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Closed Distribution Networks
The new Energy Industry Act (July 2005) includes new provisions for the handling of closed distribution networks. Instead of achieving clarity, however, the energy industry faces numerous problems when it comes to interpreting and implementing these provisions. Initial court decisions in relation to closed distribution networks unsettle the affected parties, whether they are general supply grid operators, industrial grids operators or the affected final consumers.

The regulations a grid operator must comply with strongly depend on the kind of grid operated; closed distribution network, grid of general supply or simply a customer’s facility. We support companies when applying for approval of a closed distribution network and when filing complaints in case of rejections of regulatory authorities. Furthermore, we advise general supply grid operators who have to deal with already existing or newly established closed distribution networks or intend to operate such grids themselves.

We adopt an integrated approach with the goal of obtaining harmonisation between the individual statutes (Energy Industry Act, Renewable Energy Act, CHP Act, and Ordinance on Concession Fees, Electricity Tax, Grid Charges Ordinance, and Grid Access Ordinance) for each case in order to make use of all possibilities. This applies to the EEG and CHP allocation when supplying final consumers in closed distribution networks or the connection of closed distribution networks to a higher grid level. This also includes the balance sheet entry of quantities from a RE facility connected to a closed distribution network into an upstream general supply grid. Based on our experience at providing legal advice at political level, the co-operation with professional associations and numerous publications and lectures in this area, we are in close contact with important political decision-makers, ministries and regulatory authorities. Our clients include municipal energy utilities, industrial companies, operators of industrial parks, airports and shopping centres, companies of the housing industry and contracting companies.

Contact partners in this area are Dr. Martin Riedel (Berlin) and Ulf Jacobshagen (Berlin).