New ‘Nutzen statt Abregeln’ Initiative Puts Excess Renewable Energy to Work with First PtH Unit ‘Karoline’

(IN BRIEF) The Power-to-Heat unit “Karoline” has become the first participant in the newly launched “Nutzen statt Abregeln” program under §13k of the Energy Industry Act. This initiative, designed to minimize renewable energy curtailment and reduce redispatch costs, incentivizes the use of excess electricity in areas with a surplus of green power. Transmission system operator 50Hertz and urban energy supplier Hamburger Energiewerke GmbH have signed a contract to put surplus electricity to work by powering the “Karoline” unit. Activated on 5 March 2025, the unit successfully converted 15 MWh of renewable surplus into green heat. Located in Hamburg’s Karolinen quarter, this 20-MW prequalified unit is part of a broader strategy to relieve grid congestion in designated relief regions. The project, which involves a network of support facilities including those operated by TenneT, is expected to save approximately 4,000 tonnes of CO₂ per year, cut curtailment by 25 GWh annually, and lower redispatch costs by around €800,000 per year. Over the coming year, additional units in the Power-to-Heat, electrolyser, and high-capacity heat pump segments will join this initiative, which is set for a two-year trial phase to refine operational and regulatory models for improved grid stability and renewable energy utilization.

(PRESS RELEASE) BERLIN, 17-Mar-2025 — /EuropaWire/ — The new Power-to-Heat unit, named “Karoline,” marks the inaugural participant in the recently introduced instrument under §13k of the Energy Industry Act (EnWG), known as “Nutzen statt Abregeln” (Use instead of curtail). In a strategic move to combat grid congestion and maximize renewable energy utilization, transmission system operator 50Hertz and urban energy provider Hamburger Energiewerke GmbH have signed a contract to channel excess electricity into productive use.

The instrument was established last year with the goal of reducing the frequency and cost of renewable energy curtailment. As renewable energy production—especially from wind power—has surged, grid congestion has become a recurring challenge, with surplus electricity often going to waste. “Nutzen statt Abregeln” aims to create more favorable conditions by incentivizing increased local electricity consumption in areas where green power is abundant, thereby easing grid congestion and lowering redispatch expenses.

Recognizing the potential in designated “relief regions,” where renewable energy curtailment has historically been high, transmission system operators 50Hertz and TenneT have allowed operators of demand-side facilities such as Power-to-Heat units, electricity storage systems, electrolysers, and high-capacity heat pumps to prequalify for the §13k EnWG scheme. In times of impending grid overload, these facilities are activated to absorb the excess energy, offering participants a benefit in the form of reduced electricity costs—currently set at 4.5 cents per kilowatt-hour.

On 1 March 2025, the first contract under this new mechanism was finalized between 50Hertz and Hamburger Energiewerke GmbH, making the Power-to-Heat unit “Karoline” the first to join the “Nutzen statt Abregeln” initiative. Shortly thereafter, on 5 March at 9 am, the unit was activated and successfully converted 15 megawatt-hours (MWh) of surplus renewable energy into green heat.

Located in Hamburg’s Karolinen quarter, the prequalified 20-MW PtH unit “Karoline” is set to play a crucial role during the heating season by mitigating grid congestion and ensuring efficient use of renewable energy. Originally commissioned in 2018 as a backup for Hamburg’s district heating system, this 45-MW unit is now being deployed commercially during the test phase through a close partnership between the unit’s operators and the distribution and transmission system teams. Its operation is expected to save approximately 4,000 tonnes of CO₂ annually—considering Germany’s average CO₂ emissions per capita are around 10.3 tonnes—and reduce renewable energy curtailment by up to 25 gigawatt-hours (GWh) per year. Moreover, “Karoline” is anticipated to lower redispatch costs, yielding annual savings of roughly €800,000.

Looking ahead, the next unit to be integrated into the §13k test phase is already preparing for activation in one of TenneT’s six designated relief regions. Throughout this year, additional units from the Power-to-Heat, electrolyser, and high-capacity heat pump sectors are expected to join the initiative.

The new “Nutzen statt Abregeln” instrument under §13k of the EnWG will undergo a two-year test phase, during which operational processes and regulatory frameworks will be evaluated. As the program scales up, the insights gained from this trial are expected to inform the final design of the target model, ultimately contributing to more efficient renewable energy use and enhanced grid stability.

More information about the instrument can be found on Netztransparenz.de: Use instead of curtail

About 50Hertz
50Hertz operates the electricity transmission system in the north and east of Germany, which it expands as needed for the energy transition. Our extra high voltage grid has an electrical circuit length of more than 10,000 kilometres, or the distance between Berlin and Rio de Janeiro. The 50Hertz control area covers Brandenburg, Mecklenburg-Western Pomerania, Saxony, Saxony-Anhalt, and Thuringia, as well as the city states of Berlin and Hamburg. Within these regions, 50Hertz and its around 2,100 employees ensure that 18 million people are supplied with electricity around the clock. 50Hertz is a forerunner in the field of secure integration of renewable energy. In our grid area, we want to integrate 100 percent renewable energies securely into the grid and system by 2032 – calculated over the year. That is how we supply affordable energy for a strong economy. The shareholders of 50Hertz are the Belgian holding Elia Group (80 percent), which is listed on the stock exchange, and the KfW bank group with 20 percent. As a European TSO, 50Hertz is a member of the European Network of Transmission System Operators for Electricity (ENTSO-E).

About TenneT
TenneT Germany is the largest transmission grid operator in Germany (based on grid length as of 31 December 2024). The company operates critical infrastructure that secures access to a reliable, sustainable and affordable electricity supply. TenneT Germany has over 5,000 employees (internal and external) and is one of the largest investors in electricity grids on land and at sea in Germany. Located at the Northwest European energy crossroads, TenneT Germany connects: North and South. Offshore and Onshore. Germany and Europe. Its growth is driven by the rapidly evolving electricity demand that requires a flexible and growing grid architecture. TenneT Germany is part of TenneT Group, the European leader in cross-border grid development and pioneer in linking mainland Europe to one of the world’s largest renewable energy sources, the North Sea.

New ‘Nutzen statt Abregeln’ Initiative Puts Excess Renewable Energy to Work with First PtH Unit ‘Karoline’

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