Switzerland Plans Radical Renewables Subsidy Cuts
The Swiss government has plans to revise the Energy Regulation in the country. Among these revisions is also the threat to massively reduce FITs for renewable energy installations. The planned changes are “catastrophic” according to Swissolar.
The plan is to reduce the FITs for photovoltaic systems by 35 to 40% and lower the remuneration period to 15 years. For all other renewable technologies, the compensation rates are to be reviewed and increased in view of the reduced payment period, added Swissolar. The solar association believes that with its first estimate it would take 22 years thus for photovoltaic systems to be profitable with such proposed tariffs.
Moreover the government is also planning to completely axe the category “integrated systems,” thereby reducing the tariffs for integrated photovoltaic systems by up to 50%. The so-called “cost covering feed-in tariff” for solar power, or KEV as known in Switzerland, is 19.9 to 39.4 Swiss Rappen per kWh (16.1 to 31.9 Euro cents per kWh).