German regulator Bundesnetzagentur has started 77 proceedings against companies that have not met the statutory 20% quota for the rollout of smart meters.

“The installation of smart meters plays a central role in the digitalisation of our electricity system,” said Klaus Müller, president of the Bundesnetzagentur. “We have found that many companies have not complied with the rollout targets set out in law. As a first step, we are launching proceedings against those companies that have not started the rollout. The Bundesnetzagentur will vigorously pursue the implementation of the legal requirements.”

Many companies have not yet met their obligations in the smart meter rollout despite repeated reminders from the Bundesnetzagentur. As a first step, proceedings have been opened against 77 companies that, according to the data available to the Bundesnetzagentur, have not yet started the rollout.

These companies will have the opportunity to respond in hearings. Their statements will be examined and included in the future decision-making process.

The aim of the proceedings is to ensure compliance with the statutory rollout targets through administrative fines. The Bundesnetzagentur will decide on the size of the fines using due discretion and taking account of the specific circumstances. Administrative fines depend on the company’s financial capability, among other things, and have to be proportionate.

More supervisory proceedings are to follow in stages, primarily affecting small and medium-sized businesses. Most of these companies have not reached the 20% quota for mandatory installations of smart metering systems.

The digitalisation of the grid using smart metering systems is a crucial component for the success of the energy transition. Smart metering systems provide more transparent information about electricity withdrawn and fed in as well as enabling renewable energy installations and controllable consumer devices, such as electric cars and heat pumps, to be integrated safely into the network. Smart metering systems are also essential for consumers to be able to use dynamic tariffs.

The German Metering Act (MsbG) requires the default meter operators to roll out modern metering equipment or smart metering systems.

Default meter operators have met their obligations if they had fitted at least 20% of consumer meter points with a consumption of at least 6000kWh/a with smart metering systems and consumers pursuant to the country’s Energy Industry Act with smart metering systems and control devices by the end of last year. The law also sets out more quotas for the coming years, including for generating installations. The Bundesnetzagentur says it will closely monitor compliance with these further requirements. Ultimately, 90% of the mandatory installations must be completed by the end of 2032.

To see the latest information on the progress of the rollout, go to www.bundesnetzagentur.de/1033662.