Network charge optimization §19 + §118 + AgNes
Three regulatory levers, a roadmap. For industrial plants with a peak output of 1 MW or more. Next deadline: investment decision for new storage systems before the publication of the AgNes regulation, according to the draft, January 1, 2027.
before the determination is announced
End of the atypicity regulation
20 years of net tariff exemption
BNetzA GBK-25-01-1#3
Analyzing the last phase: regulatory lever roadmap in 30 minutes →
Grid fees are not a side issue for energy-intensive industry. They are the main cost item and the only one that can be regulated.
The Cost Trap: Peak Load Component of Network Charges
For industrial plants with a peak output of 1 MW or more, the share of network charges in electricity OPEX typically ranges between 30 and 40 percent. The driving force is the power component (HLZ, maximum load time window), which scales linearly with the annual peak load. A peak load of 1,000 kW for 15 minutes is sufficient to set the power price for an entire billing year.
Three structural factors will worsen the situation by 2030:
- Network expansion delay: Transmission grid investments are passed on to all consumers. Industrial sites bear the lion's share of the cost through the price of electricity.
- Volatility due to EE construction: fluctuating generation increases the need for flexibility. Those who cannot shift the load pay the price of volatility in the form of a network charge surcharge.
- Outdated optimization levers: Section 19, paragraph 2, sentence 1 of StromNEV (Atypical Network Use) expires on December 31, 2028. The successor scheme AgNes will start on January 1, 2029, with different mechanics and optionality.
Industrial companies without active load shifting optimization will lose between €50,000 and €200,000/MW/year in grid utilization fee differences by 2030 compared to optimized competitors.
Three Regulatory Levers at a Glance
For industrial companies with a peak load of 1 MW or more, there are three active levers for grid access charge optimization. They have different effects, different deadlines, and can be combined in different ways.
| Hebel | Mechanism | Scope | First | Advantage character |
|---|---|---|---|---|
| §19 Paragraph 2 Sentence 1 of the StromNEV Atypical grid usage | Load shift from peak load time windows. Reduces power component. | Medium/high voltage, suitable load profile | Application deadline 30.09.2028, Outlet 31.12.2028 | Network fee reduction (ongoing, annually to be verified again) |
| §118 para. 6 EnWG Storage network fee exemption | Full exemption from network charges for electricity stored in the grid, for 20 years starting from IBN. | Newly constructed battery energy storage systems (BESS), same connection point | Investment decision before the publication of the AgNes determination (draft: 1 January 2027), proof by 31 March 2027, commissioning no later than 4 August 2029 | Network tariff advantage (20 years, planable) |
| AgNes General Network Charges System Electricity | Grid-controlled or price-controlled marketing of flexibility. Active management instead of static tariffs. | Industrial companies with BESS or a controllable load portfolio | Valid from 01.01.2029 (BNetzA GBK-25-01-1#3); Draft regulation dated 06.08.2026, announcement according to the draft 01.01.2027 | Network fee leverage + differentiation from the competition |
The three levers are combinable: §19 can be used until the end of the plan, in parallel with the §118-IBN plan. As of January 1, 2029, AgNes will take over the ongoing optimization, while §118 will hold the 20-year anchor.
Lever 1: Atypical network usage according to §19, paragraph 2, sentence 1 of StromNEV
The atypicality regulation allows industrial companies with a load profile that runs counter to the peak grid load to benefit from a reduced basis for calculating grid fees. Prerequisite: Proof that consumption during the grid operator's peak load time windows (HLZ) is significantly below the annual average.
Mechanism
Instead of the standard calculation based on the individual annual peak load, a reduced calculation is applied when atypical network usage is detected; typically, this calculation is based on the load during the HZL windows. The reduction in network charges is between 20 and 80 percent compared to the standard calculation, depending on the network operator, load pattern, and voltage level.
Prerequisites
- Voltage level Medium or high voltage. Low-voltage connections fall under different regulations.
- Backlash characteristic: The reference value during the HZ must be significantly below the annual average, as demonstrated by the half-hourly load data for the last 12 months.
- Application: With the network operator, renewed annually. Application deadline: September 30, 2028 for the last application in the billing year 2028.
First and last
Expiration on December 31, 2028. The atypicality regulation in its current form ends at the turn of the year 2028/2029. From January 1, 2029, AgNes will take over as the successor mechanism, with a different mechanism (see Lever 3).
For the depth regarding §19 atypicality, including an isolated practical example with savings of €480,000 over four billing years: Atypical network usage: Deep side.
Leverage 2: Net cost exemption for storage according to §118(6) EnWG
Mechanism
Newly constructed battery storage systems (BESS) that qualify under §118, paragraph 6 of the EnWG receive a full net electricity fee exemption for 20 years from commissioning. The exemption applies to electricity consumed at the grid connection point and fed back into the grid, that is, to the amounts of energy carried by the storage system.
Important: §118 is a net tariff benefit, not a revenue component or a funding amount. The exemption reduces the OPEX of the storage, which has a proportional effect on LCOS and IRR. In multi-use configurations (BTM self-consumption + FTM marketing), §118 is the basis for the storage to be economically viable at all.
Co-location on the same foundation
In the case of combined PV+BESS systems, the PV inverters and the BESS containers must be dimensioned on the same foundation in order for the storage system to be qualified as part of the generation facility from an grid tariff perspective. This structural and technical arrangement is a mandatory component of the §118 application.
Two milestones and planning preparations
According to the AgNes planning draft of August 6, 2026, the 20-year exemption is subject to two conditions. First, the final investment decision must be made before the planning is announced, as stipulated in the draft on January 1, 2027. As such, binding orders for components exceeding at least 50% % of the investment volume, from which the operator cannot be separated without significant financial damage, are considered to be valid. Proof of this must be submitted to the network operator by March 31, 2027. Second, the commissioning must take place no later than August 4, 2029. The effective date of commissioning is decisive; if the planning is announced earlier, the first deadline is pushed forward.
- System installations (with BESS expansion): Planning lead time 6 to 12 months. With the investment decision being made before the announcement, commissioning is expected to be completed before August 2029.
- Greenfield Development on average, 40 months from the investment decision to commissioning, due to network connection approval, substation connection and substation connection. With an investment decision in late 2026, commissioning will therefore be after August 4, 2029; exemption is usually no longer available for such projects.
Monthly loss upon default
With delays beyond the deadlines, a loss of 16,000 to 25,000 €/MW in net grid tariff benefits is incurred per month. Over 20 years, this adds up to a scale that dominates any discounting effect in the investment case.
For in-depth investment case modeling including IRR / NPV / LCOS per storage technology (LFP, ZnBr, Sodium-ion battery): Costs & ROI: The bottom line. For a specific site model with IRR / NPV / LCOS comparison: Submit last run
Leverage 3: AgNes from January 1, 2029. From a static tariff to dynamic marketing
Entry into Force and Regulatory Status
AgNes (General Network Charges System for Electricity) will apply from January 1, 2029. The basis is the GBK-25-01-1#3 regulation procedure of the Federal Network Agency. The full regulatory draft was submitted by the authority for consultation on August 6, 2026; according to the draft, the announcement is scheduled for January 1, 2027.
AgNes replaces the static atypical regulation (§19, paragraph 2, sentence 1, StromNEV) and replaces it with an incentive-based system: network charges become the control variable for load flexibility. Those who shift load benefit; those who place peak loads during critical time windows pay more.
Network-led vs. price-led
AgNes has two management modes:
- Network-led: The load follows network signals from the regional network operator. Deployment preferably in regions with tight network expansion. Compensation via reduced network tariff components and flexibility surcharges.
- Price range: The load follows the day-ahead and intraday price signals in the electricity market. Higher marketing potential, but also higher modeling requirements. A BESS or a controllable load portfolio is a prerequisite.
Compatibility with BESS and mFRR
BESSs are the natural AgNES infrastructure: their response time (≤ 1 second) meets all requirements, their capacity is scalable, and the §118 exemption can be applied concurrently. mFRR (Minutes Reserve) remains relevant as a supplementary channel, not as the main channel, because the remuneration per megawatt hour drawn is below the AgNES-priced marketing revenues.
For depth into reserve energy markets and FCR/aFRR revenue components: Regulator energy: Deep side. For location-specific AgNes marketing modeling: Schedule an appointment
Practical example: Industrial location Saxony, three regulatory constellations
- Bess: 1 MW / 2 MWh (LFP Container, Co-Location on the same foundation as PV)
- PV Inventory 1.895 kWp
- Annual consumption 6,795 MWh
- Peak Load: 1.284 kW
- Network Fee Bill (before optimization): ~€310,000/year
The following table shows three regulatory configurations at the same location: status quo (StromNEV 2026, without AgNes), AgNes grid-connected (BESS follows grid signal), AgNes price-driven (BESS follows market price signal). The economic metrics are modeled from real half-hourly load data; the assumptions are based on the KPMG benchmarks (Investment Case for Stationary Battery Storage, February 2026).
| Constellation | Total cashflow | CUBE 75 % | Customer 25 % | Payback | IRR | NPV |
|---|---|---|---|---|---|---|
| Status quo (StromNEV 2026) | €97,200/year | €72,900 | 24,300 euros | 5.3 J. | 17.2 % | 328,000 |
| Agnes Netzgeführt | €226,500/year | €169.875 | €56.625 | 2.2 J. | 58.6 % | €1.66 million |
| AgNes guided | 320,100 €/year | €240075 | €80,025.00 | 1.5 J. | 94.0 % | 2.70 million € |
Reading aid: In the Contracting BESS model, CUBE and the customer share the net market revenue 75 % / 25 %. The customer does not invest (0 € CapEx); CUBE finances, builds, operates, and markets, and receives the 75 % share for this. In the BESS purchase model, the customer retains 100 % of the proceeds, bearing the full investment (scale: ~250 €/kWh to 2 MWh; from 5 MWh 175–200 €/kWh).
Source: CUBE CONCEPTS Modeling based on real half-hourly load data · Assumptions based on the KPMG benchmarks (Investment Case for stationary battery storage, February 2026). Anonymized industrial site Saxony.
Who benefits? Qualification and process
ICP Profile
- Peak at 1 MW: below this threshold, the leverage effect of the performance component is too small to justify the §118-IBN investment over 20 years.
- Voltage level Medium or High Voltage: Low-voltage connections fall under other regulatory regimes that are not discussed here.
- Last run with optimization potential: counter-directional profile for the maximum load on the network (for §19) or controllable load portfolios (for AgNes)
- Investment horizon 5–20 years: the §118 exemption amortizes over the 20-year period, with IRR-relevant effects starting from year 5
Four-stage process
CUBE CONCEPTS works through each location in four stages, from load path analysis to schedule planning. Over the course of all four stages, over 250 operational variants are fed into the modeling, based on the site’s real half-hourly load data.
Half-hourly load data for the last 12 months. HLZ identification. Volatility profile. Identification of the relevant leverage: §19, §118, AgNes, individually and in combination.
mind. 3 comparative offers, LCOS-rated. No vendor lock-ins, no opaque margin structures. LCOS per storage technology as the central benchmark.
Selection from over 250 modeled operating variants: Status quo, AgNes net-run, AgNes priced, Multi-Use with BTM self-consumption, FTM pure marketing. Decision based on IRR, NPV, risk profile.
Backward planning for both dates: binding order before the AgNes decision is announced; commissioning by August 4, 2029. Network connection contract, substation, permits, construction, commissioning. Buffer time to address supply chain risks.
Application scope check: Which levers of influence do industry need to use?
Not every energy law paragraph circulating in public debate is relevant to industrial companies with a peak load of 1 MW or more. The following overview separates applicable leverage points for medium/high voltage from regulations that have a different target audience.
- §11c EnWG: Construction and operation of storage facilities by market participants independent of network operators. Industrial lever for BESS construction.
- Section 35 of the Building Code: Outdoor privilege since January 1, 2026. No. 11 (co-location from 1 MWh + EE installation) OR No. 12 (standalone from 4 MW + 200 m substation).
- Section 118, paragraph 6 of the EnWG: 20-year net tariff exemption for newly constructed storage facilities with an investment decision before the announcement of the AgNes determination and IBN until August 4, 2029.
- §19, paragraph 2, sentence 1, StromNEV: Atypical network usage. Application deadline: September 30, 2028; expiration: December 31, 2028.
- §42c EnWG: Refers to tenant electricity supply arrangements. Not relevant for industrial PV/BESS self-use at the industrial site.
- §14a EnWG: Low-voltage end-customer regulation for controllable consumers (heat pumps, wallboxes, private storage). Does not apply to medium/high voltage industrial equipment. Anyone offering this regulation in the application to industrial load flows must critically review the offer.
This assignment is regulatorily delimited and not final legal advice. In specific individual cases, the scope of application must be clarified with a lawyer and tax advisor.
CUBE models: implementation of the three levers
CUBE CONCEPTS offers two models for implementing the network charge levers presented here. Both use §118 as the basic anchor, both address §19 atypicality (until expiration) and AgNes (from entry into force). They differ in investment logic and revenue distribution.
- 0 € CapEx Customer: CUBE fully funded
- Revenue split: CUBE 75 % / customer 25 % of the net market revenue after OPEX
- CUBE bears CapEx risk, operates, markets
- The customer retains 100% of the BTM for personal use (undivided)
- Full investment by the customer: Scale ~250 €/kWh to 2 MWh, from 5 MWh 175–200 €/kWh
- 100 % Revenue from customers
- Customer operates themselves or engages CUBE as the operator
- Turnkey delivery with warranty
The decision between Contracting and purchasing depends on the investment horizon, the balance sheet strategy, and the risk appetite. CUBE CONCEPTS evaluates both models for each location.
Status & notes
As of October 22, 2026 · No guarantee for regulatory developments · No legal, tax, or energy economics advisory · The commissioning deadline under §118 (August 4, 2029), the condition of the investment decision before the announcement of the AgNes determination (draft of August 6, 2026, announcement according to draft of January 1, 2027, proof by March 31, 2027), the §19 application deadline of September 30, 2028, and the start of the new system on January 1, 2029 are current legal and BNetzA positions that must be clarified in individual cases with a lawyer, tax advisor, or energy market advisor. The cash flows, IRR, and NPV mentioned in example A are model calculations based on real half-hourly load data from an anonymized industrial site; actual values depend on load flow, network operator, voltage level, and market development.
Sources
- KPMG, Investment Case for Stationary Battery Storage (February 2026): kpmg.com/de, Investment Case
- BNetzA, AgNes regulatory draft of August 6, 2026 (GBK-25-01-1#3): bundesnetzagentur.de/1059162
- BMWK, §118 EnWG: bmw.de
- BMWE, Industrial electricity price (announcement April 16, 2026): bmw.de
- §118 EnWG Full Text: gesetze-im-internet.de, §118 EnWG
- §19 StromNEV Full Text: gesetze-im-internet.de, §19 StromNEV
Realized Projects with Industrial Companies
Frequently Asked Questions
Paragraph 1 regulates atypical network usage for industrial enterprises with a load profile opposite to the network maximum load. Paragraph 2 regulates the individual network tariff agreement for particularly large electricity consumers with full usage hours exceeding 7,000 h/year and consumption exceeding 10 GWh. Both paragraphs will remain in their current form until December 31, 2028.
According to draft AgNes regulation two: the final investment decision before the determination is announced, according to the draft on January 1, 2027, with proof by March 31, 2027, and the commissioning no later than August 4, 2029. For existing facilities, we estimate 6 to 12 months of planning lead time, for new constructions on average 40 months from the investment decision to commissioning.
The atypicality regulation in its current form is expiring. Starting January 1, 2029, AgNes will take over as a successor mechanism with different mechanics (incentive-compatible grid charge system instead of static atypicality reduction). Anyone wishing to use §19 in 2028 must submit their application by September 30, 2028.
The following are applicable: Section 11c of the Energy Industry Act (EnWG) (BESS construction), Section 35 of the German Federal Building Code (BauGB) (outdoor privilege), Section 118 Paragraph 6 of the EnWG (storage exemption), and Section 19 Paragraph 2 Sentence 1 of the StromNEV (atypicality until expiration). Tenant electricity regulations (Section 42c) and low-voltage end-customer regulations for controllable loads are not applicable to industrial operations in the medium/high voltage range. Details in the scope of application check above.
In the grid-managed mode, the load follows the control signals of the regional network operator. Compensation through reduced network charges and flexibility bonuses. In the price-managed mode, the load follows the day-ahead and intraday price signals on the electricity market. Higher marketing potential, but higher modeling requirements. In the above practical example, the cash flow in the price-managed mode is around 40 percent higher than in the grid-managed mode.
For §19-Atypik, a counter-balancing profile to the maximum network load is required, verifiable through the half-hourly load data for the last 12 months. For §118, a BESS configuration is sufficient without any additional load flow requirements. For AgNes, a controllable load portfolio (BESS or switchable industrial processes) is required.
As a rule, this will no longer be the case: 40 months from a decision to invest at the end of 2026 will lead to commissioning after August 4, 2029. For existing systems with a lead time of 6 to 12 months, the deadline can be met provided that the investment decision is made before the AgNes decision is announced.
Industrial electricity price and network tariff optimization are two separate regulatory clusters. The ISP influences the electricity price component (energy component), while network tariff optimization influences the network usage component (capacity and labor share). Both clusters are combinable and share common ICP requirements (≥1 MW peak, medium/high voltage). Depth to the ISP: Knowledge: Industrial electricity price.
Further reading
For the exemption under §118, the investment decision counts before the announcement of the AgNes determination, according to the draft on January 1, 2027.
Last step analysis in 30 minutes. Modeling over 250 operational variations. Decision paper with IRR / NPV / LCOS per configuration.
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