Energy firm may add fees for 24/7 energy access; Home batteries could fix national grid

The energy transition is a costly but necessary effort that is taking far too long to implement, according to Eneco CEO As Tempelman. He predicts that energy will become a luxury product and that those who want power 24/7 will have to pay extra for it. And home batteries could solve the problem of the Netherlands' overcrowded power grid, Tempelman said in an interview with the Telegraaf.

“We have all become spoiled. Energy is always there. But it is now starting to become a luxury product. We have to get used to that. If you want power all the time, it will come at a premium price. And consuming when possible will become the standard, with a basic rate,” Tempelman said. “As a consumer, you will pay for the use of the network. That is complex. It will take some getting used to. But it is necessary.”

Because one of the big challenges for the Netherlands is the overcrowded power grid with no prospect of more capacity. According to Tempelman, it’s not that the Netherlands is consuming more energy; it’s that demand happens at once.

“Contrary to what people think, the Netherlands has been consuming the same thing for years: 120 terawatt hours. That hasn’t changed. However, people’s behavior has changed, coming home at the same time, everyone with their car on the charger, everyone on the smatphones, and cooking electrically at the same time. Grid operators must then reserve power for those moments. Outside those peaks, consumption is much lower. If we can shave off those peaks, there will be far fewer problems on the grid.” Batteries installed in strategic places can help with that, Tempelman thinks.

Grid operator Liander also thinks that home batteries can help, NU.nl reported last week. Since last year, several companies have been offering home batteries that can not only store their own solar power but also trade on the energy markets—you can set remotely whether they charge or supply power.

The idea is that the batteries charge when there is a lot of cheap solar power available - thus preventing the surplus green energy from going to waste. Liander is considering compensating owners of these batteries if they ensure that they work in this way and help combat the overloading of the power grid.

The energy transition is costing energy companies and society a lot, Tempelman said to the Telegraaf. But he stressed that this is a very necessary transition. “Economists agree that the costs of climate damage are many times higher than the current costs of preventing climate damage.” The damage may look invisible or far in the future, while the costs are very visible now. “Companies must include these costs in the affordability of their products. If you keep energy cheap and affordable now, but it leads to enormous climate damage, you saddle future generations with the gigantic cost problem.”

“It is an illusion to think that we can suddenly switch to an economy with sustainable energy tomorrow. But we started far too late. So, now, we have to do it at a speed that is inhumane,” Tempelman said. “If we go at the speed that people are used to and normally experience, we will be going too slowly to limit emissions in time.”