The Netherlands’ electricity grid is full. Applications for grid connections are being declined in more and more places. This is unpleasant for companies that want to electrify, because waiting for grid extensions can take years. The high energy prices of recent years have increased the costs for grid operators. This is factored into transportation costs. In addition, there is a lot of investment in grid expansions, which is also reflected in higher transportation costs.
Although there seems to be a scarcity, grid connections are generally used only moderately. This is because grid connections are tuned to the maximum peak power demanded by a business. This peak power is often only needed very briefly; switching machines on takes a lot of power, but once they are running they consume much less power. This means that many grid connections are only fully utilized for a very small part of the year. The rest of the year, perhaps only half of the maximum power is used.
The question than arises is how a company can make better use of the grid connection. There are a number of possibilities:
Smarter energy use
Limit energy consumption wherever possible to avoid wasting energy. This can be done, for example, by applying insulation or by smart use of residual heat. And try to plan peaks at times when little energy is consumed. That way there is more space on the grid connection at those peak times.
Energy generation and storage
Adding self-generation increases the maximum power you can consume. Combined with smart energy management, it is possible to make the consumption peaks coincide with your own generation. This allows you to effectively consume more energy. Should no energy generation be achievable, a battery is worth considering. By supplying the peak load with your own battery, you don’t have to stress the energy grid with a power peak. Combined with smart energy management, the battery can trade in the remaining hours with energy on the grid.
Non-firm connection and transmission agreements
With flexible connection contracts, a company pays only for the times when power is needed. This has some challenges at the moment because it cannot be implemented on a large scale with the current energy law. Possibly this could be a solution in the near future.
With these three options, a company can potentially use more electricity without the need for a larger grid connection. This has the added advantage of relatively lower transmission costs. Should you want to know what the best solution is for your situation, let one of our consultants advise you.
Source photo: Unsplash
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