blokkostenzones

Blokkostenzones, also known as block cost zones, are a system of dividing energy production costs in the Netherlands. Under this system, energy producers are grouped into zones, each of which bears the costs of a portion of the country's energy production. The zones are created by the Dutch Ministry of Economic Affairs and Climate Policy, in consultation with the energy sector.

The zone system aims to provide a fair distribution of the costs associated with power plant maintenance, decommissioning, and other forms of energy production investment. Each zone is responsible for covering a portion of the degression amount, which is the decrease in costs over time that is associated with the phase-out of coal and other non-renewable energy sources.

There are three types of zone systems: a phase-out zone, a redundancy zone, and a backup zone. The phase-out zone contains the newest power plants, and its costs are passed on to current energy consumers through an additional biomass consumption charge. The redundancy zone contains power plants that will be decommissioned in the near future, and its costs are covered by the phase-out zone. The backup zone contains plants that will remain operational beyond 2030, and its costs are proportionally distributed between the phase-out and redundancy zones.

The zone system also allows for the creation of a knowledge and cooperation center, where companies can cooperate and share knowledge. This approach is part of the Dutch policy to reduce greenhouse gas emissions and promote the use of renewable energy. As of 2022, the system is still in development and is being refined to improve its effectiveness.