Previously we already wrote a blog about the legal measures available to the ACM in its fight against grid congestion. Last July, the ACM expanded this list by two code decisions involving three measures: the time-bound transmission rate and the time-bound contract on the high-voltage grid and the mid-voltage grid. In addition thereto, the ACM has established criteria for future adjustments to the rate structure. The new measures of the ACM are meant to ensure that bulk consumers will use the grid less during peak hours, so that others (both consumers and producers) have more room on the grid.
The first two measures apply to bulk consumers who are connected to TenneT's high-voltage grid. Starting from 1 January 2025, a time-bound transmission rate will apply on the high-voltage grid. This is a kind of peak-hour charge: use of the grid will be more expensive during peak hours and cheaper during off-peak hours. It is hoped that this measure, which was published in the Time-Bound Transmission Rates for High-Voltage Grids Decree, will encourage bulk consumers to use the grid less during peak hours, so as to achieve less grid congestion. In addition, starting from 1 January 2025 bulk consumers of the high-voltage grid will be able to conclude time-duration-bound contracts. In this form of contract, the connected party agrees with the grid operator on a duration (of at least 85%) within which the grid can be used. A time-block-bound contract can be concluded for bulk consumers on the regional (mid-voltage) grid as of 1 January 2025. In such a contract, the user agrees with the grid operator on hours during which the network can be used. These new contract forms were published jointly in the Alternative Transmission Rights Decree and are meant to ensure that the network is used more efficiently.
Besides these three measures, the ACM has also established criteria for future adjustments to the rate structures. At present the rate structures are fairly simple, with only one type of rate being charged. Future adjustments to the rate structures are supposed to lead to better and more precise incentives to use the grid efficiently. Since it is hard to establish whether a certain rate structure will give the right boosts in practice, the ACM will implement changes step by step and will keep monitoring them. In any case, the idea is to implement the time-bound transmission rate, which will apply to the high-voltage grid, also into the regional (mid-voltage) grid with time.
