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ACM: transmission tariffs cannot be an impediment to the construction of power storages

The different components of the transmission tariffs for electricity cannot be an impediment to the construction and development of power storage installations. That is why the Netherlands Authority for Consumers and Markets (ACM) will explore whether or not it is necessary and possible to adjust the tariff components in such a way that it becomes more appealing for market participants to invest in power storages. That has been the key finding of the ‘Market scan regarding power storage’ in which ACM has identified what impediments exist to the construction and development of power storage systems.

Power storage offers flexibility that is needed in order to keep the grid balanced. In addition, storage of sustainable energy becomes more and more important as the Netherlands transitions from electricity generated by coal-fired and gas-fired power plants to electricity generated by wind turbines and the sun. The available wind and solar power heavily depends on the weather and the seasons, and is therefore much harder to control. Storing power locally can also help reduce the capacity scarcity on the grid. Generated power that cannot be transmitted during peak periods could then be temporarily stored locally. This can help prevent wind turbines or solar farms from having to be shut down temporarily.

With its follow-up study into tariff-related impediments, ACM wishes to stimulate new opportunities for power storage, and to ensure that power storage is able to compete with other flexibility services on a level playing field. ACM’s Market scan regarding power storage is part of a series of ACM publications aimed at providing substantive contributions to the decisions that must be taken as part of the energy transition. ACM previously already published a paper regarding the development and regulation of hydrogen infrastructure as well as a paper regarding market systems for heat and the role of network companies.

See also

10-09-2021 Market scan regarding power storage (in Dutch)