At a press conference on 1 March 2018, Luxembourg's Deputy Prime Minister and Minister of the Economy, Étienne Schneider, presented new measures promoting the development of an Energy Internet, self-consumption of electricity and the development of renewable energies, in line with the Third Industrial Revolution strategy.
The decentralisation of electricity production on the basis of renewable energies, as well as the digitisation of the electricity markets, are important energy issues. In line with these challenges, on 21 February 2018 the Government Cabinet adopted a draft law amending the legislation in the field of electricity. For the first time in Luxembourg, the planned adaptions introduce legislation for the concept of individual self-consumption, as well as that of collective self-consumption within an energy community.
The role of the simple consumer of electricity is changing, towards a more active role, that of the "prosumer", which is part of the Rifkin strategy of the third industrial revolution. The provisions of the bill in question provide the opportunity for individuals and energy communities to consume some of their own electricity, produced with their photovoltaic system. Until now the owners of photovoltaic panels generally resell all the electricity produced to the grid operator, benefiting from injection rates higher than the price at which they buy the electricity for their own consumption.
In line with the principles of the "sharing economy", the adaptation of electricity legislation also provides for the sharing of electricity produced with other users in the context of collective self-consumption within an energy network / community that can consist of the inhabitants of a street or a neighbourhood, as well as people living more distant from each other. Electricity produced with low power production facilities and self-consumed, individually or collectively, will also be exempt from electricity tax.
Minister Schneider also presented a new measure specifically encouraging the production of photovoltaic energy and contributing significantly to national energy objectives: these are calls for tenders for the installation of photovoltaic installations of size. The first call for tenders was published on 24 February 2018, targeting both companies and individuals. Individuals (natural or legal) may submit their offers concerning the installation of photovoltaic panels with a minimum power of 500 kW on an industrial site or on an impervious surface (roof of a building or parking lot for example) until 31 August 2018 at the latest. Tenders will have to indicate the amount of support for the photovoltaic energy production requested for the envisaged photovoltaic installation. The offer at the best price will then be selected and the installation must be carried out within 18 months after the award.
Minister Schneider, said: "We are moving forward concretely on the transposition of the Rifkin strategy of third industrial revolution. By providing a legal basis for the creation of the energy Internet and the self-consumption of the energy produced, we are preparing the energy future of the country. Thanks to the creation of large photovoltaic projects, Luxembourg will reach its national targets for renewable energies set for 2020, i.e. 11% of renewable energies in final energy consumption."
