Grid congestion gets companies negotiating with grid operators

• From 2026, threat of power grid congestion across the Netherlands

• New law enables quick fix by allowing companies to cooperate in energy hubs

• Companies must negotiate with grid operators to optimise capacity utilisation

From 2026, threat of power grid congestion in all regions

The power grid is not expanding fast enough to keep pace with rising demand for electricity. In light of this, Dutch businesses and grid operators fear power grid congestion across the Netherlands from 2026, which will slow down the country’s energy transition. ABN AMRO shares the concerns of these parties in its updated report Quid pro quo: what’s causing increasing power grid congestion and how to solve it. The bank believes companies should seek more cooperation and negotiate jointly with grid operators to ease the pressure on the power grid. Recent changes in legislation, such as the introduction of new contract forms, have opened up possibilities in this respect. Electrification is, after all, core to the energy transition needed to achieve the 2030 climate goals. Cooperation and smarter use of power grid capacity can accelerate this transition.

Joint negotiations on flexible grid capacity utilisation are crucial

ABN AMRO observes that new forms of cooperation between companies can provide short-term fixes. Key in this context is the rise of energy hubs: a group of power grid users who jointly negotiate a capacity contract with the grid operator. This can result in a group power transport agreement or a group capacity limiting contract. As participants in these energy hubs, companies can often use more capacity all in all than they would operating individually. As quid pro quo, the energy hubs give the grid operator back part of the aggregate capacity granted to them in their previous, individual contracts. This capacity reallocation helps grid operators shorten their waiting lists and better utilise grid capacity.

"In 2025, companies need to actively engage with companies in their neighbourhood and their grid operators to better reconcile their power needs. If they don’t, they may be caught unawares by further physical grid congestion in 2026," says ABN AMRO energy sector expert Peter van Ees. “An important advantage of the new, joint contract forms is that companies who have joined an energy hub decide among themselves how they use the available capacity, by agreeing among themselves how much power they can each use at any given time. This means more power supply over the course of the day, simply because grid capacity is used more efficiently.”

Legislative and regulatory support for essential negotiations

Alongside necessary power grid investments, greater energy efficiency and onsite electricity generation by users, new forms of collaboration are now also fuelling the energy transition. Made possible thanks to changes in laws and regulations, such collaboration optimises the use of existing capacity. The Dutch Authority for Consumers and Markets (ACM) has already adapted regulations on things like net code and tariff code, allowing more flexibility in power grid operations. ACM is therefore calling on grid operators to make the most of this flexibility. In December 2024, moreover, the Dutch Senate passed a new Energy Law, which will effect in April. This law proposes changes to address challenges relating to grid congestion. The new Energy Law gives buyers of electricity, if organised in collectives like energy hubs, more scope to participate actively in the energy market.

Grid congestion theme of ABN AMRO Decarbonisation Summit ’25

For many years, ABN AMRO has been engaging its clients in discussions on achieving the 2030 climate goals and helping them navigate the transition to sustainable operations. In this connection, on 5 February, the bank is organising the second edition of its Decarbonisation Summit, coinciding with the ABN AMRO Open in Ahoy Rotterdam. At this summit, ABN AMRO shares its views on the challenges that society, the economy and its own clients face, and addresses possible solutions. The bank provides inspiration to its clients on solving problems related to electrification and energy efficiency.