Overloaded Dutch power grid delays new homes, raising costs and wait times
The housing sector warns of delays and extra costs as more new homes cannot get an immediate connection to the overloaded power grid. As a result, housing association federation Aedes fears house-hunters may have to wait longer for a home as a result.
There is no capacity on the electricity grid for hundreds of thousands of connection requests for newly built homes, Netbeheer Nederland reported earlier. The Dutch grid has been congested for some time, but this year the number of applications has also reached a record high.
”Housing associations are investing today in projects that will not deliver new homes for several years,” Aedes said. “At the same time, projects already under way have received substantial investment, yet still lack certainty about a grid connection. If that certainty does not materialize, delays loom, costs rise, and people looking for a home will have to wait longer for an affordable place to live.”
Homeowners’ association Vereniging Eiden Huis (VEH) noted that buyers are left with uncertainty. “They have a right to clarity. They will sometimes face extra costs - a planned move, storage, or temporary housing to bridge the delay if they have already left their old home. Many contracts entitle the buyer to compensation if the home is not delivered within the agreed construction period, but it still creates a great deal of extra stress and uncertainty.”
“If uncertainty about a grid connection persists for a large share of registered projects, grid congestion will become a further brake on housebuilding,” the homeowners’ group warned. The Netherlands aims to add nearly 100,000 new homes in 2027. In July, according to research commissioned by the Ministry of Housing, the country was said to be on track. However, analysts also warned at the time that the surge in construction will likely be temporary.
Smart solutions such as neighborhood batteries could ease the pressure. High costs, however, are limiting the use, NVM said.