Grid extension pays off

14.03.2017

Boris Schucht, CEO of TSC member 50Hertz, one of the four German transmission system operators (TSOs), was in the fortunate position to present remarkable figures during the press briefing on the company’s 2016 annual results. 50Hertz could maintain a share of renewable energies in the overall electricity consumption in its control area in the north and northeast of Germany of nearly 50 percent. The electricity export rate was notably high – with 40.4 terawatt hours of physical net exports, the 50Hertz control area is the significant electricity exporter in Germany and Europe.

Due to grid extension measures, the costs for congestion management could be reduced significantly in comparison to 2015. The company invested €737m in grid extension and grid upgrading, while the 2016 business result is solid and amounts to €128m.

The reduction of congestion management costs clearly illustrates the indispensability of the transmission grid extension in order to succeed with the energy transition and to make it economically as efficient as possible. Boris Schucht cites an important infrastructure project in this matter: The extra-high voltage line “Südwest-Kuppelleitung” from the German federal state of Saxony-Anhalt to Bavaria. Since its partial commissioning in late 2015, it “has contributed significantly to the cost reduction of about €180m compared to the previous year,” said Schucht. “One thing comes very clear: Grid extension makes an impact!”

> See 50Hertz press release, in German (html)

Picture showing Boris Schucht, CEO of 50Hertz, and Marco Nix, CFO of 50Hertz (Jan Pauls / 50Hertz)

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Grid extension pays off