Swiss Audit Office and Lawmakers Challenge 2.3 Billion Franc Power Reserve Plan

The Swiss Federal Audit Office and members of parliament have raised doubts about the Federal Council's plan to spend 2.3 billion Swiss francs on new reserve power plants. A new report by the audit authority suggests the investments may become redundant if Switzerland meets its expansion targets for renewable energy by 2035.

Under the government's strategy, new reserve facilities are intended to cover potential electricity shortages during winter. One plant in Monthey in the canton of Valais is already operational, while additional sites are planned in Eiken and Stein in Aargau, as well as Muttenz in Basel-Landschaft. According to the Federal Office of Energy, the investment would generate extra costs of approximately ten Swiss francs per household. The proposed strategy follows the dismantling earlier this year of a temporary reserve plant in Birr, which cost half a billion francs and was erected using emergency legislation later deemed unlawful by the Federal Administrative Court.

In its evaluation, the Federal Audit Office identified potential savings of 220 million francs if the government relied on existing infrastructure rather than constructing new facilities. Beat Stamm, a section head at the audit office, explained that sufficient electricity would be produced without reserve plants if renewable energy goals are achieved on schedule. He noted that deciding whether to purchase financial protection against potential delays in renewable expansion remains a political choice.

More than 6,000 emergency power generators are currently installed across Switzerland, primarily serving hospitals, data centres, sewage treatment facilities, and cold storage units. The audit office and members of the National Council's energy committee advocate linking these emergency generators virtually to generate electricity during shortages, while compensating the owners. Lawmakers have also suggested negotiating agreements with companies willing to reduce their energy consumption in times of emergency. Citing high costs, the National Council's energy committee suspended deliberations on financing the reserve plants during the summer.

Energy Minister Albert Rösti rejected the alternative proposals and defended the planned reserve power plants. He stated that the facilities are necessary to secure electricity supplies if a nuclear power plant fails at a time when imports from abroad are unavailable. Rösti also argued that renewable energy generation will not be sufficiently built out before 2035, adding that air pollution regulations prevent emergency diesel generators from running continuously over long periods.

A final decision on the reserve power plants is expected next year. Parliamentary discussions are scheduled to resume after the Federal Electricity Commission publishes an updated assessment of national electricity demand in the spring.

Written by Christiane Hofreiter christiane.hofreiter@alpineweekly.com