News item | 05-10-2023 | 2:45 PM
The government is making 416 million euros available for the use of batteries in large solar parks on land and roofs. Grid operator TenneT has also made a proposal to adjust the transport rates for batteries to reduce costs. This makes it easier to use batteries on the Dutch electricity grid and it is expected that many more batteries can be installed. By using batteries in large solar parks on land and roofs, ‘delayed delivery’ becomes possible and the generated sustainable electricity can be better used. At times when more solar energy is generated than consumed, electricity is temporarily stored and supplied to the power grid at times when the sun hardly shines. This means that less use of gas and coal-fired power stations is required during those (evening) hours.
Research
At the request of the cabinet, research agency CE Delft has investigated the usefulness and necessity of subsidies for batteries. The research agency concludes that batteries are the cheapest and most feasible option to further reduce CO2 emissions in 2030 at times when there is less supply of sustainable electricity on the electricity grid. The 416.6 million euros was previously reserved by the cabinet as part of the climate package this spring. It is expected that 160 to 330 megawatts (MW) of battery power can be installed with the help of this subsidy. This leads to an annual CO2 reduction of 0.08 to 0.17 megatons.
Transport rates
Grid operator TenneT has also proposed a new contract form with lower transport rates for batteries and other flexible capacity. The discount can be up to 65%. This makes it easier to connect batteries to the Dutch electricity grid. Battery operators who use this form of contract must, upon request, help the grid operator to limit congestion on the electricity grid (grid congestion). For example, by charging or supplying less at times when a lot of electricity is being transported. The Netherlands Authority for Consumers and Markets (ACM) has the exclusive authority to determine transport rates. Netbeheer Nederland will further develop the proposal. The introduction of a new rate is expected to be ready in the spring of 2024. According to research commissioned by TenneT, the introduction of a new tariff could lead to 2 to 5 gigawatts (GW) of new battery power in 2030.
More information about the role of batteries in the energy system can be found in the letter to Parliament from Minister Jetten.