Proposed feed-in network charges in the Netherlands could significantly raise costs and slow down renewable energy growth.
Our recent report, commissioned by Energie Nederland, highlights the potential consequences of proposed feed-in network charges being considered by the regulator, ACM. Although intended to improve cost-reflectivity, these charges will instead drive up costs for end-consumers and negatively impact renewable energy investment and security of supply.
Feed-in charges will affect already commissioned renewable projects in the short term and hinder future renewable expansion, putting the government’s decarbonisation goals at risk. This will result in increased reliance on thermal assets, pushing electricity prices higher. Additionally, the higher costs could lead to early closures of natural gas power plants, further endangering supply security.
In the long run, higher electricity prices will outweigh any potential savings from reduced grid fees for offtakers, leaving consumers with increased bills.
For a comprehensive overview of our findings, you can download the full report now.
