The Monopolies Commission therefore proposes measures to ensure effective ‘competition with new energy’:
Attracting several providers to install charging points. In Germany, the roll-out of charging infrastructure is being driven by funding schemes and specific commitment from local authorities. However, this is currently often leading to a regional concentration of individual providers. The largest charging point operators in each region account for an average market share of over 50 per cent. Customers wishing to charge an electric vehicle are therefore unable to choose between different providers. The lack of competition can lead to high prices for charging electricity and hinder the uptake of electric mobility. In the context of developing the charging point infrastructure, local authorities should place greater emphasis on competition when selecting operators. Collaborating with several different operators would significantly intensify price competition for charging electricity.
Ensuring sufficient land is available for wind energy. The transition in propulsion technology within the transport sector is also taking place with the aim of powering motor vehicles using climate-friendly, renewable energy sources. However, the growing demand for these forms of energy generation is currently facing expansion challenges: in recent onshore wind energy tenders, so few bids were submitted that they were insufficient to cover the tender volume. Not only is expansion being slowed down by the low number of bids, but this is also leading to a rise in prices, which is passed on to consumers in the form of the EEG surcharge. The reason for the low number of bids is a lack of land and planning permission for wind turbines. These should be made available or granted as soon as possible. If this is not possible, the tender volume should be adjusted to reflect the limited availability of land and permits, in order to restore effective price competition in the tenders.
Take corrective action regarding price regulation in the wholesale electricity market. The phase-out of nuclear and coal-fired power means that there is likely to be a shortage of flexibly available generation capacity on the energy market over the next five to ten years. This increases the risk that, in certain market situations, individual generators may have incentives and opportunities to raise electricity prices by withholding capacity. It is therefore necessary to apply the competition law rules on abuse in such a way as to prevent excessive prices at the wholesale level without disrupting necessary investment projects. The draft guidelines on the practical application of abuse supervision, presented by the Federal Cartel Office in collaboration with the Federal Network Agency, should be amended in various respects to this end. For example, the Federal Cartel Office should monitor reported power station outages to ensure that these cannot be deliberately used to influence the market price.
