Amendment to the Energy Industry Act: What Changes Are in Store for PV Investors?
The 2025 Amendment to the Energy Industry Act (EnWG)—officially titled the Act Amending Energy Industry Law to Strengthen Consumer Protection in the Energy Sector—has been in effect since December 23, 2025. It changes the conditions for PV investors in three areas: electricity storage systems are significantly strengthened under building codes and regulations; electric vehicles are treated as stationary storage systems for the first time; and energy sharing is given a legal basis.
The short answer
The 2025 Amendment to the Energy Economy Act (EnWG) (Federal Law Gazette 2025 I No. 347, in effect since December 23, 2025) introduces three key reforms: special planning law provisions for electricity storage facilities in rural areas (Section 35 of the German Building Code (BauGB)), a proportional exemption from grid fees for multi-use storage facilities (Section 118(6) of the Energy Economy Act (EnWG)), and a legal framework for energy sharing (Section 42c of the Energy Economy Act (EnWG)).
For investors, the most important deadline is the August 2029 commissioning deadline—a storage facility must be operational by then for the 20-year grid fee exemption to take effect.
This amendment to the Energy Industry Act (EnWG) introduces significant changes for investors in the photovoltaic and renewable energy sectors. The following article is intended for investors, operators, and planners of photovoltaic systems and explains the opportunities and challenges that the 2025 EnWG amendment presents for them.
1. Why the 2025 Amendment to the Energy Industry Act (EnWG) is relevant for PV investors
The 2025 Amendment to the Energy Industry Act (EnWG) is the most comprehensive reform package for the energy sector in years. Since its first version in 1935, the Energy Industry Act has regulated the grid-based supply of electricity and gas. The Bundestag passed the law on November 13, 2025; the Federal Cabinet had previously approved the draft bill on August 6, 2025. The omnibus bill amends 28 laws and ordinances, along with associated regulations—including the EnWG itself, the EEG 2023, the Building Code, the MsbG, and the Energy Financing Act.
At its core, the 2025 amendment to the Energy Industry Act (EnWG) pursues several goals: It strengthens consumer protection in the energy sector, facilitates the integration of renewable energy, promotes new collaborative market models such as energy sharing, and, by extending the grid fee exemption, provides planning certainty for battery storage operators. At the same time, it strengthens local energy communities and decentralized generation.
For PV investors and operators of photovoltaic systems, the amendment is crucial for one simple reason: starting in 2026, the value of a photovoltaic system will no longer depend solely on the feed-in tariff. Revenue streams such as storage arbitrage, dynamic electricity rates, and energy sharing are gaining importance—and it is precisely these areas that the energy sector amendment is regulating anew.
What the amendment does not address: The Solar Peak Act—another reform enacted that same year—regulates zero compensation in the event of negative market prices, as well as the 60% feed-in limit for system operators without smart meters. This separate law took effect on February 25, 2025 (Federal Law Gazette 2025 I No. 51) and applies to all PV systems commissioned on or after that date. What this means specifically for new systems:
- If market prices are negative, the compensation is completely forfeited—the estimated loss of revenue for a typical rooftop system is approximately €120 per year
- To compensate, the pay period will be extended beyond the standard 21 years—the missed hours will be added at the end
- Solar power systems with a capacity of 7 kWp or more must be controllable by the grid operator—until smart meters and control boxes are installed, a 60% feed-in limit applies
Regardless of the Solar Peak Act, the feed-in tariff for new systems continues to decrease every six months. For partial feed-in up to 10 kWp, it has been 7.70 ct/kWh since August 1, 2026 —previously it was 7.78 ct/kWh (valid for systems commissioned between February 1 and July 31, 2026); the next reduction will take effect on February 1, 2027. Our guide to the 2026 EEG feed-in tariffs lists all current rates by capacity class. For plant operators, the zero feed-in tariff in the event of negative prices thus comes on top of a rate that is already declining.
Together, these two sets of regulations define the new regulatory framework for PV investments in Germany and are part of the ongoing transformation of the German electricity system.
2. Battery storage: Three new benefits at once
The 2025 EnWG Amendment grants electricity storage systems a clearly defined legal status for the first time—under building codes, energy law, and grid tariffs. A battery storage system is a facility that temporarily stores generated solar power and releases it as needed. The double charge on stored solar power during multi-use operation is eliminated, which structurally improves economic viability. Plant operators and investors planning PV systems with co-located storage benefit from all three changes simultaneously. As a result, storage technologies are moving to the forefront of investment planning—the amendment removes three of the biggest barriers to investment in recent years in a single law.
2.1 Building Law: Special Provisions for Outlying Areas (Section 35 of the German Building Code (BauGB))
Until now, the approval of electricity storage facilities in rural areas has been subject to legal uncertainty. The Building Code did not contain a specific provision for storage facilities. With the amendment, two new subparagraphs were added to Section 35(1) of the Building Code (BauGB):
- § 35(1)(11) of the German Building Code (BauGB) (Co-located): Energy storage systems that are spatially and functionally associated with an existing renewable energy installation are given preferential treatment. No minimum capacity requirement; no operating mode requirements.
- § 35(1)(12) of the German Building Code (BauGB) (Stand-alone): Stand-alone storage facilities are eligible for preferential treatment if all three of the following conditions are met: the facility is located no more than 200 meters from a substation or power plant with a capacity of 50 MW or more; it has a rated capacity of at least 4 megawatts; and its footprint does not exceed 50,000 m².
For PV investors, No. 11 is particularly relevant in practice: Anyone planning or operating a ground-mounted PV system can now install a co-located storage system without a separate zoning plan procedure—which significantly reduces planning time and costs and noticeably speeds up the approval process. Grid connection is governed by the KraftNAV and its current amendments for the PV market —building regulations and grid connection are directly intertwined in this context.
2.2 Overriding public interest (Section 11c of the Energy Industry Act)
The amended Section 11c of the Energy Act (EnWG) declares the construction and operation of all energy storage facilities to be in the overriding public interest. In permitting proceedings, storage facilities are thus given considerable weight relative to competing interests. This is a balancing solution, not an absolute priority. Only matters related to state and alliance defense are explicitly exempted. The provision remains in effect until the targeted net greenhouse gas neutrality of the electricity supply is achieved—that is, the climate neutrality of the electricity system (government target: 2045)—and simultaneously serves to ensure security of supply in the context of the energy transition.
2.3 End of double charging for grid fees (Section 118(6) of the Energy Industry Act)
This is the most significant change from an economic standpoint for storage investors. A single word change—from “if” to “to the extent that” in Section 118(6), sentence 3 of the EnWG—allows, for the first time, a proportional exemption from grid fees for so-called multi-use storage systems. Previously, exemptions applied only to storage facilities that feed 100% of the stored electricity back into the same grid. Storage facilities with multiple functions paid grid fees twice—once during charging and once during feed-in.
- Commissioning deadline extended: from August 2026 to August 2029 — three additional years for implementation and expansion
- Bidirectional charging points treated equally: Electric car wallboxes are treated as storage devices based on the reference to Section 21 of the Energy Efficiency Act (EnFG)
- Exemption period: 20 years from the date of commissioning
Market Context: By the end of 2025, battery storage systems with a total capacity of approximately 25.5 GWh had been installed in Germany—a fivefold increase compared to 2020 (BSW Solar, January 2026). For turnkey large-scale storage systems exceeding 10 MW, system costs are now below 250 €/kWh (market data, Q1 2026).
3. Vehicle-to-Grid: Electric cars are becoming storage devices under regulatory requirements
As a result of the amendment to Section 118(6) of the Energy Industry Act (EnWG) and the reference to Section 21 of the Energy Promotion Act (EnFG), the following now applies: Solar power or grid power that is fed back into the grid or a building from a vehicle battery via a bidirectional wallbox no longer triggers double grid fees. The Home Energy Management System (HEMS)—that is, the smart, digital control of generation, storage, wallbox, heat pump, and consumption—can thus be used in a legally sound manner for the first time; the digitization of the household thereby becomes a prerequisite for new revenue streams.
In addition, the Federal Network Agency’s MiSpeL process rules took effect on April 1, 2026. They standardize the accounting for bidirectional charging processes, the exchange of data between operators, electricity suppliers, metering point operators, and grid operators, as well as the treatment of charging points as storage units.
According to the Federal Motor Transport Authority, as of January 1, 2026, exactly 2,034,260 battery electric vehicles (BEVs) were registered in Germany—surpassing the 2-million mark for the first time. An estimated 225,000 vehicles are already technically capable of bidirectional charging, although true V2G capability is available in significantly fewer models. A Fraunhofer study (ISI/ISE, commissioned by Transport & Environment, October 2024) estimates the potential savings at up to €700 per household per year; more conservative scenarios range from €200 to €400 per year.
4. Energy Sharing: A new source of revenue starting in June 2026 — with restrictions
Energy sharing refers to the shared use of locally generated solar power within a community via the public power grid. As of June 1, 2026, it will be enshrined in German energy law for the first time. Section 42c of the Energy Industry Act (EnWG) establishes the legal framework for sharing PV electricity via the public grid—without a physical direct connection, but with a grid operator acting as an intermediary. Such community-based market models represent a regulatory milestone in the EnWG reform, but they are not an immediately profitable business model.
Key points from the law:
- Eligible operators: Individuals, SMEs, citizen energy cooperatives, and municipalities. Large energy suppliers and large corporations are excluded. This allows consumers to participate directly in renewable energy without being treated legally as electricity suppliers or energy providers.
- Technical requirements: Two separate contracts and quarter-hourly billing via smart meters and a smart meter gateway —mandatory for every implementation.
- Price: Open to negotiation between the provider and the consumer.
- Full grid fees remain due — a significant disadvantage compared to other EU countries.
Timeline: effective June 1, 2026, within a balancing area; effective June 1, 2028, across areas within the same control zone; transition period for existing customer installations until January 1, 2029 (Section 118(7) of the Energy Industry Act (EnWG)). The typical selling price is estimated at 10–15 ct/kWh—between the EEG feed-in tariff (~7–8 ct/kWh) and the residential electricity price (~30–40 ct/kWh). The problem: Full grid fees (averaging ~9.3 ct/kWh in 2026) significantly reduce the margin. Germany has also opted for the narrowest possible scope and—unlike Austria, Italy, and Spain—has completely foregone premiums or reduced grid fees. Industry observers do not expect a genuine market development until 2029 at the earliest.
5. The Three Most Important Deadlines and Investment Opportunities
Deadline 1 — Commission an energy storage system by August 2029: Anyone who commissions an energy storage system by August 2029 is eligible for the 20-year grid fee exemption. This is the most important single measure for co-location projects. Deadline 2 — Plan co-location now: The combination of building code privileges (Section 35(11) of the German Building Code (BauGB)), overriding public interest (Section 11c of the German Energy Industry Act (EnWG)), and the grid fee exemption makes PV systems with co-located storage more attractive than ever before. Deadline 3 — Monitor energy sharing starting in June 2026: The economic conditions are not yet attractive enough to warrant immediate action; the strategic value lies in planning for 2028–2029.
| Date | What Applies |
|---|---|
| December 23, 2025 | Amendment to the Energy Industry Act (EnWG) in Effect (Federal Law Gazette 2025 I No. 347) |
| January 1, 2026 | Electric vehicles are treated as stationary storage systems (V2G) under Section 118(6) of the Energy Industry Act (EnWG) |
| April 1, 2026 | Federal Network Agency's MiSpeL Process Rules Take Effect |
| June 1, 2026 | Energy Sharing (Section 42c of the Energy Industry Act) begins within the balancing area |
| June 1, 2028 | Cross-regional energy sharing within the same control area |
| January 1, 2029 | Transition Period for Existing Customer Facilities (Section 118(7) of the Energy Act) |
| August 2029 | End of the commissioning period for the grid fee exemption (Section 118(6) of the Energy Industry Act (EnWG)) |
| Source: EnWG, as amended by the 2025 Amendment (Federal Law Gazette 2025 I No. 347). As of August 2026. | |
The exact deadline has not been uniformly specified: According to the calculation of the deadline under Sections 187(2) and 188(2) of the German Civil Code (BGB), the deadline expires at the end of August 3, 2029, while documents from the Federal Network Agency cite August 4, 2029. There is no judicial clarification on this matter—those planning down to the day should use the earlier date.
Key figures as of the end of 2025/2026: 117 GW total installed PV capacity (BNetzA) · 25.5 GWh battery storage capacity (BSW Solar, January 2026) · 5.6 GW large-scale storage pipeline for 2026–2027 (Modo Energy) · less than 250 €/kWh system costs for large-scale storage systems over 10 MW · 2,034,260 registered BEVs as of January 1, 2026 (KBA) · August 2029 as the critical deadline for grid fee exemption.
6. Risks that investors should not underestimate
Risk 1 — BNetzA’s Authority to Grant Exemptions
Pursuant to Section 118(6), sentence 12, of the Energy Network Act (EnWG), the Federal Network Agency may establish alternative grid fee regulations. The AgNes proceeding is currently underway. According to legal scholarship, there is no legitimate expectation of continued protection under the current exemption regulation—this is a power explicitly enshrined in law.
Risk 2 — Smart Meter Rollout as a Bottleneck
As of December 31, 2025, only about 3.09 million smart metering systems had been installed—5.5% of all electricity connections (BNetzA). Energy sharing, V2G, and dynamic rates all require smart meters. By March 2026, the BNetzA had already initiated 77 proceedings against grid and metering point operators who were in default.
Risk 3 — Legal Uncertainty Regarding Customer Assets
In its ruling of May 13, 2025 (Case No. EnVR 83/20), the Federal Court of Justice (BGH) significantly narrowed the definition of a “customer-owned system”—the national regulation must be interpreted in accordance with European directives (the Internal Electricity Market Directive). Multi-building tenant electricity and neighborhood projects are at risk of being classified as regulated distribution networks. The transition period, which runs until January 2029, protects only existing installations.
Risk 4 — Increasing Number of Negative Price Hours
In 2025, there were approximately 573 hours of negative electricity prices on the exchange (Federal Network Agency, 2025). Since February 2025, the EEG feed-in tariff for new PV systems has not been paid during these hours. Those who do not actively plan dynamic revenue strategies using battery storage are sacrificing returns—the market price for solar power in 2025 averaged only 4.508 ct/kWh for the year.
7. Conclusion: What Needs to Be Done Now
The 2025 EnWG Amendment establishes the regulatory framework for a new generation of PV business models. First: Plan PV systems with storage immediately and integrate co-located storage into the initial project planning—not as a retrofit option. The August 2029 commissioning deadline for the 20-year exemption is a reality. Second: Monitor V2G and energy sharing strategically, but do not plan on them as immediate drivers of returns; positioning for 2028–2029 makes more sense. Third: Take the BNetzA’s authority seriously. Anyone investing in large-scale storage should calculate hedging strategies and scenarios that account for reduced or completely eliminated grid fee exemptions—the exemption is a bonus, not a basis for planning.
Plan for co-location from the very beginning
Logic Energy designs, builds, and operates turnkey PV systems with co-located storage that are designed from the outset to comply with the new framework conditions set forth in the amended Energy Industry Act (EnWG). The contractual partner for direct investments is mediplan Helm e.K., a partnership with personal liability of the owners.
Frequently Asked Questions About the 2025 Amendment to the Energy Industry Act (EnWG)
What is the 2025 Amendment to the Energy Industry Act, and when did it take effect?
The 2025 Amendment to the Energy Economy Act (EnWG) is a omnibus bill that amends 28 laws and regulations—including the EnWG, the Renewable Energy Act (EEG) 2023, the Building Code (BauGB), and the Small Business Act (MsbG). It was passed by the Bundestag on November 13, 2025, approved by the Bundesrat on November 21, 2025, and has been in effect since December 23, 2025 (Federal Law Gazette 2025 I No. 347).
How will the amendment to the Energy Industry Act affect battery storage systems?
Battery storage systems have three advantages: special planning privileges for outdoor installations (Section 35(1)(11) and (12) of the German Building Code (BauGB)), “overriding public interest” status in permitting procedures (Section 11c of the Energy Act (EnWG)), and a proportional exemption from grid fees for multi-use storage systems (Section 118(6) of the Energy Act (EnWG)). The commissioning deadline for the 20-year exemption has been extended to August 2029 (Section 118(6), sentence 1, EnWG: 18 years from August 4, 2011).
What does energy sharing mean for PV investors?
Energy Sharing (Section 42c of the German Energy Act) will allow the sale of PV electricity via the public distribution grid to participants in the same balancing zone starting June 1, 2026. Prices are freely negotiable and typically range between 10 and 15 cents/kWh. However, full grid fees (~9.3 cents/kWh) remain payable. A broad market is realistic no earlier than 2029.
Will electric cars be treated as storage devices under the amended Energy Industry Act (EnWG)?
Yes. Due to the amendment to Section 118(6) of the Energy Industry Act (EnWG) and the reference to Section 21 of the Energy Transition Act (EnFG), bidirectional charging points will be treated the same as stationary battery storage systems for regulatory purposes starting January 1, 2026. Electricity fed back into the grid from vehicle batteries will no longer trigger double grid fees. Starting April 1, 2026, the MiSpeL process rules will standardize net metering.
By when must a battery storage system be put into operation in order to qualify for the grid fee exemption?
The amendment to the Energy Industry Act (EnWG) extended the commissioning deadline from August 2026 to August 2029. Anyone who commissions a storage facility by that date will be eligible for the 20-year exemption from grid fees for electricity charged to and discharged from the storage facility—provided that the Federal Network Agency (BNetzA) does not issue any differing regulations in the ongoing AgNes proceedings.
What risks remain despite the amendment?
The greatest regulatory risk is the Federal Network Agency’s authority to grant exemptions (Section 118(6), sentence 12, of the Energy Industry Act (EnWG)). The slow rollout of smart meters (5.5% by the end of 2025) is delaying energy sharing and V2G. Legal uncertainty regarding customer-owned systems following the Federal Court of Justice ruling in May 2025 affects neighborhood projects. An increase in hours with negative prices (573 hours in 2025) is a burden on direct marketing without storage.
Does the 2025 amendment to the Energy Industry Act also apply to existing PV systems?
Partially. The building code exemption applies to new storage projects. The grid fee exemption can also be applied to existing facilities if a new storage system goes into operation by August 2029. Energy Sharing is available to all renewable energy facility owners—regardless of the date of commissioning—provided the technical requirements (smart meters, balancing capability) are met.
Sources and Legal Basis
- § 118 EnWG — Exemption from Grid Fees for Storage Facilities (Paragraph 6)
- § 42c EnWG — Energy Sharing
- § 35 of the German Building Code (BauGB) — Construction in Outlying Areas (Nos. 11 and 12: Energy Storage Facilities)
- Bundestag — Measure Passed to Protect Consumers from Electricity Price Fluctuations, November 13, 2025
- pv magazine — Federal Council Approves Amendment to the Energy Economy Act, November 21, 2025
- Noerr — Battery Storage, Energy Sharing, Customer Systems, and Grid Operators, 2025
- FfE — New Grid Fee Privileges for Storage Systems and Charging Points, December 2025
- BSW Solar — Battery Storage Capacity Increases Fivefold Within 5 Years (25.5 GWh), January 12, 2026
- Federal Motor Transport Authority — 2,034,260 all-electric passenger cars as of January 1, 2026, 2026
- Federal Court of Justice — Classification as a Customer Facility (EnVR 83/20), May 13, 2025
- Federal Network Agency — EEG Feed-in Tariffs (partial feed-in ≤10 kWp, 7.70 ct/kWh effective August 1, 2026), accessed August 4, 2026
- Citizens' Energy Alliance — Energy Sharing at Last, but Unfortunately Only Half-Hearted, November 21, 2025
- Fraunhofer / Transport & Environment — Economic Potential of Bidi Stores, October 2024
Edited by Logic Energy. Last updated: August 2026.
