Use of the grid

Updated: 07.01.2019

Author: John Szabo

The plant operators are contractually entitled to use the grid. They are also entitled to the guaranteed purchase and the transmission of their electricity (§§ 9 (2), 58 (1) Act No. LXXXVI of 2007). The grid operator is obliged to enter into agreements on the use of the grid (§ 58 (2) Act No. LXXXVI of 2007). 

Entitled party: The persons entitled to use the grid are the grid users. Grid users shall be all entities directly or indirectly connected to the public grid for the purpose of exporting or using electricity (§ 3 item 50 Act No. LXXXVI of 2007). This definition includes the oper-ators of renewable energy plants.

Obligated party: The entities obligated to grant access to the grid are the grid operators, including the operators of private electricity lines (§ 58 (2) Act No. LXXXVI of 2007).

Procedure

Process flow

The claim for use of the grid arises on the date on which the grid use agreement is concluded and the plant operator complies with the conditions specified therein.

To conclude a grid use agreement for a micro-plant not subject to authorisation (50 kW – 500 kW) or a small-scale plant (500 kW – 50 MW), the following steps must be taken: 

  • Grid use agreement: The plant operators are entitled to apply for a grid use agreement. Upon receipt of an application, the grid operator is obliged to sign a grid use agreement and send it to the plant operator. The rules and requirements for grid use agreements are the same as for connection agreements (Annex 2, 7.1. Government Decree No. 273/2007 (X.19)). The standard terms of a grid use agreement are set out by law (Annex 2, 8.1. Government Decree No. 273/2007 (X.19)).
  • Export of electricity to the grid: The amount of energy for which the feed-in-tariff can be claimed and the amount that may be exported to the grid are set out in Government Decree No. 273/2007. The procedure and the conditions for the purchase of electricity are set by the Hungarian Energy and Public Utility Regulatory Authority (§ 11 (3) Act No. LXXXVI of 2007). After entering into a grid use agreement, the grid operator is obliged to enable the use of the grid and grant access to the grid to the plant operator by the date stipulated in the grid use agreement (Annex 2, 9.1. Government Decree No. 273/2007 (X.19)). 

Competent authority

Magyar Energetikai és Közműszabályozási Hivatal (MEKH) (Hungarian Energy and Public Utility Regulatory Authority)

Deadlines

Exact deadlines regarding access to the grid are laid down in the statutory provisions on electricity supply (§ 35 (4) Act No. LXXXVI of 2007). The following timelines apply to the use of the grid by micro-plants not subject to authorisation (50 kW - 500 kW) and small-scale plants (500 kW – 50 MW):

  • If a plant operator requests a grid use agreement to be concluded, the grid op-erator shall send a draft agreement to the plant operator within 15 days (Annex 2, 7.1. Government Decree No. 273/2007 (X.19)).
  • If a plant operator proposes amendments to the grid operator's draft use agreements and the grid operator accepts these amendments, the grid operator is obliged to sign the agreement and send it back to the plant operator within 15 days after receipt (Annex 2, 4.2. and 7.1. Government Decree No. 273/2007 (X.19)). 

Obligation to inform

The grid operator is obliged to make sure that access to the grid is transparent (§§ 15, 30 Act No. LXXXVI of 2007). The information to be provided and the content of a draft agreement on use of the grid are defined by law (Annex 2, 2.8.  Government Decree No. 273/2007 (X.19)). 

Priority to renewable energy

  • Priority to renewable energy
  • Non-discrimination

The operators of renewable and waste energy plants as well as combined heat and power plants are entitled to priority use of the grid (§ 35 (3) Act No. LXXXVI of 2007). Furthermore, imported electricity cannot put electricity generated from renewable energy or waste at a disadvantage (§ 36 (1) Letter g) Act No. LXXXVI of 2007).

Curtailment

Curtailment may be applied in the event of grid disturbances and emergencies as set out in the specific legislation. In such a case, a grid use agreement may be limited or even revoked (§ 36 (1) (2) Act No. LXXXVI of 2007). Priority grid use by renewable energy plants shall not be granted if grid stability is at risk (§ 35 (2) Act No. LXXXVI of 2007). There are no further specific provisions on the curtail-ment of renewable generation.  

Distribution of costs

Plant operator

The plant operator shall cover the costs for grid use (§ 142 Act No. LXXXVI of 2007) by paying grid use charges. The grid use charges shall cover the grid operator's costs (§ 142 (6) Act No. LXXXVI of 2007). The composition and application of the grid use charg-es are set out in Decree No. 10/2016. Energy efficiency measures should be considered when assessing the grid use charges  (§ 142 (7) Act No. LXXXVI of 2007).

Hungary

Further information

  • Magyar Energetikai és Közműszabályozási Hivatal (MEKH) - Hungarian Energy and Public Utility Regulatory Authority (HEA)
  • +36 459 7777
  • MEKH website
  • mekh(at)mekh.hu