The European Union will allow Spain and Portugal to use billions of euros in state aid to help ease the burden of spiraling electricity prices on consumers in the Iberian Peninsula as Russia’s war in Ukraine exacerbates an energy squeeze.
The 8.4 billion euros ($9 billion) in aid — 6.3 billion euros ($6.8 billion) for Spain and 2.1 billion ($2.3 billion) for Portugal — is intended to help to pay the fuel costs of electricity producers. The European Commission, which polices state aid rules, is permitting the program to run for a year.
