Processing instructions and implementation aids

Billing of the KWKG and offshore grid levy at extraction points for which an application has been made to the Federal Office for Economic Affairs and Export Control (BAFA) for a cap for 2023 in accordance with Sections 63-68 of the Renewable Energy Sources Act in the version applicable on December 31, 2022, but the application has not yet been approved or rejected

Until 2022, the billing of the EEG, KWKG and offshore grid levies at extraction points for which an application to limit the levies was submitted to the BAFA by the end consumer in accordance with Sections 63-68 of the German Renewable Energy Sources Act in the version applicable on December 31, 2022 was generally carried out by the transmission system operator. The previous regulation will be adopted analogously in the Energy Financing Act (EnFG) from 2024. Although Section 67 (1) EnFG provides for a transitional regulation for 2023, it does not include the addition that this transitional regulation should also apply to applications that have been applied for but not yet approved or rejected.

In order to close this regulatory gap, the transmission system operators have come to an agreement with the Federal Network Agency. Accordingly, the settlement for 2023 is to be carried out in the same way as in the past.

KWKG remuneration categories

The KWKG remuneration category table is a list that contains all the different possible combinations of criteria that are relevant for the levy payments for KWKG plants in accordance with the current KWKG. This table is updated regularly, for example when there are changes to the law or new provisions are issued in accordance with the statutory powers to issue ordinances. The designations in the KWKG remuneration category table also serve as the basis for the reporting obligations that distribution system operators must regularly fulfill vis-à-vis the transmission system operators.

The current KWKG remuneration category table with possible remuneration combinations and corresponding explanations can be found below as an Excel file.

Note:

The table contains all categories of supplementary payments under the Combined Heat and Power Act, subject to those provisions that may only be applied after approval under state aid law in accordance with Section 35 (19) KWKG. In addition, statutory regulations from previous laws must be observed, insofar as these continue to apply through corresponding transitional provisions in the current law. In addition to the subsidies for plants and cooling/heating grids/storage systems from calendar year 2027 mentioned there, the bonus under Section 7b KWKG for electric heat generators ("power-to-heat bonus"), which is applicable from 2025, is temporarily subject to state aid law.
The table also contains categories for penalty payments for breaches of obligations in accordance with Section 52 (8) EEG 2023 if CHP plants violate technical requirements. The payments are recorded via the KWKG monthly/annual reports and testing, although for regulatory reasons any income is transferred to the EEG account of the respective TSO in accordance with the EnFG and thus benefits the EEG equalization mechanism.