Legal Challenge on 2025 Electricity Market Prices: What Companies Must Do

Key data

The 2025 electricity market prices are being challenged in court. The CNMC published on April 15, 2026 a summons resolution for interested parties to appear in the administrative contentious proceeding 4/402/2026, filed before the National Court against the Agreement of January 22, 2026.

That agreement published the settlement and average annual price of the daily and intraday market for 2025, values that serve as the basis for calculating remuneration of energy facilities and settling indexed contracts. If the challenge succeeds, those reference values could be modified or annulled, with direct economic consequences for the entire sector.

What does this regulation establish?

The CNMC resolution does not resolve the merits of the case: its function is to notify potential interested parties that a judicial proceeding is underway and that they have a period to appear before the National Court and defend their positions.

The challenged agreement, of January 22, 2026, published two key data points for the electricity sector:

• The daily and intraday market settlement for 2025: reference value that reflects the level of wholesale market prices during the year.
• The average annual price of the daily and intraday market for 2025: central data for economic settlements, facility remuneration and contracts indexed to market price.

The legal challenge questions these values. If the National Court upholds the challenge, it could modify or annul both data points, which would require recalculating settlements already made or in progress based on those reference prices.

Economic and operational impact

The potential impact of this challenge is significant for any company whose economic relationships in the electricity market are linked to the 2025 reference prices. The main risk vectors are:

• Economic settlements of the sector: the average annual prices of the daily and intraday market are the basis for calculating numerous settlements between market agents. A judicial modification would require reviewing them.
• Indexed contracts: large consumers and retailers with energy supply or purchase contracts referenced to the 2025 market price could see altered economic conditions.
• Remuneration of energy facilities: certain generation facilities receive remuneration calculated on the average annual market price. An annulment of that value would directly affect their regulated income.
• Legal uncertainty: while the challenge is pending, there is uncertainty about the firmness of the published values, which can complicate financial planning and negotiation of new contracts.

Failing to appear in the proceeding when you have legitimate interest means losing the ability to defend your own position before the National Court and being bound by the resolution without having been able to argue.

Who does it affect?

• Electricity retail companies with contracts indexed to the daily and intraday market price for 2025.
• Energy generation companies whose remuneration is linked to the average annual market price for 2025.
• Large industrial and business consumers with supply contracts referenced to 2025 wholesale market prices.
• Agents of the Spanish electricity market with pending or already made settlements based on the settlement or average annual price published in the Agreement of January 22, 2026.
• Legal and financial advisors of energy companies who must assess the risk of impact on their clients.

Practical example

An electricity retailer that has contracts with industrial customers indexed to the average annual price of the daily market for 2025 has calculated its margins and settlements based on the values published in the Agreement of January 22, 2026.

If the National Court upholds challenge 4/402/2026 and modifies that reference price, the retailer could be forced to recalculate all settlements made during 2025 with its customers, with the resulting impact on its treasury and contractual relationships.

Upon receiving the CNMC summons, this retailer must assess whether it has legitimate interest to appear in the proceeding. If it decides not to, it will be bound by the judicial resolution without having been able to submit arguments. If it decides to appear, it can defend that the published values are correct or, if applicable, argue in the manner that most favors its commercial position.

The same analysis applies to a large industrial consumer whose 2025 energy bill was calculated based on those reference prices: if the challenge succeeds, it could have the right to claims or, conversely, face upward adjustments in its settlements.

What should companies do now?

1. Identify if you have legitimate interest: review whether your company has contracts, settlements or remuneration linked to the settlement or average annual price of the daily and intraday market for 2025, published in the Agreement of January 22, 2026.
2. Check the appearance deadline: access the complete resolution in the BOE (BOE-A-2026-8365) to know the exact deadline to appear before the National Court in proceeding 4/402/2026. Procedural deadlines are non-extendable.
3. Assess potential economic impact: quantify what volume of settlements or contracts would be affected if the 2025 reference prices were modified or annulled. This will determine whether judicial intervention is justified.
4. Consult with legal advisors specialized in energy: the decision to appear in an administrative contentious proceeding before the National Court requires specific legal assessment. Act before the summons deadline expires.
5. Document your contractual position: gather all contracts, settlements and agreements that reference the average annual market price for 2025, to have them available in case the judicial proceeding advances.