Demir argues for a postponement of the capacity tariff: “It is frightening that VREG does not listen to politics” | Inland

Flemish Energy Minister Zuhal Demir (N-VA) wants the Flemish energy regulator VREG to postpone the introduction of the new capacity tariff until 2025. In the Flemish Parliament she said she found it “terrifying” that the independent regulator does not listen to politics.

The capacity tariff that the VREG wants to introduce on 1 January 2023 will calculate the costs for using the electricity grid in a different way. In future, grid tariffs would no longer be fully calculated on the basis of the amount of electricity purchased, but largely on the basis of peak consumption.

But the capacity tariff is politically sensitive, especially now that energy prices have risen sharply. After all, for some customers – especially small users – the annual bill could increase. Demir said in the Energy Committee of the Flemish Parliament that she is concerned about small users. “It can’t be that they have to pay more than someone who drives a Tesla,” she said.

“Not a level playing field”

The capacity tariff was initially to be introduced at the beginning of this year, but the VREG twice postponed the introduction by six months. The regulator did this because grid operator Fluvius was not technically ready for the introduction.

Demir had asked for a longer delay. She wants to wait until 2025 because only then the roll-out of the digital meter would have progressed far enough. After all, these new meters are necessary to accurately measure peak consumption. If not enough people have the smart meter at home, Demir says there will be “no level playing field”.

“Problematic”

Demir took a remarkably strong lash out at the VREG. “I find it problematic that they don’t want to listen to the concerns. We need to see what steps we still need to take over the coming weeks and months,” she said.

She also pointed out that the independent regulator is overseen by parliament, but does not listen to it. “I find that terrifying and totally wrong,” said Demir.

Criticism of Fluvius

In the same intervention, Demir also lashed out at Fluvius, the grid operator controlled by the 300 Flemish cities and municipalities. A number of IT developments there are not going as they should, she said.

“For example, we have approved energy parts by decree, but Fluvius is far from ready to roll it out. I don’t think that’s okay,” said Demir. She refers to her plan to let Flemish people pass on their self-generated energy to family, friends or neighbours. “Before they appropriate other things, they have to get their energy issue in order.” Fluvius is negotiating with telecom company Telenet to jointly roll out a fiber optic network for internet throughout Flanders.

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