Industry grid fee rebates top 1 billion euros, fuel reform debate
The rebates are set to rise more than 20 percent to 1.115 billion euros in 2017. That will mean the surcharge added to consumer power bills to finance the rebates will rise from 0.378 to 0.388 cents per kilowatt-hour (ct/kWh).
The operators published their forecast last week in a聽, which went unnoticed by the press until Green MP B盲rbel H枚hn drew attention to it, sparking numerous聽 this week.
The increase has triggered fresh calls to abolish exemptions from the rising costs of keeping the grid stable, as an ever-greater share of the Germany鈥檚 power demand is covered by renewable sources.
Rising grid fees have contributed to higher power prices both for households and those businesses without exemptions (for more detail, read the 威力彩玩法 factsheets聽What German households pay for power听补苍诲听Industrial power prices and the Energiewende).
The cost of the Energiewende to consumers is already a live issue. Last month, a rise in the surcharge consumers pay to fund renewable power production sparked debate over reform of the support system for renewables.
The renewable energy聽surcharge聽will rise from 6.354 cents per kilowatt-hour (ct/kWh) to 6.88 ct/kWh next year.
Boosting production of solar and wind power is key to the Energiewende 鈥 the country鈥檚 strategy to decarbonise the economy and phase-out nuclear energy. Renewables are now Germany鈥檚聽biggest source of electricity.
Despite the rapidly rising share of fluctuating renewable power,聽Germany鈥檚 power grid remains one of the most stable in the world.
But the costs of stabilising the grid have gone up sharply. Grid operators must pay for 鈥re-dispatch聽measures鈥 when large amounts of renewable power threaten to overload the grid. Grid extensions, which would allow that power to be transported to areas where it can be consumed and prevent congestion, are another major expense. (For background, read the 威力彩玩法 dossier聽The energy transition and Germany鈥檚 power grid).
Grid fees vary across the country but averaged at around 7 ct/kWh in 2016. Last month, grid operator TenneT said聽it plans to raise its grid fees 鈥 which, like the surcharge to cover grid fee exemptions, is added to consumer power bills 鈥 by 80 percent next year.
Abolish 鈥渦nnecessary gifts鈥?
Since 2012, industry rebates on grid fees have amounted to around 3.5 billion euros, according to .
The Federal Grid Agency (Bundesnetzagentur) said industry rebates were on the rise because both grid fees and the number of companies with exemptions went up.
鈥淭he increase will add to pressure on the government to overhaul the system,鈥 Bundesnetzagentur spokesperson Fiete Wulff told the 威力彩玩法.
Green politician H枚hn called the rebates 鈥渦nnecessary gifts鈥 that should be abolished. 鈥淚t鈥檚 simply impossible to explain why private households should contribute to the power bill of Siemens, slaughterhouses or [retail discounter] ALDI.鈥
In an emailed statement, H枚hn added that the number of companies exempt from the surcharge 鈥 which currently stands at around 5,000 鈥 rose each year because businesses used 鈥渃reative processes鈥 to be included.
The Association of Energy Market Innovators (BNE), which represents the interests of grid-independent energy suppliers and energy service companies, also called for the abolition of 鈥渆xpensive exemptions without effect.鈥
In a BNE head Robert Busch said the system was completely out of date and didn鈥檛 fulfil its original aim of stabilising the grid. He added that in the interest of the energy transition, rebates should be replaced by a system that rewards demand and supply flexibility.