Berlin seeks to curb grid charges with billions. Czechia faces the same dilemma

The German government wants to continue providing state support for electricity transmission costs in 2027 to 2029. It is to provide transmission system operators with €5.525 billion annually so that some of the rapidly rising infrastructure costs do not have to be covered through grid charges. The Czech electricity system also generates substantial revenues, but it too faces investment pressure to modernise and expand.  

The German federal government approved a proposal in early September under which the four transmission system operators are to receive a contribution of €5.525 billion in each of the years 2027 to 2029. The funds are to come from the Climate and Transformation Fund (KTF), and operators must take them into account when setting grid tariffs. The proposal will now proceed to the Bundestag and Bundesrat.

The measure follows a €6.5 billion contribution for 2026. The German government says this amount made it possible to reduce by around half the transmission system costs that would otherwise have been paid by customers. If the new proposal is approved, the state will provide a total of around €23.1 billion for this purpose between 2026 and 2029.