Integrated Interim Report 2019 – Germany needs a strong rail system

Development of business units

DB Netze Energy business unit

General framework

BGH confirms the method to determine the equity yield rate in energy grids

On July 9, the German Federal Supreme Court (Bundesgerichtshof; BGH) approved the reduction of equity yield rates for operators of electricity networks by BNetzA and thus canceled the decision of the Düsseldorf Higher Regional Court (Oberlandsgericht; OLG). The OLG had criticized the BNetzA regarding the calculation of the equity yield rate, as it allegedly did not adequately take capital market specifics into account. For DB Netze Energy, the decision of the BGH means that for the duration of the third regulation period from 2019 to 2023, an equity yield rate of 6.91% applies for new systems and 5.12% for old systems. As a result the equity yield rate has been significantly reduced compared to the second regulation period (9.05% for new and 7.14% for old systems).