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3761046

European Conference on Green Power Marketing 6 and 7 October 2005, Berlin

Green power in Switzerland

Current private and public measures

By Michael Kaufmann, Head of the SwissEnergy program and Deputy Director of the Swiss Federal Office of Energy (SFOE)

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Electricity production in Switzerland in 2004 by power plant category, in %

Conventional thermal and other power plants

Nuclear power plants

Run-of-river power plants

Storage power plants

Source: 2004 Swiss electricity statistics

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2004 Swiss end energy consumption with proportion of renewable energy

Total 877‘290 TJ

Renewable proportion from waste**

6.79%

* total renewable electricity consumption

** end consumption of renewable heat

Non-renewable energy 83.48%

Renewable energy 16.52%

732‘312 TJ

144‘978 TJ

Electricity*

72.37%

Environmental heat**

3.56%

Wood and charcoal**

15.54%

Solar energy**

0.67%

Biogas**

1.02%

Hydropower 70.37%

Solar energy 0.03%

Biomass 0.30%

Wood 0.06%

Wind 0.01%

Waste 1.60%

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Ecological long-term potentials (GWh/a)

Heat Electricity Fuels

90,000 80,000 70,000 60,000 50,000 40,000 30,000 20,000 10,000 0

Solar energy

Wood

Biomass

Environmental heat

Geothermal energy

Solar energy

Wood

Biomass

Small-scale hydropower Geothermal energy

Wind energy

Biomass

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003747627

Promotion models of the Federal Council: Energy Act + Electricity Supply Act

Requests for tenders:

„Renewables“ 1) (new facilities)

• Improvement of hydropower and waste incineration plants (increased production from existing facilities)

Art. 7 Energy Act: (existing and new facilities)

15 cents per kWh for „renewables“ 1), hydropower <1MW

• Market rate for „other“ energy carriers, including waste incineration plants, etc.

• From 2005: financing of additional costs via transmission network and certificates of origin (for trading)

Cost-based input remuneration

or

Quotas + certificates

Now possibly 2012

1) solar, wind, geothermal, wood, biogas

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„Input remuneration“

model

For new renewables + cap, 0.3 cts per kWh + one technology max. 50%

As per Federal Council

If target not met:

„Input remuneration“

model

If target not met:

„Quotas“ model

„Requestfor tenders Requestfor tenders“ „Requestfor tenders“

7a

Variants

e.g. + cap 0.2 (0.3) cents per kWh e.g. + 40% hydropower /

60% new renewables

e.g. + optional „Input remuneration“

model for small-scale producers

7a

If target not met:

Referral to Parliament Measures not yet defined

7b

7c

+ „Input remuneration“ modelfornewrenewables

7b 7c

Funds

„Request for tenders“ model, approx. 110 Mio p.a.

(e.g. according to Association of Swiss Electricity Producers)

Funds

„Request for tenders“ model

(hydropower, efficiency programmes ea. approx. 10 million p.a.)

Capping max. = 165 million p.a.

Funds

Tenders phase, 110 to 165 million p.a., depending on capping

Federal Council, 3.12.04 Majority, CESDE NC Minorities, CESDE NC

Previous Article 7 ("15-cents clause") remains in effect (including for hydropower up to 1 MW)

Proportion of imports of renewable energy: e.g. 10%

7a

Tenders for hydropower

+ efficiency programmes + geothermal energy (sureties)

Target:increase prop. of renewable

energy from 67 to 77% Target: 5,400 GWh Target: 5,000 – 5,400 GWh

„Request for tenders“

model Target: 67 -> 77%

of cunsumption

Subsidiary instruments

Promotion of green power in the Electricity Supply Act: variants

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The „15-Cent-Scheme“

Feed-in-tariffs for all independent suppliers:

• Additional costs for supply companies are overtaken by high-tension grid (national grid-company) and paid by all consumers.

• For new renewable (solar, geothermic, wind, biomass) at the costs of similar electricity out of native production. 15 cents (CHF) as an average for new plants, 16 cents for plants constructed between 1992 und

1999.

• 15 cents for small hydropower as far as the production capacity of 1 MW, can be reduced depending on real production costs.

• For waste incineration, fossil and large hydropower plants feed-in- tariff is based on the marked-based purchase price (+- 6-9 cents).

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Electricity production (excluding hydropower)

Production in GWh -SwissEnergy target curve

solar energy biomass wind energy

recycable waste

recycable sewage

Electricity production (excluding hydropower)

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003747101 3761046

Cost-based input remuneration

Remuneration (cents per kWh)

Costs, reference facility (technology x)

Definition of technologies to be promoted: capacities, predictions concerning future costs and technological progress

Reduction curve and duration of remuneration

Questions: added ecological value, reserve energy and capacities, costs of network connection and expansion, possibility of upper threshold for additional costs per technology (= allocating quotas)

Facility 1 Facility 2

Facility 3 usw.

Reduction curve

Years

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Distribution of sold green power differentiated by 2004 electricity production

No. of suppliers No. of subscribers GWh

Solar power 151 29,400 6.0

Wind power 77 1,950 4.3

Hydropower 395 250,700 2,367.1

Mixed products 294 51,900 130.9

Total 334,100 2,508.3

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Labelling requirement Example

Supplier: EVU ABC

Contact: www.EVU-ABC.ch; ph. 044-111 22 33 Product: "ABC-Hydro"

Year: 2005

in % Total From Switzerland Total From Switzerland

Renewable energy 50.0% 40.0% 100.0% 100.0%

Hydropower 50.0% 40.0% 100.0% 100.0%

Other sources 0.0% 0.0% 0.0% 0.0%

Non-renewable energy 45.0% 30.0% 0.0% 0.0%

Nuclear energy 45.0% 30.0% 0.0% 0.0%

Fossil fuels 0.0% 0.0% 0.0% 0.0%

Waste 2.0% 2.0% 0.0% 0.0%

Non-verifiable sources 3.0% - 0.0% -

Total 100.0% 72.0% 100.0% 100.0%

10 cm

7 cm

Electricity label

The electricity supplied to our customers has been produced as follows: "ABC-Hydro" has been produced as follows:

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Solar plant on the roof of the new national football stadium in Berne

(the biggest solar plant of Switzerland with the capacity of 1200 kW)

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www.naturemade.ch

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