Giga Storage and Tennet Pioneer Time-Based Grid Connection Agreement in the Netherlands
In a significant development for the Dutch energy sector, Giga Storage and grid operator Tennet have signed the first time-based connection and transmission agreement in the Netherlands. This innovative contract aims to enhance grid efficiency and address existing congestion issues, marking a notable step forward in the National Grid Congestion Action Programme.
Under this groundbreaking agreement, Giga Storage will be able to connect its 300 megawatt/1,200 megawatt-hour battery storage project, known as ‘GIGA Leopard,’ located in Delfzijl, to the electricity grid. The contract grants Giga Storage the right to take power from the grid or feed it back in at least 85 percent of the time. This arrangement helps alleviate grid bottlenecks by managing when the battery is charged or discharged, thereby supporting Tennet in optimizing grid operations.
The agreement will take effect on October 1, 2025, and is part of a broader initiative to improve grid utilization and reduce congestion. Currently, grid bottlenecks in the Netherlands pose significant challenges, making full and fixed transmission rights difficult to obtain. In response, Tennet has introduced a new contract type with lower grid tariffs for battery storage and other flexible capacities, offering potential discounts of up to 65 percent.
The Dutch Authority for Consumers and Markets (ACM) recently approved time-based and time-block contracts, which provide alternatives to fixed transmission rights for large consumers who do not operate 24/7. These contracts are designed to reduce network usage tariffs while ensuring more flexible and efficient grid management.
Sophie Hermans, Deputy Prime Minister and Minister for Climate Policy and Green Growth, emphasized the importance of both expanding the electricity grid and using it more efficiently. “Thanks to this new agreement and good cooperation, it will be possible to make optimal use of the space outside of ‘rush hour’ and to use electricity from renewable sources when there is less sun and wind available,” she noted.
This contract represents a pivotal moment for grid management in the Netherlands, paving the way for more innovative and sustainable energy solutions.
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