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ACM Evaluates Grid Congestion Solutions Before Implementing Location-Based Tariffs

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Photo: Photo by Bernd 📷 Dittrich on Unsplash

The Dutch competition authority, ACM, emphasizes the need to fully implement existing measures for grid congestion before considering location-based tariffs, according to a preliminary study.

11.11.2025 | Dutch competition authority


The Netherlands Authority for Consumers and Markets (ACM) has conducted a preliminary study to evaluate the potential effects of location-based tariffs on grid congestion. The authority concluded that before introducing such tariffs, it is essential to first implement other existing measures aimed at solving grid congestion.

In recent years, ACM has introduced various measures to enhance the efficiency of grid utilization, including time-dependent grid tariffs that encourage users to reduce their consumption during peak hours. The concept of location-based tariffs is intended to incentivize users to choose locations that could lower grid costs.

However, the study indicates that while location-based tariffs could theoretically provide benefits, ACM prefers that system operators fully implement other necessary measures first. Currently, system operators have indicated that they require at least five years to adjust their systems to accommodate location-based tariffs.

ACM remains open to the possibility of introducing location-based tariffs in the future, depending on technological advancements and new insights. The authority acknowledges the complexities involved in designing such tariffs, particularly in accurately determining the costs associated with user locations, which can fluctuate based on the actions of other grid users.

During the study, ACM engaged with various stakeholders, including the Dutch trade association of system operators, municipal and provincial authorities, and several trade associations representing energy producers and users.

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