29. October 2025
For the first time, a joint study by SMIGHT and the HORIZONTE Group analyzes the most economical strategy for implementing Section 14a of the German Energy Industry Act (EnWG). Based on the VDE FNN recommendation, various strategies for determining the network status were compared: from pure calculation via intelligent metering systems (iMSys) to direct measurement in local network stations. The result: the differences in total costs are considerable, and the use of station measurement technology makes the most economic sense in almost all scenarios. A purely iMSys-based approach, on the other hand, can lead to a fourfold increase in costs.
Distribution network operators are faced with the challenge of implementing the requirements of Section 14a of the German Energy Industry Act (EnWG) as economically as possible. Although the legal framework has been established, there has been no objective, comprehensive cost analysis of the various implementation options to date. Many network operators are therefore wondering which strategy makes economic sense and is best suited to their network.
Assessment premises of the study
For the economic analysis, a distribution network operator was modeled over a period of eight years: with 1,000 local network stations, seven outputs per station, and a total of 210,000 metering points.
Both supporting data from operating resources and minute-by-minute iMSys data are required for congestion detection. According to the VDE FNN recommendation, the more measurement data available directly from local network stations, the less cost-intensive TAF-10 data from smart metering systems needs to be provided additionally.
The economic optimum is therefore determined by the interaction between the investment and operating costs of the station measurement technology on the one hand and the running costs for the provision and processing of TAF-10 data on the other.
Results of the analysis
The analysis shows significant cost differences between the scenarios examined (Fig. 1). This is particularly evident in the example of a radial network: if outgoing measurements with TAF-10 data from 15 percent of the measuring points are combined for bottleneck detection, the total costs over 8 years amount to around 13 million euros. A completely iMSys-based approach, on the other hand, increases the costs to around €49 million (Fig. 2).
All three network types defined by FNN were examined: radial networks, meshed and closely meshed structures. The results show a largely consistent picture. Only in closely meshed networks does the actual mandatory rollout rate of iMSys determine economic efficiency. If the rate falls below 30 percent, station measurement is clearly preferable here as well.
Conclusion
The study clearly shows that the use of measurement technology in local network stations is the most economically viable option in most scenarios. A purely iMSys-based approach can result in costs that are up to four times higher in some cases, despite the mandatory rollout.
“Since measurement technology is required for §14a anyway, it is only logical to follow option 2 of the VDE FNN recommendation and first identify bottlenecks through measurements,” recommends Oliver Deuschle, Managing Director of SMIGHT GmbH.
In addition, station measurement technology allows the network status to be determined more quickly than with an approach based heavily on iMSys, as fewer operating resources are affected and these are directly accessible to the network operator.
“Station measurement technology not only enables cost-effective implementation of Section 14a of the German Energy Industry Act (EnWG), but also generates reliable data for grid operation, planning, and future applications,” adds Tobias Linnenberg, manager at the HORIZONTE Group. “Station measurement technology is therefore indispensable for cost-optimized load management in accordance with Section 14a EnWG – a result that, I must admit, surprised me somewhat in its clarity.”