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Saturday, 31 May 2025 - 18:55

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Electricity connection shortages stall Dutch housing projects amid severe home shortage

A severe shortage of electricity connections is causing long delays in Dutch housing construction, worsening an already critical shortage of more than 400,000 homes, De Telegraaf reports. Builders and buyers face rising costs as construction stalls amid a congested power grid.

Ramon Testroote, director of Limburg housing association Wonen Zuid, says several projects are ready for construction but must wait up to 18 months for network operators Enexis and Stedin to approve electric connections. “Net congestion is now my biggest problem,” he told De Telegraaf.

Testroote is working with investor JPO on a 500-home development in Roermond, where the zoning plan was finalized after 25 years. “We requested the connection two years ago but now hear it could take another year at least. This drives up costs because we’re paying interest on land we can’t sell yet.”

For homebuyers, the shortage means higher prices on already scarce homes. Network operators recently introduced a €230 annual discount per household for off-peak electricity use, but the Economic Institute for Construction estimated in 2018 that sustainable homes cost €20,000 more. Current building costs are reportedly even higher, and network fees are expected to rise by at least €1,000 annually as infrastructure upgrades accelerate. Only 30% of the country’s energy transition is complete.

Testroote called for urgent changes in planning. “The decision to phase out gas homes was made 10 years ago. Investments should have scaled accordingly. Grid operators have been asleep at the switch. Different rules and priorities are needed. Net congestion is the biggest problem now.”

According to the Dutch Network Operators Association (Netbeheer Nederland), the average wait for a residential electricity connection is about 40 weeks, and 24 weeks for network upgrades. The group said small projects may find workable solutions, but large developments face delays measured in years. “Wognum is the first case where construction and connection schedules are so far apart,” it said.

The problem is widespread. Three projects in Friesland recently halted due to grid limits. Industry group Aedes reports many of the 269 housing associations nationwide face delays ranging from weeks to years, especially when building or upgrading sustainable homes.

Maarten Kokshoorn, energy manager at construction firm Heijmans in Rosmalen, told De Telegraaf, “Connection capacity maps are bright red across large parts of the country. Some homes can still connect, but places like Arnhem and Utrecht have no room for new housing until 2030.”

VolkerWessels reports 3,500 delayed homes, with grid congestion only part of the issue. Nitrogen regulations and permit delays also significantly impact timelines. A company spokesperson said, “Net congestion is a factor, but community opposition delays projects more.”

Electricity demand is doubling due to heat pumps and electric vehicles. The shift from centralized gas plants to decentralized renewable energy — known as “wiebelstroom” — increases peak loads and strains the grid. Solar energy feeding back into the network adds complexity to grid management.

Stakeholders, including grid operators, provinces, municipalities, and builders, meet regularly but struggle to find quick solutions. Kokshoorn said, “There is a knowledge gap among some government officials, causing slow decisions. We’re essentially reinventing the wheel.”

Heijmans piloted an energy management system in a Nuenen neighborhood with 17 homes to reduce peak demand. The system balances batteries, chargers, solar panels, and heat pumps to cut costs and ease grid pressure. “The battery can’t fully charge cars but supports household use and prevents costly infrastructure upgrades,” Kokshoorn said.

Netbeheer Nederland said electrification has outpaced all forecasts, and grids were not designed for such rapid growth. “We keep building, but infrastructure projects take years — two years to build stations and eight years to get permits.”

Kokshoorn warned consumers can no longer expect uninterrupted electricity. “Energy companies must rethink their role. This model may be unworkable for the Netherlands given winter solar limits when demand peaks.” He stressed neighborhoods must share energy to reduce grid loads. “Sustainable energy doesn’t have to be expensive if managed smartly.”

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