GESA chairman warns government of escalating energy prices

Chairman of gas and electricity company GESA, Bartomeu Reus, yesterday called for immediate action from central and autonomous governments in the face of possible and gradual increases in the cost of fuel in the Balearics which could force the cost of energy up by as much as 40 percent. Reus met the Balearic Chief Minister, Francesc Antich, for talks yesterday and Reus took the opportunity to spell out the market dangers to Antich and demand that urgent measures be adopted to stop a probable increase in prices. “There is a dire need for energy regulation, nowadays we are going through a very serious problem which could cause us lots of internal and external difficulties,” Reus said. Reus said “a public debate has to be opened about the price of fuel in order to ensure that the public and consumer is more aware about what a future with energy costs going up 50 percent entails.” Reus and Antich also discussed the merger of GESA's parent company Endesa with Iberdrola and Reus was able to give assurances that the merger will not hamper GESA's investment programme for the Balearics. Next year Son Rues will be operating with a “very high” output electricity plant and Antich said after the meeting that Reus's assurances about GESA's future commitments to the Balearics has “eased” the concerns of the local government.