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"From the roof to the socket" - that is multi tenant self consumption. On the roof of a multi tenant building or commercial property, a photovoltaic system (hereafter: PV system) converts sunlight into cheap electricity and delivers it to the tenants on site. The trick is that the landlord does not suddenly have to transform himself into a licensed energy supplier liable for business tax, but simply engages third parties to take on the role of energy supplier. If the sun does not shine, they supply residual electricity from the grid.

Following the introduction of the subsidy law of the same name in mid-2017, the term mutli tenant self consumption (in German: "Mieterstrom") has become increasingly popular. However, it is not self-explanatory. Multi tenant self consumption means: electricity is generated on site in multi tenant buildings by means of photovoltaic systems or combined heat and power units and is largely consumed directly by the end users of the property. The end users can be both private households and companies.

Around 70% of the total of 18 million residential buildings in Germany were built before 1979, i.e. at a time when there were no or extremely low energy efficiency requirements. According to a study by the Institute for Living and the Environment, 25-30% of these existing buildings have been modernized. As a result, nearly 9 million residential properties in Germany have not yet been upgraded, or have been upgraded only slightly in terms of energy efficiency.