New EV-charging stations mean more obligations for real estate owners

Hogan Lovells
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Hogan Lovells

[co-author: Malte Naumann]

With the votes of the governing coalition, the German Bundestag passed a law on the development of a building-integrated charging and cable infrastructure for electromobility (Gebäude-Elektromobilitätsinfrastruktur-Gesetz – GEIG). The law intends to accelerate the expansion of the charging infrastructure for electric vehicles (EV) in residential and non-residential buildings and to make EVs more attractive. In future, charging points shall be installed or at least the cable infrastructure shall be prepared for the later installation of charging points in new building projects or whenever existing buildings undergo "major renovations" – depending on the number of parking spaces in the respective building. The new law also aims to implement requirements from the EU and transpose the European Directive on the energy performance of buildings (2018/844) into German law. Infringements of the new obligations will be imposed with fines up to EUR 10,000.

Reduce barriers to charging infra-structure

The law is part of a package of measures with the aim of developing and expanding the EV charging infrastructure. To reach this aim, the real estate sector is increas-ingly subject to new rules and obligations. Apartment owners already have the right to demand the consent of their co-owners to the installation of EV charging infra-structure. In case of new constructions and major renovations, the new law re-quires that EV related specifications be met as early as the planning stage.

Distinction between cable infra-structure and charging point

In expanding the charging infrastructure, the new law differentiates between resi-dential and non-residential buildings.

In case of new residential buildings (which also includes nursing homes) with more than five parking spaces in or close to the building, each parking space shall be equipped with cable infrastructure. So, there is no obligation to install charging points or stations. The installation of the infrastructure (in particular the installa-tion of electrical and data cables) is in-tended to simplify the later installation of charging points.

The legal framework is different for non-residential buildings with more than six parking spaces. Only every third parking space shall be equipped with a cable infra-structure. In addition, however, there is an obligation to install at least one charg-ing point per relevant parking lot.

Retrofit obligation for certain reno-vations and for large non-residential buildings

In the future, the charging infrastructure will have to be included in the planning not only for new construction projects. If more than 25 percent of the surface area of the building undergoes a renovation (so-called major renovation) and the parking lot or electrical infrastructure is included in the renovation, the owner is obligated to install charging infrastructure (depending on the use of the building and the number of parking spaces).

For residential buildings with more than ten parking spaces, each parking space shall be provided with cable infrastruc-ture. For non-residential buildings with more than ten parking spaces, the owner must equip every fifth parking space with charging infrastructure and additionally install a charging point.

Regardless of any renovations, all non-residential buildings with more than 20 parking spaces are required to have a charging point installed by the owner from 2025 onwards.

Charging and cable infrastructure in residentials neighborhood

At the end of the legislative process, the Bundestag's Committee on Economic Af-fairs and Energy introduced a decisive detail into the law: The specifications for the installation of cable infrastructure and charging points can also be implemented as neighbourhood solutions. Builders and owners of buildings in the close neighbor-hood can install the necessary charging infrastructure together and based on an agreement that can also include third par-ties (such as energy suppliers).

Future prospects

The Bundestag has already instructed the federal government to evaluate the law in 2023. The main focus will be on how e-mobility, charging infrastructure, grid ca-pacities and costs of connecting house-holds to the grid have developed. In this way, the legislator responds to a major point of criticism, which was recently tak-en up by the second chamber of the par-liament, the Bundesrat. There are already doubts as to whether the network capacity can cover the required additional charg-ing points.

[View source.]

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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