Cost-covering feed-in tariff (Switzerland)
The cost-covering feed-in tariff ( KEV ) is a Swiss funding instrument for electricity production from renewable energies . Since January 1, 2009, producers of electricity from wind , small hydropower , biomass , photovoltaics or geothermal energy have been compensated with a guaranteed tariff for the electricity fed into the grid, unless they are on a long waiting list due to the cap .
Basics and principle
The KEV was introduced in Switzerland on January 1, 2009 through a corresponding amendment to the Energy Act (EnG) of June 26, 1998. The aim of this was to make the energy supply safe, efficient and environmentally friendly. On January 1, 2018, the new Energy Act of September 30, 2016 came into force. In principle, this pursues goals similar to those of the earlier Energy Act. The law is intended to contribute to a sufficient, diversified, safe, economical and environmentally friendly energy supply. In particular, an expansion of the production of electricity from renewable energies, with the exception of hydropower, should be sought so that the average domestic production in 2020 will be at least 4,400 GWh and in 2035 at least 11,400 GWh. The new energy law still provides for a KEV or a feed-in tariff system (EVS), as the instrument is now called. However, this funding instrument is now limited in time: systems can only be added to the KEV funding system until the end of 2022, and these must be new systems. Furthermore, with the exception of biomass plants, the payment period will be reduced from 20 to 15 years. Operators of systems with an output of 500 kW or more that already receive KEV and operators of systems that are newly included in the funding system will continue to receive the KEV for the intended remuneration period, but they will have their own electricity from January 1, 2020 at the latest market. In addition, photovoltaic systems with an output of less than 100 kW cannot apply for a KEV, but only for a one-off payment that covers a maximum of 30% of the investment costs of a reference system. In contrast, the previous KEV allowed 100% of the investment costs to be covered over the remuneration period of the KEV.
The principle of the KEV is as follows: In order to promote domestic and renewable energies, the KEV is intended to cover the difference between the production costs and the current market price. This makes it possible for the plant operator to generate energy economically. The electrical energy is sold at the market price, but the system operator is paid a fee for each amount of energy produced. The remuneration depends on the technology and the size of the system. To finance the remuneration, the end customers pay a surcharge on the electricity transmission costs in the KEV remuneration pot (since January 1, 2018 2.3 cents / kWh).
Allowances
In order to benefit from the funding, the technology to be funded must meet the statutory conditions. The remuneration rate is recalculated periodically based on the costs of a reference system depending on the performance class and technology for new systems. The reference system within a technology corresponds to the currently most efficient technology available. The effective remuneration rate for a system is determined at the time of commissioning and remains unchanged during the remuneration period. The remuneration period depends on the technology and the commissioning date; it is between 15 and 25 years.
The previous restriction on funding depending on the type of generation was lifted with the new Energy Act of September 30, 2016, there is in principle only one overall cover, but specific quotas for the funds available annually still apply to photovoltaics:
The previous restrictions by type of generation were as follows:
| Generation type | Condition for the uncovered costs | Maximum share from the funding pot |
|---|---|---|
| Hydropower | 50% | |
| Photovoltaics | > 50 cents / kWh | 5% |
| 40 - 50Rp./kWh | 10% | |
| 30 - 40Rp./kWh | 20% | |
| <30Rp./kWh | 30% | |
| Other | 30% |
The maximum amount of financial support that is spent on funding by the KEV as a whole or a specific technology is also known informally as the cap. This limitation quickly led to a long waiting list, especially for photovoltaics. As early as 2012, the waiting list included over 26,000 systems registered with Swissgrid . Over 90% of the systems on the waiting list were photovoltaic systems at that time, 45% of which had an installed capacity of less than 10 kWp.
The remuneration tariff of a system depends on the date of commissioning and does not change during the remuneration period. In principle, only those systems can benefit from the KEV that were commissioned, significantly expanded or renewed after January 1, 2006.
Previously, the details of the remuneration rates for each technology were listed in the appendix to the Energy Ordinance (EnV) of December 7, 1998. With the entry into force of the new Energy Act on January 1, 2018, the details of the remuneration rates per technology will be listed in the Energy Promotion Ordinance of November 1, 2017.
The remuneration rates are briefly explained below.
Small hydropower plants
Electricity from small hydropower plants is remunerated with a basic flat rate and bonuses (pressure stage and hydraulic engineering bonus) per kilowatt hour with a maximum of 32.4 cents / kWh. The remuneration is not reduced over the amortization and remuneration period of 15 years.
Basic remuneration
| Performance class | Basic remuneration 01/01/2013 - 12/31/2016 (cents / kWh) | Basic remuneration from 1.1. 2017 (Rp./kWh) |
|---|---|---|
| ≤ 30 kW | 28.4 | 28.4 |
| ≤ 100 kW | 18.8 | 18.8 |
| ≤ 300 kW | 14.8 | 12.7 |
| ≤ 1 MW | 11.2 | 9.0 |
| ≤ 10 MW | 6.9 | 6.6 |
The equivalent performance is decisive. To do this, the annual energy production is divided by the annual hours.
Pressure level bonus
| Height of fall (m) | Pressure stage bonus (cents / kWh) |
|---|---|
| ≤ 5 | 5.6 |
| ≤ 10 | 3.3 |
| ≤ 20 | 2.4 |
| ≤ 50 | 1.9 |
| > 50 | 1.2 |
Hydraulic engineering bonus
The production costs of small hydropower plants (for new systems and extensions / renovations) are largely dependent on the scope of the hydraulic engineering required. This fact is taken into account with the hydraulic engineering bonus. The share of hydraulic engineering in the total investment is relevant for calculating the hydraulic engineering bonus. If the share of hydraulic engineering in the total investment falls below the 20% mark, there is no entitlement to the bonus. If the share is 50% or more, you are entitled to the entire hydraulic engineering bonus, with linear interpolation in between.
| Performance class | Hydraulic engineering bonus with commissioning 1.1.2013 - 31.12.2016 (cents / kWh) | Hydraulic engineering bonus with commissioning from 1.1.2017 (cents / kWh) |
|---|---|---|
| ≤ 30 kW | 6.2 | 6.2 |
| ≤ 100 kW | 4.5 | 4.5 |
| ≤ 300 kW | 3.6 | 2.9 |
| > 300 kW | 3.0 | 1.6 |
Photovoltaics
The amortization and remuneration period for photovoltaic systems used to be 25 years, later 20 and now only 15 years. In accordance with the Energy Ordinance, the tariffs for new systems fell by 8% annually. The Department for the Environment, Transport, Energy and Communication (DETEC) reduced the remuneration for 2011 by 18% because the cost of solar systems in 2010 fell significantly more than expected. DETEC reduced the KEV remuneration rates for new systems as of March 1, 2012 by around 10%. Together with the regular annual reduction of 8%, which already applies on January 1, 2012, the PV tariff rates fell by a total of 18% in 2012. The remuneration rates were also continuously reduced in the following years. In addition, a new feed-in tariff was introduced. With the new Energy Act in connection with the Energy Strategy 2050 , no KEV is available for PV systems up to 100 kW, but only a one-off payment of a maximum of 30% of the investment costs (determined on the basis of reference systems).
Photovoltaic systems are divided into three categories for remuneration:
Asset categories
| Plant category | criteria | example |
|---|---|---|
| Detached | Systems without a structural connection to buildings | Plant in the garden or wasteland |
| Cultivated | Systems with a constructive connection to buildings and are only used to generate electricity | Systems mounted on fastening systems on flat roofs or on a tiled roof |
| Integrated | Systems that are integrated in buildings and have a dual function | Photovoltaic modules instead of bricks or facade elements, integrated in soundproof walls |
With the new Energy Promotion Ordinance, this subdivision has been abolished.
Remuneration rates
The old remuneration rates for photovoltaic systems were as follows:
| Installation | Until 2009 | 2010 | 2011 | from
1.3.2012 |
from *
October 1, 2012 |
from *
1.1.2013 |
from *
1.1.2014 |
from 1.4.2015 | from October 1st, 2015 | from 1.4.2016 | from October 1st, 2016 | |
| Subsidence | n / A | 18% | 18% | k. A. | k. A. | approx. 8% | k. A. | |||||
| Asset class | Power class (kW) | Remuneration (cents / kWh) | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Detached | ≤ 10 kW | 65.0 | 53.3 | 42.7 | 36.5 | 33.1 | 30.4 | One-time remuneration | Since April 1, 2015, there is no longer a separate category "Freestanding".
Payment is based on the "Cultivated" category. |
|||
| ≤ 30 kW | 54.0 | 44.3 | 39.3 | 33.7 | 27.0 | 24.8 | 23.8 | |||||
| ≤ 100 kW | 51.0 | 41.8 | 34.3 | 32.0 | 24.8 | 22.8 | 19.8 | |||||
| ≤ 1000 kW | 49.0 | 40.2 | 30.5 | 29.0 | 23.1 | 21.3 | 19.2 | |||||
| > 1000 kW | 49.0 | 40.2 | 28.9 | 28.1 | 21.6 | 19.9 | 17.2 | |||||
| Cultivated | ≤ 10 kW | 75.0 | 61.5 | 48.3 | 39.9 | 36.1 | 33.2 | One-time remuneration | ||||
| ≤ 30 kW | 65.0 | 53.3 | 46.7 | 36.8 | 29.4 | 27.0 | 26.4 | 23.4 | 20.4 | 19.5 | 19.0 | |
| ≤ 100 kW | 62.0 | 50.8 | 42.2 | 34.9 | 26.9 | 24.7 | 22.0 | 18.5 | 17.7 | 16.6 | 15.6 | |
| ≤ 1000 kW | 60.0 | 49.2 | 37.8 | 31.7 | 25.1 | 23.1 | 21.3 | 18.8 | 17.6 | 16.4 | 15.2 | |
| > 1000 kW | 60.0 | 49.2 | 36.1 | 30.7 | 23.5 | 21.6 | 19.1 | 18.5 | 17.6 | 16.5 | 15.3 | |
| Integrated | ≤ 10 kW | 90.0 | 73.8 | 59.2 | 48.8 | 42.8 | 39.4 | One-time remuneration | ||||
| ≤ 30 kW | 74.0 | 60.7 | 54.2 | 43.9 | 36.5 | 33.6 | 30.4 | 27.4 | 24.0 | 22.4 | 21.9 | |
| ≤ 100 kW | 67.0 | 54.9 | 45.9 | 39.1 | 33.2 | 30.5 | 25.3 | 21.1 | 20.1 | 19.1 | 17.9 | |
| ≤ 1000 kW | 62.0 | 50.8 | 41.5 | 34.9 | 31.5 | 29.0 | 21.3 | For integrated systems> 100 kW, the KEV tariffs of the attached systems apply. | ||||
| > 1000 kW | 62.0 | 50.8 | 39.1 | 33.4 | 28.9 | 26.6 | 19.1 | |||||
* Values were initially subject to a decision by the Federal Council. The amounts are stated including VAT of 8%. The standardized DC peak power determines the power class. For systems with> 10 kW, the remuneration is calculated proportionally across the power classes. Depending on the expected technological advances and the market maturity of a technology, the remuneration tariffs are gradually reduced. The annual tariff reductions apply to systems newly commissioned in the corresponding year of construction. Once a tariff has been determined for a system, the remuneration rate remains constant for the entire amortization period (= remuneration period).
The new remuneration rates for photovoltaic systems are as follows:
| Performance class | Payment rate (cents / kWh) depending on the commissioning date | |||||||
|---|---|---|---|---|---|---|---|---|
| 1/1/2013 - 12/31/2013 | 1.1.2014 - 31.3.2015 | April 1, 2015 - September 30, 2015 | October 1, 2015 - March 31, 2016 | 1.4.2016 - 30.9.2016 | October 1, 2016 - March 31, 2017 | April 1, 2017 - December 31, 2017 | From 1.1.2018 | |
| ≤ 100 kW | 21.2 | 18.7 | 16.0 | 14.8 | 14.0 | 13.3 | 12.1 | One-time payment, max. 30% of the investment |
| ≤ 1000 kW | 18.5 | 17.0 | 15.0 | 14.1 | 13.1 | 12.2 | 11.5 | |
| 1000 kW | 17.3 | 15.3 | 14.8 | 14.1 | 13.2 | 12.2 | 11.7 | |
Wind energy
The remuneration period for wind turbines was 20 years, now it is 15 years. As of 2013, the remuneration rates no longer fell (previously the reduction was 1.5% per year) and, on the contrary, were increased. The reduction in the remuneration period, however, outweighs the increase in the remuneration rates. For the KEV, the wind power plants are categorized into small and large wind plants (> 10 kW).
| category | rated capacity | Remuneration period | compensation |
|---|---|---|---|
| Small wind turbine | ≤ 10 kW | 15 years | 23.0 cents / kWh |
| Large wind turbine | > 10 kW | 5 years from commissioning | 23.0 cents / kWh |
| After 5 years and an effective yield> 130% of the reference yield | 13.0 cents / kWh | ||
| After 5 years and an effective yield <130% of the reference yield: +1 months per 0.3% shortfall | 23.0 Rp./kWh, then 13.0 Rp./kWh |
Geothermal systems
Geothermal systems are used to produce electricity and heat and are not allowed to use fossil fuels for energy production together with geothermal energy in the same system. In order to assert a KEV claim, the geothermal systems must achieve a minimum overall degree of utilization according to the diagram opposite.
Geothermal systems are subject to a payment period of previously 20 years and now 15 years.
The remuneration is calculated according to the nominal electrical power of the system. For systems with an output> 5 MW, the remuneration is calculated proportionally over the output classes.
| Performance class | Remuneration for hydrothermal geothermal systems (Rp./kWh) | Remuneration for petrothermal geothermal systems (cents / kWh) |
|---|---|---|
| ≤ 5 MW | 40.0 | 47.5 |
| ≤ 10 MW | 36.0 | 43.5 |
| ≤ 20 MW | 28.0 | 35.5 |
| > 20 MW | 22.7 | 30.2 |
Biomass production
According to KEV, the electricity production from the following systems is remunerated: waste incineration (KVA), sludge, sewage sludge incineration plants, sewage gas, landfill gas and other biomass plants.
The systems have to meet minimum energy requirements with regard to the total degree of utilization or the electrical efficiency and heat utilization.
The remuneration rate for the renewable component is determined per calendar year on the basis of a basic remuneration and, if the relevant requirements are met, a bonus for wood power plants or a bonus for agricultural biomass. The remuneration period for biomass systems is 20 years.
financing
The consumers pay a network surcharge, that is, a surcharge on the electricity transmission costs, in the remuneration pot. Part of the money will be used to finance the additional costs generated by the KEV. The remuneration pot and thus the funding is therefore limited. The maximum amount of the surcharge is determined by the Federal Council taking into account the legal requirements. The surcharge was a maximum of 0.6 cents / kWh up to the end of 2012, was increased to a maximum of 0.9 cents / kWh on January 1, 2013, to a maximum of 1.5 cents / kWh from January 1, 2014, and increased to January 1, 2018 a maximum of 2.3 cents / kWh.
completion
The acceptance and administration of the surcharges took place until the end of 2017 by the Foundation for cost-covering feed-in remuneration . The payout for the federal government was processed by Swissgrid. This also managed the data exchange between producers and distribution network operators and kept the waiting lists for the respective projects. With the new Energy Act, the grid surcharge fund will be integrated into the federal financial structures from 2018. Pronovo AG is now responsible as the executive agency for the implementation of federal funding programs for electricity production from new renewable energies.
See also
Web links
- Website of the foundation for cost-covering feed-in tariffs
- Federal Office of Energy: feed-in tariffs that cover costs
- Energy Pool Switzerland: Overview of production development within the scope of KEV ( Memento from June 28, 2013 in the Internet Archive )
Individual evidence
- ↑ Swiss Energy Act of June 26, 1998 as of January 1, 2017. Website of the Swiss Confederation.
- ↑ Energy Act of September 30, 2016
- ↑ Energy Act, Art. 1 Purpose
- ↑ Energy Act, Art. 2 Reference values for the expansion of electricity from renewable energies
- ↑ Most important innovations in energy law from 2018
- ↑ Article 35 (1) of the Energy Ordinance . As of January 1, 2018.
- ↑ Article 36 of the Energy Act . As of January 1, 2018.
- ↑ Article 7a of the old energy law . No longer in force.
- ↑ Waiting list for KEV registrations ( Memento of the original dated August 31, 2014 in the Internet Archive ) Info: The archive link has been inserted automatically and has not yet been checked. Please check the original and archive link according to the instructions and then remove this notice. (PDF; 47 kB) from August 31, 2012.
- ↑ Energy Promotion Ordinance of November 1, 2017 . Ordinance on the promotion of the production of electricity from renewable energies Energy Promotion Ordinance (EnFV). As of January 1, 2018.
- ↑ Appendix 1.1. the Energy Promotion Ordinance . As of January 1, 2018.
- ↑ Art 3.4 of the Energy Ordinance (PDF; 2.1 MB). As of March 1, 2012.
- ↑ Appendix 1.2 of the Energy Ordinance . As of January 1, 2011.
- ↑ bfe.admin.ch
- ↑ 'Energy strategy 2050: What are the consequences for photovoltaics?' Overview from Swissolar, as of December 15, 2017
- ↑ Energy Promotion Ordinance
- ↑ KEV remuneration rates valid for new notices. (PDF) Retrieved October 13, 2016 .
- ↑ Appendix 1.2 of the Energy Promotion Ordinance
- ↑ One-time payment. Retrieved March 5, 2018 .
- ↑ Appendix 1.3 of the Energy Promotion Ordinance . As of January 1, 2018.
- ↑ Appendix 1.4 of the Energy Promotion Ordinance . As of January 1, 2018.
- ↑ Appendix 1.5 of the Energy Promotion Ordinance . As of January 1, 2018.
- ↑ Annual report 2009 (PDF; 609 kB) of the Foundation for cost-covering feed-in remuneration
- ↑ Article 35 of the Energy Act . As of January 1, 2018.
- ↑ Entry of the "Foundation for cost-covering feed-in remuneration (KEV)" ( memento of July 8, 2012 in the web archive archive.today ) in the commercial register of the Canton of Aargau
- ↑ Foundation for cost-covering feed-in remuneration (KEV) - short portrait ( Memento from May 23, 2017 in the Internet Archive )
- ↑ Swissgrid - Renewable Energy ( Memento of the original dated August 31, 2011 in the Internet Archive ) Info: The archive link was inserted automatically and has not yet been checked. Please check the original and archive link according to the instructions and then remove this notice.
