CEER Paper on Grid Connection Challenges
CEER's new paper on Grid Connection Challenges examines the growing difficulties faced by electricity networks across Europe in connecting new generation, storage and demand to the grid.
As electrification accelerates and renewable energy deployment increases, many EU Member States are experiencing shortages in available grid connection capacity. The paper explores regulatory approaches to managing connection queues and facilitating access to the grid through more efficient allocation mechanisms and flexible connection agreements (FCAs).
Context and Purpose
Electricity grids are at the heart of Europe's energy transition. However, network development is often unable to keep pace with growing demand for grid connections from renewable generators, battery storage projects, electric vehicle infrastructure, data centres and other electricity users.
These developments have led to increasing connection queues and capacity constraints in many Member States. CEER's paper examines how national regulatory authorities and network operators are responding to these challenges and identifies regulatory tools that can help make better use of existing network capacity while maintaining security of supply.
Key Findings
The paper highlights that:
- Grid connection bottlenecks have become a significant challenge across Europe, affecting both electricity generation and demand-side connections.
- Most Member States continue to apply a "first come, first served" approach to allocating connection capacity, although several are introducing complementary measures to address capacity scarcity.
- Additional queue management tools, such as project maturity assessments, financial guarantees, reservation deadlines and "use-it-or-lose-it" provisions, can help reduce speculative applications and capacity hoarding.
- Flexible Connection Agreements are increasingly being introduced as a practical solution to connect new users more quickly where network capacity is constrained.
- National approaches to FCAs vary considerably in terms of design, duration, operational limitations and tariff treatment.
- There is no single solution suitable for all Member States, highlighting the importance of regulatory frameworks that reflect national circumstances while remaining transparent and non-discriminatory.
Recommendations
To support a more efficient and timely connection process, CEER encourages:
- Transparent, fair and non-discriminatory allocation of available grid connection capacity.
- The introduction of measures that prioritise mature and credible projects while reducing speculative requests.
- Continued development and implementation of Flexible Connection Agreements in line with EU legislation.
- Regulatory frameworks that balance efficiency, fairness and energy policy objectives while maintaining security of supply.
- Ongoing exchange of national experiences and best practices to support the effective implementation of queue management measures and FCAs across Europe.
The paper contributes to the ongoing European discussion on how to accelerate grid connections and ensure that electricity networks can support the energy transition while making the most efficient use of available infrastructure.
