Hot Topic # 1 - Obligation to retrofit renewable energy plants with smart metering systems (§ 9 EEG 2021)
Smart meter - Intelligent metering systems for the energy transition. Most probably, there was not just one starting signal for the digitization of the energy turnaround. However, intelligent metering systems or smart meters are undeniably a central component of this digitization. Smart meters are intended to enable better feed-in management and to contribute to lowering electricity costs as well as to improved network utilization. With the German Renewable Energy Law – EEG 2021 (§ 9), the obligation to retrofit certain generation plants came into force at the beginning of the year. Our experts will inform you about some aspects regarding the retrofitting obligation of renewable energy plants.
Question: What is a smart metering system
and how does it work?
Answer: An intelligent metering system
consists of a modern metering device and a so-called smart meter
gateway. The modern measuring device takes over the measurement of
the data, while the smart meter gateway acts as a communication
unit and thus enables the transmission of consumption values,
real-time monitoring as well as the monitoring and operational
management of the plant.
Question: When do generation plants have to
be retrofitted with such a smart metering system?
Answer: The basic prerequisite for a
nationwide rollout is first of all a so-called market availability
declaration ("Marktverfügbarkeitserklärung")
from the Federal Office for Information Security ("BSI").
So far, such a declaration has only been issued for metering points
of low-voltage end consumers with an annual consumption of 100,000
kWh or less. For generation plants however, a market availability
declaration is expected for the first quarter of 2021.
Question: Which plants are to be equipped
with a smart metering system?
Answer: A distinction must be made here
between existing plants with a commissioning date prior to January
1, 2021 and plants commissioned after January 1, 2021 (under the
validity of the EEG 2021). Old plants basically do not need any
change, while for plants commissioned after January 1, 2021 a
retrofitting obligation with an intelligent metering system
basically applies from a certain plant size (over 25 KW) to enable
remote controllability and retrieval of the actual feed-in by the
grid operator.
Hot Topic # 2 - Reduction of the tender volume by the Federal Network Agency for onshore wind power (§ 28 (6) EEG 2021)
The EEG 2021 provides for a reduction of the tender quantity for onshore wind power in case a tender is undersubscribed. If the German regulator, the Federal Network Agency ("Bundesnetzagentur") assumes that the volume offered in a tender will not be reached, it must reduce the tender volume. This was precisely the case in past tenders. Mainly due to a lack of approvals, total volumes offered were below the capacity available in each case. Irrespective of whether the reduction of the tender volume is reasonable from an economic point of view with respect to the energy turnaround, our experts also briefly shed light on specific aspects of §28 (6) Renewable Energy Act 2021.
Question: When can the Federal Network
Agency reduce the legally defined tender volume?
Answer: In the event of "imminent
undersubscription": this is said to be the case if two
conditions are cumulatively met: (1.) the previous tender was
undersubscribed and (2.) the volume of new approvals and
non-approved bids since then is in total smaller than the tender
volume of the upcoming tender.
Question: To what amount would the tender
volume be reduced?
Answer: To the sum of new approvals since the
previous bid date plus bids not approved in the previous tender
date.
Question: It is often stated in connection
with the regulation that it could lead to uncertainty among market
participants - Is this true?
Answer: If there was an undersubscription in
the last tender, there is some uncertainty that the Federal Network
Agency will reduce the bid quantity in the upcoming tender. If, on
the other hand, there was no undersubscription at the last bid
date, there is no threat of a reduction in quantity at the next
tender.
Question: What is meant in this context by
the fact that there is a possibility of making up for bid
quantities that have not been signed?
Answer: This refers to the provision in
Section 28 (3) Sentence 1 EEG 2021, according to which a catch-up
of the "non-attributed" quantities begins from the year
2024 (for the "non-attributed" quantities in the
respective third preceding calendar year). The catch-up is thus
intended to compensate for the reduction in volumes, but the time
period (i.e. third year after reduction) is often criticized as
being too long.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.