05.2026 - 12.2027

Pilot Project to Develop and Test Dynamic Grid Tariffs

Demand for low-voltage distribution grids in recent years has grown faster than grids can be expanded. Driven by the increase in heat pumps, electric vehicles (EVs) and home battery systems, distribution grids are facing pressure from both an increased demand from electrified technologies and volatile supply through the uncoordinated feed-in from small-scale photovoltaic (PV) systems.

While traditional static grid tariffs currently do not provide incentives for consumers to shift their electricity demand to periods when grid capacity is greater, dynamic grid tariffs could create such incentives. Whether this holds in practice is what this SET Hub pilot project of the dena investigates [1]. This project is implemented by a consortium led by Neon Neue Energieökonomik, together with the Forschungsstelle für Energiewirtschaft (FfE) and UnternehmerTUM. Its aim is to design dynamic grid tariffs and empirically investigate whether this concept works in practice, as well as evaluate its effects on the economic viability of flex-business models. Its results are intended to directly contribute to the ongoing regulatory debate on dynamic grid tariffs and to the question of its scalability beyond this pilot project.

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Motivation

With the rise in electricity demand driven by electrification and feed-in from small-scale PV systems, distribution grids face increasing pressure. Yet static network tariffs fail to reflect either temporal or spatial scarcity signals within the grid.

  • 14A EnWG introduced a first step towards time-variable grid tariffs. Under Module 3, distribution grid operators are required to offer time-variable grid tariffs for controllable consumption devices. These, however, are based on fixed time windows that can only approximately reflect the actual grid situation [2]. Far-reaching reforms of the grid tariff structure are currently being developed within the BNetzA’s AgNeS process [3]. Dynamic grid tariffs are also being considered in this context, although initially only for large-scale battery storage at higher voltage levels.

Dynamic grid tariffs go further than the time-variable tariffs typically known from Module 3 of §14a EnWG. They derive the price signal from the forecasted grid usage and can be set day-ahead or at shorter notice. In doing so, they reflect the marginal costs of electricity transmission: in congestion-free periods, these approach zero, while they rise for consumption when, for example, import constraints exist in the region. Dynamic grid tariffs thus internalise the costs of grid congestion and provide local signals for both generation and consumption. Crucially, the combination of market and grid signals creates a near-optimal incentive for flexible consumption, thereby reducing overall system costs. It is precisely this interaction between market and grid signals that stands at the centre of this pilot project.

The expected benefits are concrete: where flexible loads such as heat pumps, wall boxes and home battery systems are aligned with current grid utilisation, the need for congestion management is reduced in the short term, renewable electricity is used locally. In the long term, the need for grid expansion could be reduced.

Project Objectives

At the centre of this pilot project stands the question of whether dynamic grid tariffs can effectively mobilise the flexibility potential of households and prosumers to reduce grid congestion. Additionally, the project explores the conditions under which a scalable implementation via the iMSys infrastructure is feasible beyond the scope of the pilot. To address these questions, it pursues three interconnected objectives:

  1. Empirical analysis of real-world load-shifting responses to existing dynamic price signals, and the development and calibration of a calculation methodology that translates grid utilisation forecasts into concrete dynamic price signals.
  2. Design and execution of a field trial in a live low-voltage grid, in which the developed tariff signals are transmitted to real households via the iMSys infrastructure, followed by the evaluation of the observed behavioural and grid-level effects. Additionally, the dynamic grid tariff signals will be tested in simulations on a large scale in collaboration with aggregators.
  3. Analysis of the effects of these signals on consumer behaviour, grid utilisation, and the economic viability of existing or new flexible business models in light of the results obtained.

Moreover, the latter represents a key dimension in assessing where conflicts of interest between market and grid signals may arise, and which actors may lose or gain depending on the different tariff designs. Through active engagement with industry partners and relevant stakeholders, this project aims to generate results directly translatable into the ongoing regulatory debate, contributing simultaneously to the overarching SET Hub goal of fostering an innovative start-up ecosystem within the energy sector [4].

Project Structure and FfE contribution

The project is structured into seven work packages (LPs), running from 2026 to 2027. Neon leads the consortium on behalf of dena.

FfE leads the execution of the field trial and carries out grid modelling work. Beyond this, FfE makes substantial contributions across all substantive work packages. Its responsibilities are organised around three core areas:

  • Distribution grid modelling and load forecasting – Using its existing GridSim simulation model, FfE models load flows and congestion patterns across the low-voltage grid. Combined with the eFlame household optimisation tool, load-shifting effects are quantified under different tariff configurations, enabling scenario analyses the effectiveness and transferability of the calculation methodology.
  • Field trial design, implementation and evaluation – FfE is responsible for the design and execution of the field trial with up to 20 households in a live low-voltage grid. Using the Use-Case Methodik [5] serves as the basis for developing the technical implementation chain with the practice partners. FfE additionally coordinates participant recruitment, technical onboarding, and the analysis of the measurement data collected.
  • Implementation via the iMSys infrastructure – FfE evaluates the practical feasibility of dynamic grid tariffs across the iMSys process chain. Alternative approaches are also discussed in the context of assessing scalable adoption.

Project Partners

The “Dynamic Grid Tariffs” SET Hub pilot project by dena brings together a consortium of Neon, the Forschungsstelle für Energiewirtschaft (FfE), and UnternehmerTUM, supported by 21 industry practice partners, divided across three different roles:

  • Field trial implementation partners – Enervie, Power Plus Communication (PPC), Solar Manager
  • Aggregators and dynamic tariff providers – Consolinno, Elli (VW), EnBW, flexa, gridX, naturstrom, Octopus Energy, Powernaut, Rabot Charge, Solar Manager, The Mobility House
  • Distribution and transmission grid operators – Enercity, Enervie, LEW Verteilnetz, SWM, Westnetz, TenneT, TransnetBW

Funding

The pilot is part of dena’s SET Hub, funded by the Federal Ministry for Economic Affairs and Energy. The results will feed into the regulatory discourse on the future design of grid tariff structures.

Further information:

 

Literature

[1] dena (2026): SET Hub – Kostenlose Unterstützung für Energiewende-Start-ups, https://www.dena.de/projekte/set-hub/ (accessed 03.08.2026)

[2] FfE (2024): Variable Netzentgelte als Option für steuerbare Verbrauchseinrichtungen nach §14a, https://www.ffe.de/veroeffentlichungen/variable-netzentgelte-als-option-fuer-steuerbare-verbrauchseinrichtungen-nach-%C2%A714a/ (accessed 03.08.2026)

[3] Bundesnetzagentur (2026): Festlegungsverfahren AgNeS – Allgemeine Netzentgeltsystematik Strom, https://www.bundesnetzagentur.de/DE/Beschlusskammern/GBK/Ebene1_Rahmen/AgNes/start.html (accessed 27.07.2026)

[4] dena (2026): SET Hub – Kostenlose Unterstützung für Energiewende-Start-ups, https://www.dena.de/projekte/set-hub/ (accessed 03.08.2026)

[5] FfE (2023): Beitragsreihe Use-Case- und Geschäftsmodellentwicklung an der FfE: Die Use-Case-Methodik, https://www.ffe.de/veroeffentlichungen/beitragsreihe-use-case-und-geschaeftsmodellentwicklung-an-der-ffe-die-use-case-methodik/ (accessed 30.07.2026)