consumption.
It is a convenient option if you want full control over your spending and always pay the same amount, although it is important to review the adjustment conditions in case your actual consumption exceeds the estimated amount.
Time-of-use electricity tariffs
Time-of-use tariffs set different electricity prices depending on the time of day. They usually divide the day into three periods:
- Peak period, the most expensive.
- Standard period, with an intermediate price.
- Off-peak period, the cheapest.
These tariffs are ideal for households that can concentrate most of their electricity use, such as running appliances, during off-peak hours (at night and on weekends).
Self-consumption and solar tariffs
If you have solar panels installed at home, you need a specific self-consumption tariff.
These tariffs allow you to feed the surplus energy you do not consume back into the grid and receive compensation for it on your bill. This helps you maximise the savings generated by your photovoltaic installation.
Electric vehicle tariffs
Designed for electric car users, these tariffs offer very low prices at night, which is when vehicles are usually charged.
They often include a super off-peak period, allowing you to charge your car battery at a lower cost.
Regulated market electricity tariffs: PVPC
The regulated market tariff, known as PVPC, is aimed at consumers with contracted power of up to 10 kW. Its main feature is that the price of electricity changes every hour, as it is directly indexed to the wholesale market.
This means that with a PVPC tariff, the amount you pay for electricity can vary depending on the time of day and market conditions. For some households, this can offer savings when prices are low, but it can also make monthly bills less predictable.
How do I choose the best electricity tariff for my home?
Now that you know the different types of electricity tariffs available in the free and regulated markets, choosing the right tariff for your home depends on your habits, your equipment and your preferences.
Analysing when you use the most energy, whether you have installations such as solar panels or an electric vehicle charger, and whether you prioritise stability or are willing to take on more risk in exchange for potential savings are all key factors.
To learn more about how to analyse your needs and compare the different options available, we recommend reading our article on which electricity tariff to choose.