ACM investigates additional reward for batteries that offload power grid
The Consumer & Market Authority (ACM) has launched an investigation into the possibility of financially rewarding batteries that use the electricity grid more efficiently. The aim is to relieve the increasingly congested power grid while accelerating the energy transition.
Smart deployment must pay off
According to the ACM, parties who actively contribute with batteries to avoid grid reinforcement deserve an appropriate financial incentive. The regulator is therefore looking at whether the market can be adjusted to better reward this "flexibility.
Manon Leijten, board member of the ACM, explains, "Several parties have indicated recently that the positive contribution of battery systems and electrolysers is greater than previously thought. That is why the ACM is going to investigate this. If it turns out that these types of companies are indeed reducing costs, then we will look at how we can reward the companies extra for this.'
Targeted incentives
However, the ACM wants to avoid making rewards generic to all battery applications. The point is to ensure that the incentive only reaches applications that actually contribute to reducing grid pressure.
The ACM's investigation is part of a broader policy line looking at how market forces and regulation in the energy sector can better meet the challenges of energy transition. By improving market signals, the regulator aims to accelerate investments in batteries and other forms of flexibility - without leading to overcompensation or inefficient subsidies.
Energy Storage NL: research is a positive sign
Energy Storage NL is pleased that the ACM will investigate an additional reward for batteries. In Kalavasta's investigation into the 'The costs and benifits of batteries in the energy system' Energy Storage NL has had it calculated that the social added value of battery storage is large, about €350 million per year. This leads not only to possible cost reductions on energy bills for companies and households but also to savings in grid management costs. It is for this reason that Energy Storage NL has entered into discussions with the ACM to jointly examine whether the benefits of storage sufficiently reflect the costs incurred by battery developers. The industry association sees the fact that the ACM is now instituting this investigation as a positive sign.
The ACM expects to publish the results of its investigation in the fall of 2025. Based on these results, the regulator will determine whether and how companies that contribute to more efficient use of the electricity grid can be additionally rewarded.
