This figure is up from €880 million in 2016 and a previous high of €1.1 billion in 2015.
About 10,200GWh was curtailed and approximately 10,238GWh of reserve power was ordered to stabilise the grid, the BNA stated.
Redispatch costs increased in 2017 as Europe experienced a continent-wide cold spell in the first quarter of the year placing a strain on the German grid.
Furthermore, preliminary data suggested wind power supplied more power to the grid than it had in previous years, the BNA stated. Transmission system operator (TSO) Tennet released data in April that showed wind generated 100TWh in Germany in 2017, up from 76TWh the previous year.
The BNA stated that stabilisation costs could have been higher without the commissioning of a 380kV south-west interconnector, the Thuringian Power Bridge, in September.
President of the BNA Jochen Homann added that only network expansion could reduce the cost of stabilising the grid.