7 min read<\/p>\n
In late 2025, the Federal Network Agency (Bundesnetzagentur) confirmed: Germany has reached the nationwide legal requirement of a 20 percent smart meter rollout. The total stands at exactly 20.2 percent\u2014but the BNetzA has initiated enforcement proceedings against 77 grid operators due to insufficient rollout progress. Smaller network operators with fewer than 30,000 metering points are averaging just 8.2 percent. Stadtwerke Bernau demonstrates how a hybrid approach\u2014starting externally and scaling internally\u2014can succeed.<\/strong><\/p>\n The Metering Point Operation Act sets a clear roadmap: by the end of 2025, 20 percent of mandatory installations must be equipped with intelligent metering systems. In February 2026, the Federal Network Agency published its assessment\u2014and the results are mixed. The 20.2 percent threshold has been met, formally achieving the first legislative milestone. Yet the aggregated figure masks a structural imbalance between large and small grid operators\u2014one that is expected to deepen in the coming years.<\/p>\n Grid operators with more than 500,000 metering points average around 25 percent\u2014surpassing the requirement and already advancing to the next phase. Mid-sized operators are close to the 20 percent mark. Small operators with fewer than 30,000 metering points (over 600 nationwide) reach only 8.2 percent on average. The gap is now wider than ever since the rollout began.<\/p>\n The Federal Network Agency has responded decisively, launching enforcement proceedings against 77 grid operators where, according to its data, no significant rollout has taken place. Among those named are Netzgesellschaft Potsdam GmbH at 9.8 percent, TWL Netze GmbH in Ludwigshafen at 11.2 percent, Netze Duisburg GmbH at 11.4 percent, and N\u00fcrnberger N-ERGIE Netz GmbH at 13.1 percent. Formal warnings with potential fines have already been issued. For the affected municipal utilities, 2026 will no longer be a planning year\u2014but a year of enforcement sprint.<\/p>\n Bernau is situated on the northern edge of Berlin\u2019s \u201cbacon belt\u201d, and the municipal utilities supply roughly 40,000 residents with electricity, gas, water and heat. In the BNetzA statistics they are classified as a small grid operator. Nevertheless, the utilities have met the mandatory quota by the end of 2025 \u2013 thanks to a clear two\u2011stage approach that can serve as a blueprint for other small operators.<\/p>\n In the first phase, 2024 to 2025, Bernau relied on an external service provider for the installations. About 300 smart metering systems were therefore installed within the legal deadline. The external route was necessary because internal capacity would not have been sufficient to deliver the quota on time. At the breaking point between planning certainty and speed, choosing the service partner proved the right move \u2013 even though it meant higher unit costs than a purely internal handling.<\/p>\n For 2026 the utility has shifted its strategy. By hiring J\u00fcrgen Weber as a permanently employed meter installer, Bernau will handle the installations entirely in\u2011house from now on. A further 500 metering systems are planned for the current year. The reasons for the switch are greater flexibility in scheduling, reduced reliance on external capacity, and leaner processes through close integration with its own customer service. According to the utility\u2019s calculations, the investment in the in\u2011house position pays for itself already in the first year thanks to saved service\u2011provider margins.<\/p>\n Fabian Schultz, head of the market and service division at Bernau Municipal Utilities, summed up the situation in a statement from March 2026: the smart\u2011meter rollout is a challenging project for many metering point operators. The wording is defensive yet honest \u2013 it reflects the reality of hundreds of small utilities that all have to meet the same obligation without the resources of a hyperscaler.<\/p>\n The gap between 25 percent for large operators and 8.2 percent for small ones isn\u2019t about reluctance\u2014it\u2019s about structural differences that can\u2019t simply be negotiated away. Three key factors come into play.<\/p>\n Sources: BNetzA quarterly surveys, BDEW Smart Meter Rollout Info Day 2026, Stadt-und-Werk industry analysis<\/p>\n The first factor is simple math: an operator with 20,000 metering points needs to install around 4,000 devices to meet the 20-percent target. An external team manages 30 to 60 installations per week. That\u2019s 70 to 130 weeks of fieldwork\u2014two to three years. Those who started late can\u2019t catch up without buying external capacity, and by 2026, that\u2019s become scarce as all small operators compete for the same service providers.<\/p>\n The second factor is IT integration. Smart metering systems must connect to a BSI-certified gateway. Data sharing with metering point operators, suppliers, grid operators, and distribution system operators runs through standardized interfaces defined in the EDI@Energy specification. Small municipal utilities rarely have in-house teams for this integration, so they either purchase complete packages or rely on industry software like Schleupen CS.MW or Kisters BelVis. Both work, but they come with licensing fees and integration effort.<\/p>\n Source: Bundesnetzagentur quarterly smart metering system survey, February 2026<\/p>\n The third factor is customer communication. A smart meter is installed in a home or apartment\u2014the customer must accept appointments, grant access, and understand the new technology. Large grid operators have call centers, online booking, and automated reminder systems. Small municipal utilities often still rely on letters and phone follow-ups. That costs appointments, follow-ups, and time per installation. In short, it explains the quota gap better than any tool debate ever could.<\/p>\n Bernau demonstrates a model that\u2019s realistic for many small municipal utilities: begin with external service providers to meet the mandatory rollout targets, then gradually build internal capacity for the next expansion phase. The advantage is clear\u2014initial costs remain financially predictable, and the risk of missing quota deadlines is mitigated by the service partner. Once in-house expertise is established, per-unit costs drop significantly.<\/p>\n Operationally, however, the transition involves more than just adding a new role to the organizational chart. The in-house technician requires training on BSI-certified gateways, access to the utility\u2019s rollout management system, integration with billing and market communication systems, and thorough documentation for every installation\u2014securely archived to meet BSI audit requirements. Bernau factored in these operational demands alongside building its technician team. IT integration was coordinated with the existing metering point operator service provider.<\/p>\n For customer outreach, Bernau plans to offer voluntary installations starting Q2 2026 for households with annual consumption of at least 3,000 kilowatt-hours. A one-time fee of 100 Euro applies, and customers can request installation via a simple online form on the utility\u2019s website. This delivers two benefits at once: additional rollout volume toward the next BNetzA quota and stronger customer engagement through a visible digitalization initiative. While Bernau didn\u2019t invent this model, its clean execution within the small network operator segment is rare.<\/p>\n Parallel to ongoing rollout implementation, lawmakers are preparing an update to the Metering Point Operation Act as part of the broader Energiewirtschaftsgesetz (EnWG) amendment. Details will be discussed at the BDEW Smart Meter Rollout 2026 information day. The key direction is clear: stricter requirements for market communication, new data transmission rules for Redispatch 2.0 processes, and more consistent implementation of dynamic tariff models under Section 41a EnWG.<\/p>\n For small municipal utilities, this means the one-time smart meter installation is not the end of compliance obligations. New data formats must be supported in-house billing software, and communication with market partners must shift to the updated EDI@Energy specifications. IT systems must provide real-time interfaces to balancing group managers. This is less a rollout challenge than an architectural one\u2014and the impact will be harder on smaller, less IT-integrated utilities.<\/p>\n The Bernau case and the comparison with the 77 operators under BNetzA proceedings yield six concrete recommendations for small municipal utilities that must push ahead with their rollout in 2026 and 2027:<\/p>\n For small municipal utilities, the smart meter rollout isn\u2019t a technical challenge\u2014it\u2019s an organizational test. The technology is standardized, gateways are certified, and installation processes are well-established. What sets utilities apart is their ability to plan resources, engage service providers on time, and integrate IT in parallel with field operations. Stadtwerke Bernau has shown that even starting with just 300 devices in the first phase works\u2014if the second phase is planned from the outset.<\/p>\n For the 77 grid operators currently under BNetzA proceedings, the options are clear. Within the next few months, they must present a robust rollout plan that credibly demonstrates how they\u2019ll close the quota gap by the end of 2026. Those who succeed avoid fines. Those who don\u2019t pay not only financially but also lose trust with customers and regulators. The roadmap for 2026 and 2027 leaves no room for error.<\/p>\nKey Takeaways<\/h2>\n
\n
The BNetzA Balance Sheet at End-2025: 20.2 Percent and 77 Open Proceedings<\/h2>\n
Bernau Municipal Utilities: How the Mandatory Quota Was Achieved<\/h2>\n
Why small grid operators are lagging behind<\/h2>\n
\n\n
\n \nCriteria<\/th>\n Large grid operators (>500k)<\/th>\n Small grid operators (<30k)<\/th>\n<\/tr>\n<\/thead>\n \n Average rollout rate by end of 2025<\/td>\n 25 %<\/td>\n 8.2 %<\/td>\n<\/tr>\n \n Typical installation setup<\/td>\n In-house installation teams plus subcontractors<\/td>\n External service providers, sometimes 1-2 internal staff<\/td>\n<\/tr>\n \n IT integration depth<\/td>\n SAP IS-U or Schleupen CS.MW, own BSI-TR certification<\/td>\n Service-provider-based, standard modules<\/td>\n<\/tr>\n \n Average unit cost per installation<\/td>\n 120 to 150 Euro (economies of scale)<\/td>\n 180 to 240 Euro (service margins)<\/td>\n<\/tr>\n \n Scalability under sudden demand pressure<\/td>\n High (multiple teams can work in parallel)<\/td>\n Low (few installers or external backlogs)<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n The Hybrid Approach: Start External, Scale In-House<\/h2>\n
2026: How the EnWG Amendment Will Affect Municipal Utilities<\/h2>\n
Six Lessons for Other Municipal Utilities<\/h2>\n
\n
Conclusion<\/h2>\n