Germany’s Federal Network Agency (Bundesnetzagentur) has published its methodology decision on future quality regulation. Notably, key elements of a study on the energy transition capability of distribution system operators, developed by E-Bridge Consulting and FGH, have been incorporated into the decision.

The study focused on the question of how the performance of distribution system operators should be assessed in the future. The authors concluded that network quality should no longer be measured solely by traditional supply reliability indicators. Equally important for the success of the energy transition is the ability of network operators to efficiently integrate new generation assets, energy storage systems, charging infrastructure, and other energy transition technologies into the electricity system.

Against this backdrop, E-Bridge and FGH developed a consistently output-oriented approach. The focus is on performance indicators that measure the actual success of energy transition integration. These include, in particular, the number of realized grid connections and the duration of grid connection processes. The study also demonstrated that these indicators are statistically robust and are not significantly distorted by structural framework conditions.

Another key finding relates to the role of digitalization. The analysis concludes that digitalization is a critical driver of successful energy transition processes. Rather than regulating digital measures themselves, the study recommends transparently tracking progress through a digitalization index while maintaining a clear focus on the outcomes achieved.

With its methodology decision, the Federal Network Agency is placing greater emphasis on incentives that recognize the active contribution of network operators to the energy transition. Alongside safe and reliable network operation, the ability to effectively support the transformation of the energy system is becoming an increasingly important performance criterion.

The integration of energy transition capability and digitalization into quality regulation represents an important step in the further development of the regulatory framework and creates incentives for a high-performing and future-oriented network infrastructure.

Authors of the study: Dr. Henning Schuster, Prof. Dr. Tobias Veith, Prof. Dr. Hendrik Vennegeerts, and Christoph Wirtz

Learn more: Further developing quality regulation: Focus on energy transition expertise and digitalization – E-Bridge