The four percent reduction in electricity rates announced by the government this week, on average, will mean an annual saving of 3'500 pesetas per household next year. The rate cuts will affect over 20 million domestic consumers, but industrial consumers are going to see their bills increase as the government adopts another strategy in its bid to try and encourage the big power consumers to use less power. Average electricity consumption in Spain and the Balearics is 70 per cent less than the European Union average. Compared with the rest of Europe, Spanish consumers use far less power than the European Union average, but central and local government hopes to be able to cut power consumption further while introducing alternative power generating systems. Yesterday the Balearic government took the initiative and announced that in the New Year it will introduce a series of measures to save power and water in its public buildings. What is more, all of the new buildings being built in the Balearics will have to be fitted with energy saving systems and solar power options. Spokesperson for the Balearic government, Antoni Garcias, stipulated yesterday that existing buildings will have a period of five years within which to install similar energy saving and solar power devices.

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