Within the framework of the grid fee system, mechanisms in the form of individual grid fees for industry have been in place for many years to reflect the special type of grid utilisation by these companies in monetary terms. Section 19 StromNEV (Electricity Network Charges Ordinance) sets out individual grid fees which are extremely relevant for industry, including:
- atypical grid utilisation in accordance with Section 19 (2) (1) StromNEV (where the annual peak load is significantly outside the typical time of the simultaneous annual peak load of all withdrawals from the grid) and
- intensive grid utilisation in accordance with Section 19 (2) (2) StromNEV (constant base load or band load of at least 10 GWh consumption and 7,000 hours of use)
In 2024, around 4,200 companies will benefit from grid fee reductions due to atypical grid usage and around 400 companies from individual grid fees in accordance with Section 19 (2) (2) StromNEV. An amendment to this established system will therefore have a significant impact on the industry.
Initiation of a consultation procedure by the Federal Network Agency on 24 July 2024
On 24 July 2024, the Federal Network Agency announced that it was initiating a fundamental reform of the established practice of individual grid fees, which is expected to come into force on 1 January 2026. Due to the changed electricity generation landscape, a complete reassessment of the incentives that have been (and will continue to be) set by the individual grid fees is necessary. In particular, the Agency is of the opinion that the previous requirements in Section 19 (2) (1) and (2) StromNEV run counter to the requirements of the energy transition. This is because band load incentivisation no longer has any benefit in terms of reducing grid costs or grid stability, as traditional generation from base load power plants is declining and the interest in a consistent power consumption by electricity-intensive end consumers is therefore also dwindling. The current inflexible consumption behaviour, which is encouraged by the current regulations, is detrimental to the overall economy and even exacerbates critical grid conditions. The same applies to the effectiveness of atypical grid utilisation (Section 19 (2) (1) StromNEV), as this is also reduced in grids with a high penetration of renewable energies.
Future organisation
The Federal Network Agency now wants to eliminate what it considers to be shortcomings by leveraging any flexibility potential of end consumers. The regulation on individual grid fees in accordance with Section 19 (2) (2) (so-called base load or band load regulation) is to be abolished from 1 January 2026 and replaced by a newly designed special grid fee that should incentivise industrial customers to behave in a way that is beneficial to the system, taking into account the changed energy industry conditions. Consumption behaviour that is beneficial to the system and has a positive impact on the costs of energy supply as a whole or on the costs of stable grid operation (storage is excluded from this as an independent business model) will therefore take centre stage. At the same time, transition periods are to be granted to facilitate the transition from the previous to the new environment and, if necessary, to be able to reorganise production accordingly. In addition, the future special grid fee should not be subject to a tight time limit to ensure planning security for companies.
Consultation period until 18 September 2024
As the Federal Network Agency expressly requests feedback from the industry to gain an overview of any special circumstances and to obtain a Germany-wide overview of the requirements to be observed in practice, there is an opportunity to comment by 18 September 2024. Affected companies should also make use of this opportunity to ensure that their special characteristics and views are considered.
If you have any questions about the impact of the upcoming regulations on your company or would like to submit a statement as part of the consultation, we will be happy to assist you.
