SmartgridOne: EEG 2023 and EnWG §14a Overview

There are two important laws that SmartgridOne takes into account for Germany. One is the EEG subsidy and its 2023 revision. The other is the Energy Industry Act (EnWG) with Section 14a.

 

EEG 2023 - § 51 – Market Premiums and Negative Prices

When the wholesale price (EPEX spot price) remains negative for an extended duration, the market premium (subsidy) is suspended.

iMSys (intelligentes Messsystem)
  • 2023 Rule (4-Hour Threshold): If the EPEX spot price is negative for four consecutive hours, the Marktprämie (market premium) is suspended for the entire period. Producers only receive the market price, which can be negative, creating a real incentive to curtail production or redirect energy toward self-consumption.
  • Transition to Stricter Rules:
    • 2023: threshold = 4 consecutive negative hours
    • 2024: threshold = 3 hours
    • 2026: threshold = 2 hours
    • 2027: threshold = 1 hour

This progressive tightening means the premium protection will vanish faster, forcing producers to react to shorter negative price signals.

Example 1: Normal situation (<4h negative prices)

Government-guaranteed revenues are fixed at €60/MWh, thanks to the anzulegender Wert.

  • Market price = –10 €/MWh
  • Reference value (anzulegender Wert) = 60 €/MWh
  • Market premium = 70 €/MWh
  • Total revenues = –10 + 70 = €60/MWh (still protected).

Example 2: ≥4 consecutive negative hours

The market premium is cancelled.

  • Market price = –10 €/MWh
  • Market premium = 0
  • Total revenues = –10 €/MWh (loss).

This makes curtailment or self-consumption strategies financially attractive during extended negative price windows.

EEG 2023 - § 9 – Solar Peak Law

All PV systems above 7 kWp must be smart-grid ready.

·         Requirements based on Capacity (kWp):

  • Systems between 2 kWp and 7 kWp: The power has to be reduced to 60% of peak capacity. The installation of an iMSys (= digital meter + smart meter gateway) is optional.
  • Systems above 7 kWp: An iMSys is mandatory at some point in time. The system's feed-in must be capped at 60% of peak capacity until the iMSys is installed and tested. Once the iMSys is in place, this static cap is lifted, and grid operators can dynamically curtail instead.

·         Correspondence with Negative Prices: The explanation of this law should include the correspondence with negative EPEX spot market prices. The rule in §51 (see above) is the corresponding feed-in tariff/market premium measure that financially compels producers to reduce injection or switch to self-consumption during negative prices (a technical capability enabled by §9).


EnWG - § 14a – Consumption Flexibility

On the demand side, Section 14a of the Energy Industry Act (EnWG) focuses on large flexible loads such as EV chargers, heat pumps, and home batteries.

  • Applies when devices draw more than 4.2 kW.
  • Devices must be throttle-ready, meaning grid operators can temporarily reduce their consumption during periods of grid stress. Importantly, this does not mean full shutdowns—only controlled slowdowns.

·  Incentives: Customers benefit from lower grid fees. Another benefit option related to § 14a is time-dependent/dynamic grid fees. Customers also receive more reliable grid connection approvals.

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