Energy Policy This is how Axpo positions itself on energy policy issues

There are no valid methodological reasons for switching to an experimental method for calculating the WACC for grid installations and plants for the generation of renewable energy. The low individual consumer savings are offset by uncertainties that may lead to further interventions and inhibit investments.

The blanket decree is a necessary but not sufficient step on the way to a renewable energy future. Axpo supports this compromise. Unfortunately, the amendment to the Spatial Planning Ordinance does not create the necessary conditions for achieving the energy policy objectives.

Axpo welcomes the adaptation of the FMIA to the development of international standards. In order to ensure equivalence and avoid distortions of competition, divergent regulations should be harmonized in all areas.

Axpo is supporting the Act on a Secure Electricity Supply from Renewable Energy Sources and considers it to be an important - even if not sufficient - step towards a secure electricity future. However, the planned implementation of the Electricity Act is problematic and is unlikely to help achieve the objectives defined in the Act. The proposed amendments to the ordinance do not create the necessary legal and planning certainty and in some cases even worsen the investment climate.

The amendment to the Electricity Supply Act is intended to limit the economic risks of companies in the electricity industry that are deemed systemically important as a result of exceptional market situations. The far-reaching requirements are internationally unprecedented and give the impression that all conceivable risks can be avoided. Targeted regulation should focus on the existence of appropriate risk management and apply to all relevant market participants for reasons of equal treatment.

The amendment to the Electricity Supply Act creates the legal basis for the participation of reserve power plants, emergency power groups and CHP plants - in addition to hydropower plants - in the electricity reserve. Because further plants are to be contracted to replace the temporary reserve power plant in Birr after 2026 and the necessary project planning work must begin quickly, compensation is provided for the project developers in the event that the bill fails politically. Axpo welcomes this provision, but because of the urgency of the necessary project planning work, is also in favour of compensation in the event that prospective permits are ultimately not granted. Axpo is critical of the promotion of CHP plants, which is also provided for in the bill, because the plants are unsuitable as supplementary reserve power plants and existing incentive measures to reduce emissions would thus be weakened.

This law on screening foreign direct investment is intended to prevent the takeover of Swiss companies by foreign investors if it would threaten public order or security. Accordingly, the State Secretariat for Economic Affairs will have the authority to screen and approve takeovers. Axpo objects to this draft legislation. It is unclear how requiring authorisation for foreign investment in critical energy supply infrastructure will prevent a threat to public order and security.  

Axpo welcomes the introduction of a hydropower reserve to avoid shortages, which are especially prevalent at the end of winter. However, the roles and responsibilities of the various stakeholders must be clearly defined and distinguished. All substantive decisions must be made by ElCom, with Swissgrid acting only as an implementer. In addition, the obligations of power plant operators to provide information must be limited to the minimum necessary.