Energy Storage NL asks House of Representatives to take concrete steps against grid congestion

On November 27, the House debate on ‘Grid congestion and energy infrastructure’ will take place. In preparation for this, Energy Storage NL has sent a letter to the members of the House Committee on Climate and Green Growth. In this letter, we emphasize the crucial role of energy storage in solving grid congestion and strengthening the energy infrastructure.

Energy storage offers immediate solutions to grid congestion

Pressure on the electricity grid is increasing due to the rapid growth of renewable energy sources such as solar and wind power. Expanding the grid often takes ten years or more, while storage projects can be operational within a few years. Energy storage therefore offers an immediate and cost-effective solution to grid congestion. Despite a doubling of storage capacity over the past year, the potential of energy storage remains underutilized and there is no clear vision of how it should be deployed.

Storage as a congestion mitigator: opportunities and considerations

Energy storage can be actively used to reduce grid congestion. Grid operators and the ACM are taking steps with capacity control contracts (CSC), which means that battery systems are no longer connected in a ‘grid congestion-neutral’ manner, but actually contribute to solving bottlenecks. However, the sector still sees a number of bottlenecks:

• Processing of CSC applications: There is a need for a clear timeline for processing applications so that developers are not left in uncertainty.
• Transparent fees: The sector is calling for greater insight into pricing and transparency regarding the rates charged by network operators.
• Storage locations: Understanding desirable locations for energy storage is essential to saving grid costs and preventing congestion.
• Financing: Storage systems are often not yet profitable due to uncertainty about transport tariffs. Energy Storage NL advocates for the recognition of energy storage as a generator and as a separate system service, so that providers can receive reasonable compensation.

A plea for a national storage ambition

Energy Storage NL also calls for the establishment of storage targets for 2030 and 2050, as other European countries have already done. A concrete target provides clarity for developers, grid operators, and municipalities, and gives the national government a basis for effective policy. The storage target must be in line with the degree of integration of solar and wind energy into the energy system. As the share of renewable energy generation increases, the need for short-term storage (batteries) will shift to long-term storage (heat and molecules).

Call to politicians

Energy Storage NL asks the House Committee to put the above points on the agenda during the debate. Only with clear ambition, clear frameworks, and recognition of the role of energy storage can the Netherlands accelerate the energy transition and make the electricity grid future-proof.

Letter Parliamentary debate