This week, the Council of Ministers approved a royal decree-law that will allow the Spanish government to limit the maximum prices of certain products or services when an emergency situation is declared that exceptionally alters supply and demand conditions.
The regulation, drafted by the Ministry of Social Rights, Consumer Affairs, and Agenda 2030, amends the revised text of the General Law for the Defense of Consumers and Users in order to incorporate an extraordinary price control mechanism in emergency situations.
As Minister Bustinduy has pointed out, the aim is to strengthen consumer protection against possible abusive practices in critical situations, such as those reported by various consumer associations in recent disasters, including the DANA in Valencia, the fires of 2025, and the train accident in Córdoba.
With the approval of the new regulations, the Executive will be able to set a maximum price for products or services when an emergency situation is declared. In this way, the prices of the products and services affected may not exceed the highest price recorded during the 30 calendar days prior to the start of the exceptional situation. An additional mechanism is also being introduced: if the maximum price exceeds the average price during those 30 days by 50%, the price may not exceed the average price by 50%.
The text specifies that the activation of this measure is not limited solely to emergencies declared in the field of civil protection, but also to those determined by Agreement of the Council of Ministers. As a result, price restrictions may be activated either in conjunction with a declaration of an area seriously affected by a civil protection emergency, or in other cases such as accidents, technical emergencies, force majeure, or other unforeseen circumstances not attributable to users.
The Council of Ministers Agreement must specify, at a minimum, the start and end dates of the measure for the products or services affected and the applicable reference for limiting prices. Likewise, the Government may impose on companies the obligation to inform consumers of the average price and the maximum price applied during at least the previous 30 days.
Similarly, it is guaranteed that price limitation will remain in force as long as the exceptional demand conditions directly linked to the emergency persist. However, the royal decree-law incorporates flexibility criteria in order to avoid creating additional supply tensions. Price increases will only be allowed when they are objectively justified by a proven increase in costs or when they are necessary to introduce new supply that helps mitigate shortages, provided that they do not involve an increase in commercial margins.
In the case of goods or services with marked seasonality, the regulation provides for the possibility of taking as a reference the price corresponding to the same period of the previous year, updated in accordance with the Consumer Price Index.
Finally, the new rules recognize consumers' right to an automatic refund of any amount charged in excess of the applicable maximum price, without prejudice to any penalties that may arise under the established regime.
Source of information: Ministry of Social Rights, Consumer Affairs, and Agenda 2030.