DGAP-News

2G Energy AG supports coming into force of 2016 amendment to German Combined Heat and Power Generation Act (KWKG)

DGAP-News: 2G Energy AG / Key word(s): Statement
2G Energy AG supports coming into force of 2016 amendment to German Combined
Heat and Power Generation Act (KWKG)

12.01.2016 / 08:00
The issuer is solely responsible for the content of this announcement.

---------------------------------------------------------------------------

- Management Board identifies impulses for further CHP expansion in
Germany

- Contracting models becoming more attractive

- 2G expands CHP information offering with CHP Journal, image film and
new brochures

Heek, 12 January 2016 - 2G Energy AG (ISIN DE000A0HL8N9), one of the
internationally leading manufacturers of gas driven combined heat and power
(CHP) systems, supports the approval of the 2016 amendment to the German
Combined Heat and Power Generation Act (KWKG). This legislation restores
the requisite legal and investment security to Germany's CHP sector, and
creates the possibilities to further boost CHP systems' share of total
electricity and heating supplies - given the deployment of appropriate
concepts and products. The KWKG essentially creates opportunities for 2G.
With its technologically leading and highly efficient CHP systems and
products relating to service, utilization optimization in electricity
purchasing, as well as rent and lease options, the new conditions enable 2G
to offer economically attractive solutions to energy utilities and
contractors, as well as to industrial and commercial operations that wish
to supply themselves.

Growing support for CHP electricity fed into grid
As planned, the KWKG 2016 came into force on January 1, 2016, and reflects
the German government's paradigm shift towards the "Electricity Market
2.0", which aims to ensure in an environment with high proportions of
renewable energies, a secure price-efficient and environmentally-compatible
electricity supply, encompassing amongst others further development of
load-balancing markets, free price formation and transparency. The KWKG
bolsters the feed-in of electricity into the public grid through higher
compensation rates (dependent of the respective performance category - see
table below), introducing mandatory direct marketing for systems from 100
kW from 2016. Both of these instruments will help to better integrate CHP
systems into the demand-led electricity market via energy supply companies
and municipal utilities.

Contracting models becoming more economically attractive
The amendment to the KWKG offers economic opportunities again for energy
contractors that supply CHP generated electricity locally within client