The Renewable Energy Sources Act (EEG) of 2000 regulates the feed-in, purchase and remuneration of electricity from renewable energy sources. According to this law, energy suppliers and electricity grid operators are obliged to feed in the electricity and to remunerate it in accordance with the law.
Renewable energy sources include photovoltaics, hydropower, wind power and biomass. The level of remuneration was regulated by the state until 2017, but since 2017 it has been determined by tenders. EEG electricity is marketed by the transitional network operators (TSOs) on an electricity exchange. The EEG Act creates, for example, the conditions to test the economic viability of photovoltaic( PV) systems and thereby promotes the development, production and installation of such systems.
The EEG Act sets the share of renewable energies for the coming years. It has developed as a successful instrument for the promotion of renewable energies and has also been adopted in essential points by other countries.