Does your own energy generation plant produce so much electricity that you would like to make it available to neighbours or interested acquaintances in the community? With a local energy community (LEC), you can do just that. Find out more about the latest way to distribute the energy you generate using the existing power grid.
How does a local electricity community (LEC) work?
With a legal entity, electricity from energy generation plants, such as a photovoltaic system, can be distributed to third parties (end consumers) via the local distribution grid .
Until now, self-produced electricity could be consumed in-house (own consumption) or fed directly into the distribution grid. With a group for own consumption (PCA), several end consumers can be grouped together, but always provided that the distribution grid is not used.
With a LEC, self-produced electricity can now also be made available to third parties via the distribution grid.
The advantages of a LEC
- With a LEC, the self-produced electricity from the energy generation system can be distributed to third parties using the existing local distribution grid.
- The electricity not consumed by the owner of the energy generation system does not necessarily have to be returned to a grid operator, but can first be used in the LEC.
- Your roof is unsuitable for a photovoltaic system or you don't have the option of installing one? But you still want to use local, renewable electricity? This is no longer a problem with participation in a LEC.
- You will continue to receive a bill from Primeo Energie. A service provider may need to be called in only for the LEC electricity, i.e. the electricity sold in the community.
- For the amount of «LEC electricity», i.e. self-generated electricity that is distributed in the community, there is a discount on the tariffs for using the electricity grid.
- This ‘LEC electricity’ or ‘internal electricity’ can be sold to participants within the LEC. There are no requirements with regard to pricing; this can be agreed by the LEC participants in compliance with civil law.
- Thanks to the use of the facilities of the local distribution grid operator, no major adjustments to the metering equipment are necessary. It is simply important that a smart meter is installed.
When is the formation of a LEC possible?
Due to the fact that the federal ordinance has not yet been fully defined, it is not yet possible to implement a LEC. The expected introduction is currently dated 1 January 2026.
At present, the ordinance with the details of a LEC is expected in the first half of 2025. We will provide information on this page as soon as new information is available.
Frequently asked questions
- Grid area: All participants in a distribution grid level must be in the same grid area.
- Grid levels: The distribution grid is divided into different grid levels. Only grid levels 7 (GL7 – generally trade, small industry and households) and 5 (GL5 – generally industry) may be used to form a distribution grid level.
All participants must be at the same grid level. This means that, as far as we know, it is not possible to mix grid levels within a local energy group: it is likely that only NE5 and NE5, and NE7 and NE7 will be allowed to join together to form a local energy group. - Municipality: A local energy group
- Capacity ratio: The minimum capacity of all generation plants in relation to the connected loads of all participating end users is 20 per cent.
Any natural or legal person can join forces with another to form a legal entity. This means that consumers, prosumers, operators of renewable energy systems and storage operators can form a legal entity, provided that they comply with the applicable laws and ordinances.
As with a merger for own consumption (PCA), you don't have to worry about this with a LEC either. The community's surplus energy can be sold on the electricity market or simply given to the distribution system operator (the current tariffs of the respective customer apply).
Yes, this will be possible in the future. The surplus energy from the centralised energy supply will then be made available to the decentralised energy supply. Whatever is left over will be fed into the distribution grid as before.
Due to the fact that the regulation has not yet been fully defined, it is not currently possible to register officially. We will keep you informed on this page as soon as there is any news.
- Administrative hurdles: Setting up a LEC or similar communities requires legal and administrative preparations.
- Financial burden: Initial investments in generation and storage facilities can be high. However, possible contracting solutions can help here.
- Complex billing: Billing for electricity consumption within the community (LEG electricity) can be organisationally demanding.
