The German Federal Network Agency BNetzA should re-examine planned future rate of return on capital rates for the country’s grids, according to EnBW.
BNetzA plans to define the future rate of return on capital for electricity and gas grids in the next few days, but EnBW calculations suggest that the value of 4.59% suggested by the agency for new plants must be at least 1.6% higher.
EnBW management board member Dirk Gusewell said: “The Energiewende can only work with modern and efficient grids.
“The achievable returns for companies and the capital market must therefore be able to compete with other investment opportunities. including those available internationally.
“It is only at first glance that a lower level of return will deliver savings for consumers.
“It will prove expensive in the medium to long term and make the restructuring of the energy system, sector coupling and ultimately the achievement of our climate goals impossible.”
EnBW Group – which includes various transmission and distribution grid operators – intends to invest tens of billions of euros in the German grid infrastructure, the company said.
Gusewell said that in principle the process being followed by BNetzA will still allow the necessary scope for some adjustment before the rate of return is finally set in stone.
A starting point would be to correctly calculate the so-called the market price premium based on economic conditions, he said.
It has been undervalued in previous calculations and has meant that the rate of return on equity is far too low, he added.
“In our opinion, this is the right starting point for securing the future of the grids,” said Gusewell.