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Grid charges account for around a quarter of your electricity price and vary depending on the federal state. Think of gridcharges as a fee you have to pay to the grid operator for using the electricity grid. If you live in a private household, your electricity supplier usually covers these fees for you and includes them in your electricity price.
Good to know: Prokon values giving you the grid charges transparently and without any markup. In addition to the costs of procuring electricity, grid charges are an important factor affecting your electricity price, as they have been steadily increasing in recent years.
Have you noticed that the costs on your electricity and gas bill have been rising in recent years? One reason for this is the sharp increase in network charges: in 2013, the network charge for electricity was still an average of 6.52 cents per kilowatt hour. Fast forward to 2023, and we are already talking about 8.75 cents per kilowatt hour - a significant jump. An increase of around 11 percent has already been announced for 2024.
There have been some changes in network charges in recent years. Generally, we are seeing an upward trend, which has various reasons: On the one hand, the demand for a more powerful network is growing due to the increasing feed-in of renewable energy. On the other hand, the expansion and modernisation of the infrastructure to meet the requirements of a sustainable energy supply require continuous investment.
The next time you look at your energy bill, you can see that a portion of your expenses is going towards the expansion and modernisation of the German energy supply network - an investment that ensures the future viability and stability of energy supply in Germany.
The amount of grid fees for electricity varies significantly from region to region in Germany, leading to different electricity prices for consumers. These regional differences are due to the approximately 1,000 grid operators in the country setting individual charges based on local conditions and cost structures. Especially in areas with extensive grid infrastructure or a high proportion of renewable energy production, grid fees can be higher. This is because in such regions, extensive investments in grid expansion and maintenance are necessary to ensure security of supply and to efficiently transport green energy to consumers.
At Prokon, we strive to address these regional differences by providing transparency on the composition of your costs and ensuring that they are calculated according to the specific conditions of your region.
The network charges in Germany are subject to strict government regulation to ensure fair and transparent pricing. This regulation is overseen by the Federal Network Agency, which ensures that the network charges reflect the actual costs of operating, maintaining, and expanding the electricity grid, without unjustified profit margins for the network operators. The aim of government supervision is to secure fair access to the electricity grid for all market participants and to keep energy prices for consumers at a reasonable level, while also promoting investments in energy infrastructure and ensuring that energy suppliers do not only sell a green-labelled electricity product.
As a Prokon electricity customer, you can trust that the prices you pay accurately reflect the actual costs, without being artificially inflated. Additionally, this regulation ensures that everyone - from small households to large businesses - has fair access to the electricity grid. This helps to keep energy prices at a reasonable level that is affordable for all, while also investing in a better and more sustainable energy supply.
The energy transition in Germany is an ambitious project that not only radically changes how we produce and consume energy, but also has direct impacts on network charges. With the increased expansion of renewable energy sources such as wind and solar energy, network operators are faced with the challenge of adapting and expanding the grid infrastructure accordingly. This is necessary to reliably transport fluctuating electricity from renewable sources to consumers and ensure security of supply.
Prokon supports this necessary expansion with you: a portion of your electricity costs goes towards the expansion and modernization of the grid infrastructure to achieve the goals of the energy transition. While this can lead to a short-term increase in network charges, it contributes in the long term to a more sustainable and environmentally friendly energy supply.
In addition, at Prokon, we are working intensively on the development and integration of storage solutions for renewable energy, such as battery storage. This emerging business field of Prokon eG aims to increase the performance of the grids and ensure their stability. By investing together in these technologies, we are not only transitioning to a climate-friendly future but also ensuring that the energy transition in Germany is successfully and sustainably implemented.
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