The Energy Regulation and Markets Review - Stikeman Elliott

Switzerland
time, certain decisions may naturally impose themselves despite any political opposition
and the tendency towards renewable forms of energy.
Switzerland produces neither oil nor gas. Despite the fact that there are indications
that the exploitation of shale gas could be possible in certain parts of the country, this
chapter on Switzerland focuses on the electricity industry.
II
REGULATION
i Policy
The Swiss Federal Constitution, the Energy Act, the CO 2
Act, the Nuclear Energy Act and
the Electricity Supply Act are all integral parts of the instruments defining a sustainable
and modern Swiss energy policy. In addition to legal instruments, the energy policies
of the federal government and the cantons are also based on the presentation of energy
perspectives as well as on strategies, implementation programmes and the evaluation of
energy-related measures at the municipal, cantonal and federal levels.
Energy policy was only anchored in the Swiss Federal Constitution in 1990, when
provisions were added stipulating that the federal government and the cantons are obliged
to use their competences to ensure an adequate, broad-based, secure, economical and
ecological energy supply, and the economical and efficient use of energy. This comprehensive
list of requirements places high demands on energy policy at the federal and cantonal levels,
and simultaneously demonstrates how difficult it is to find suitable solutions.
Since 1990, all cantons have drawn up their own energy legislation and regulations,
and with the enactment of the Federal Energy Act and the Federal Energy Ordinance on
1 January 1999, the Federal Council fulfilled the mandate it had received following the
approval by the electorate of the energy provisions in 1990.
The energy perspectives as drawn up by the Federal Council have served as a
basis for all political decisions in the energy field and have been reviewed and updated
regularly since the establishment of the General Energy Plan in the mid-1970s.
The ‘Energy Perspectives 2050’ have been updated after choosing between
three options for the provision of electricity. In 2011, the Federal Council decided to
follow option 2 (no replacement of existing nuclear power plants at the end of their safe
operational lifespan).
Non-replacement of older nuclear power plants restricts the options for future
electricity production. After the safe operating period expires nuclear power plants will
not be replaced and will be decommissioned (Beznau I: 2019; Beznau II and Mühleberg:
2022; Gösgen: 2029; Leibstadt: 2034). The shortfall is expected to be covered with an
optimised mixture of hydropower, new renewable energies, cogeneration facilities, gas
combined cycle and electricity imports. Hydropower becomes very significant and will
have to be expanded correspondingly.
As thermal generation using fossil fuels will increase, additional emissions of 1.09
to 11.92 million tonnes of CO 2
are anticipated by 2050, depending on the proportion of
cogeneration and gas combined cycle. The government is hopeful that CO 2
emissions from
the energy sector will be reduced by 14.4 million tonnes compared with 2009 by pursuing
measures in today’s energy policy until 2050, which means that overall emissions will not
increase despite increased generation using fossil fuels. Electricity grids will have to be
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