No surcharge for German on-site power

In an about-face, Germany’s ‘superminister’ for energy and the economy, Sigmar Gabriel, has announced that on-site power plants serving the nation’s industrial sector will not be subject to a renewable energy surcharge under a reformed EEG (Renewable Energy Act).

Industrial firms generating their own power have so far been exempted from the EEG surcharge, which pays for Germany’s move away from nuclear power. But in January the government approved proposed reforms that would have seen firms paying up to 90% of the €6.24 cents/kWh charge, while companies generating their own power through on-site renewables or cogeneration would pay 70%.
Sigmar Gabriel
According to estimates, the charges would have cost German industry around €500 million per year.  Several high-profile companies have said their power plants would no longer be viable and their international competitiveness would be impaired if forced to pay the charges.

However, Gabriel now says the latest draft EEG bill will take into account a proposal from three states to exempt existing on-site power plants, as well as modernisation and upgrades of existing plants, from the charges. New plants will pay a reduced surcharge.
A draft version of the EEG reform law is due on 8 April.

German on-site power produces 50 TWh/year, or 25% of the power used in industry.

Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now


Maximizing Operational Excellence

In a recent survey conducted by PennEnergy Research, 70% of surveyed energy industry professional...

Leveraging the Power of Information in the Energy Industry

Information Governance is about more than compliance. It’s about using your information to drive ...

Reduce Engineering Project Complexity

Engineering document management presents unique and complex challenges. A solution based in Enter...

Revolutionizing Asset Management in the Electric Power Industry

With the arrival of the Industrial Internet of Things, data is growing and becoming more accessib...