Dutch households and businesses are becoming more sustainable at a record pace and fossil fuels are making way for renewable electricity. This puts the Dutch climate goals within reach for the first time, but the expansion of the electricity grid cannot keep up with the rapidly increasing demand for space on the grid. That is why the government and the grid operators are taking new measures to ensure that in the future there will be sufficient room for housing construction, economic development and that the sustainability of households, mobility and businesses can continue as much as possible.
Households are installing solar panels, heat pumps and electric car charging stations, and businesses are getting off gas. This has gained even more momentum in part due to high energy prices. The grid operators announced today that the demand for space on the electricity grid has grown explosively and the grid is virtually full in almost all of the Netherlands.
As a result, companies that want a new or heavier connection will find themselves on a waiting list, and without intervention, the power grid in Utrecht, Gelderland and Flevoland will be overloaded at peak times starting in 2026. The government and grid operators are therefore taking extra measures to ensure that there is enough room on the grid to accommodate new homes, to enable households to continue to make their homes more sustainable, and to reduce waiting lists for businesses wherever possible. The government will keep a finger on the pulse to ensure that there are prospects for action in all sectors.
Building faster
Grid operators are doing everything they can to expand the electricity grid as quickly as possible. Annual investments will double in the near future from €4 billion to €8 billion annually starting in 2025. But despite the hefty investments, demand for space is growing faster than grid expansions. The government therefore wants to accelerate the expansions. Among other things, by proactively ensuring that land is available for the construction of the electricity grid and by shortening legal procedures and licensing. For example, by designating certain grid expansions as "substantial social interest" to potentially shorten the procedure by 1.5 years.
Better utilization of power grid
The power grid is full only during peak times, when many businesses and households use a lot of electricity at the same time. For example, between 4 and 8 p.m. in the evening. There is still a lot of untapped potential with reducing the peaks with congestion management. This involves grid operators signing contracts with large consumers to temporarily use less electricity at peak times when necessary. This allows more companies to be connected. This approach is now being improved by network operators and regulator ACM and made more attractive for companies to participate in. In addition, a participation obligation is being further developed. This means that large consumers who use a lot of electricity make an offer to the grid operator at what price they will buy a certain amount of electricity less during peak times.
In addition, starting next year, the cabinet and grid operators want to proactively start auctions (flexibility tenders) through which companies such as a battery operator, can offer space on the grid for a longer period of time at strategic locations during peak moments.
Minister Jetten: "Households and businesses are becoming more sustainable at record speed. This is good news, but it also puts enormous pressure on our power grid. Despite the grid managers' substantial investments and previous measures, the power grid is reaching its limits in more and more places. Without intervention, this has serious consequences for our sustainable ambitions and economy. That is why we are now taking new measures that go off the beaten track, to accelerate the expansion of the power grid and create more space."
Encourage flexibility of businesses and households
The government is making €166 million available to stimulate energy hubs. Here, companies coordinate their electricity demand and supply locally, thus reducing the need for space on the grid. It will also become possible next year for companies to share the available space on the grid with each other through group contracts. This will allow a company to use the space on the power grid that another company does not need at that time.
In households, smart, controllable heat pumps and charging stations will become the norm in the future. This will reduce the load on the power grid at peak times and leave sufficient room for making homes more sustainable. To this end, the government is committed to the development of new standards and certification. For public charging stations, flexible charging will become a standard part of contracts with municipalities.
