New rules for payment of EEG (Renewable Energy Act) charges by self-sufficient providers

Since the EEG 2014 came into effect on 1 August 2014, those who generate energy for their own use must pay the EEG charge for each generated and used kilowatt hour. Existing plants are excluded, in addition, there is relief for some new generators.

Full EEG charge for self-sufficiency

The EEG charge promotes the expansion of renewable energies in Germany. So far, only consumers taking power from suppliers had to pay this charge. Those generating their own power and using it in their own equipment were exempt from payment of the EEG charge. The EEG 2014 changed this provision fundamentally and now in principle requires that in future generators of their own power will have to pay the EEG charge. At present, the full EEG charge is 6.240 cent/kWh.

Exemption of existing plants

Energy generating plants already existing on 1 August 2014 and certain self-sufficiency generating plants coming into operation in 2014 are widely exempted. If a generating plant for self-sufficiency is, however, considerably technically changed, for example by partial renewal or expansion of performance or transferred to another legal person, the protection is lost. In that case, the full EEG charge must be paid for self-generated power. 

Exceptions for new plants

Some exceptions are also provided for new self-generation plants. This applies for example for small plants with a maximum of 10 kW (e.g. roof solar panels) and for consumption by the power station itself.

In addition, self-sufficient generators pay for their own power generated on the basis of renewable energy or in a highly efficient KWK process not the full EEG charge but initially only 30%, from 2017 increased to 40%.

In order to benefit from the said exemption, the self-generator must regularly report to the grid operator responsible for him on the quantity of power generated and consumed. The only exception from this notification obligation is for operators of small plants. On the basis of the notification, the grid operator then calculates the EEG charge for these self-generators. If the notification is not made, the full EEG charge must be paid instead of the reduced EEG charge.

Conclusion

For investments in existing self-generation plants as well as in company-internal restructurings, the new provisions in EEG 2014 must be absolutely observed in order that no disadvantages arise. For new plants, the obligation notification to the grid operator applies immediately also and non-compliance will be penalised.