WWZ will increase electricity prices in 2023

The massive price increase on the international electricity markets have led to significantly higher procurement costs for the Swiss electricity industry – and also for the WWZ. But there is good news for operators of photovoltaic systems.

Prices on the electricity exchanges have increased about tenfold since 2021, with the driver of this development being the geopolitical and economic situation. The WWZ (Wasserwerke Zug) procures around 80% of its electricity on the electricity market, as the company recently announced.

Thanks to its diversified procurement portfolio and a certain proportion of its own production (small hydropower plants and PV plants), the WWZ can significantly cushion the increase, and will only pass on part of the higher procurement costs to customers in 2023. The average price increase for an household in Zug will be 38.6%; which amounts to around CHF 17.75 a month.

WWZ AG will have to increase its electricity tariffs in 2023           Photo: Maria Schmid

The electricity price is made up of an energy tariff, a grid usage tariff and levies. In addition to the increase in energy costs, grid usage tariffs for the maintenance and expansion of the power grid are also rising – by an average of 6.6%.

The prices at public charging stations are also rising
This is partly due to the higher costs in the upstream electricity grids, but, above all, to the ancillary service costs (SDL) that Swissgrid requires for the operation of the national transmission grid, which are increasing. The levies to the community and the grid surcharge set by the Federal Council for the promotion of renewable energies remain unchanged.

As a result of the increased electricity prices, and to ensure the high level of service, the prices at WWZ's public electric charging stations will also be increased.

Return tariff for solar power will be increased
Photovoltaics (PV) is a pillar of the energy future, and the WWZ has always been committed to promoting the expansion of this technology. The price that WWZ pays solar power producers has already been one of the highest in Switzerland.

As of 1 October 2022, the WWZ will increase this return tariff from 12.3 cents/kWh to 19.0 cents/kWh, thereby offering regional FV operators an even more attractive fee for electricity from their own roof – and also providing an effective incentive for accelerating the expansion of photovoltaics in the region.