Germany’s 2027 grid fee subsidy: Bundestag hearing exposes dispute over €975 million as 7 December deadline nears

What the Bundestag argued about on 6 November

The Bundestag’s Committee on Economic Affairs and Energy heard experts on 6 November on government bill 21/8236. It provides for a federal subsidy towards transmission grid costs of €5.525 billion a year from 2027 to 2029, €975 million less than this year’s €6.5 billion. The continuation met with broad support, but the industry federation BDI and the IG Metall union want the current level kept. The Bundesrat also called for €6.5 billion on 16 October; the government took note and pointed to budget consolidation. What makes up the electricity price is explained in the guide to household electricity prices.

Which households, landlords and businesses will feel the cut

According to the provisional figures, the transmission grid fee will rise from 2.86 to 3.54 cents per kilowatt hour in 2027; without the subsidy it would be 6.52 cents. According to ZfK, transmission operator 50Hertz told the hearing that 18 to 19 of the 24 percentage points of the increase stem from the cut. ZfK reports that the Federation of German Consumer Organisations puts the relief for households at an average of €56 a year, ranging regionally from €18 to €109. High-consumption businesses are hit harder: according to ene’t’s first analysis, grid costs at medium voltage were already up 3.5 per cent. Landlords are affected through communal electricity and wherever heat pumps tie heating costs to the electricity price.

Why the subsidy does not make electricity prices predictable

The relief depends on a law that has not yet been passed. The transmission operators calculated their figures with a caveat: if there is no legal certainty by 7 December, final fees for 2027 are likely to rise. The Bundesrat meets on 20 November and then, according to ZfK, not again until 18 December; the hearing page gives no date for the final Bundestag vote.

Less noticed is the bill’s explanatory memorandum: for 2028 and 2029, the funds are only to be given “priority consideration”. If the budget falls short, the entitlement shrinks accordingly. Anyone calculating a ten-year investment today should therefore not take this subsidy as given.

“The federal subsidy is not a discount but a budget item renegotiated every year. Anyone fixing electricity costs for 2028 should treat grid fees as a risk, not as a constant.” — Pedram Dadgar, Strategic adviser to Green Contracting GmbH

What to do now

1. Check in your electricity contract whether grid fees are fixed in the price or passed through.
2. Note 7 December and compare offers for 2027 against the final fees only after that date.
3. Model investments from 2028 in two scenarios: with the subsidy and with up to 3 cents more in transmission grid fees.