Electricity Grid Tariffs For Consumption: Obstacles To Flexibility

Late last year, the ACM announced that it started preparations for a feed-in tariff for producers. An important conclusion that follows from CE Delft's research report is that the studied variants of a feed-in tariff make little to no contribution to more efficient grid usage and, moreover, the results are subject to uncertainties. However, the feed-in tariff is only part of a broader review of tariff structures announced by the ACM last summer, aimed at stimulating flexible grid use. In that respect, it is relevant that there are also significant obstacles to more efficient grid use in the offtake tariff structures.

This blog discusses offtake tariff structures, and how they make investments in flexibility (production and storage) behind the meter more difficult. Finally, the underused, lucrative alternative for offtakers is briefly discussed: participation in congestion management.