ECJ ruling on the energy market: Network agency should set line costs

Who in Germany determines line costs for electricity and gas? The European Court of Justice has stopped the previous political interference. The decision on the costs lies solely with the Federal Network Agency.

The prices for electricity and gas will not change very quickly, but in the long term this is quite possible. So far, the Federal Ministry of Economics has stipulated in laws and ordinances how much money the network operators are allowed to charge – above all, which costs they can claim.

The EU Commission has not liked that for a long time. Because the idea suggests that lively corporate lobbying at the Federal Ministry of Economics could drive prices up. Now the European Court of Justice in Luxembourg, the highest court in the EU, says: There must be no political interference. As an independent control body, the Federal Network Agency should decide how the costs for the transmission of electricity and gas are calculated.

Big change in the energy market

This changes a lot on the German energy market. The more than 1000 companies, often subsidiaries of municipal utilities, which oversee electricity and gas networks, will have to deal directly with the Federal Network Agency in the future if they find that they are getting too little money for their services: it is very likely that in The future will often be disputed in court.