Energy BKW lowers electricity price by 0.5 centimes per kilowatt hour

SDA

6.8.2024 - 11:00

Benefiting from more water: The Mühleberg hydropower plant operated by BKW. (archive picture)
Benefiting from more water: The Mühleberg hydropower plant operated by BKW. (archive picture)
Keystone

The Bern-based energy group BKW is lowering the electricity tariff in the basic supply from January 1, 2025. This is due to lower production and Swissgrid costs. Specifically, the electricity price will fall by 0.5 centimes per kilowatt hour.

Keystone-SDA

For a household in a five-room apartment with an electric stove and tumble dryer and an annual consumption of 4,500 kilowatt hours (kWh), this means a CHF 6.25 lower electricity bill per month. Over the year as a whole, the reduction amounts to CHF 75, as announced by BKW on Tuesday. This represents a tariff reduction of six percent.

As BKW primarily supplies its region with electricity from its own power plants, production costs have the greatest impact on the price. These are part of the production costs, which in turn are influenced to a small extent by electricity market prices, as the company explained.

New tariffs from Swissgrid

Prices on the electricity market rose sharply two years ago, but have since fallen again. Hydropower operators also benefited from higher water levels in 2023 following the dry previous year.

Another factor in the reduction in electricity prices is the grid usage tariff. BKW kept this stable despite the widespread introduction of digital electricity meters in the second half of 2024 and further investments in the electricity grid. This is due to the change in various tariffs of the national grid company Swissgrid.

Swissgrid is also reducing the tariffs for general ancillary services by 0.2 centimes per kilowatt hour from 2025. The costs for the electricity reserve introduced by the federal government to counter electricity shortages have also been reduced.

BKW is also increasing the feed-in tariff for certified photovoltaic systems from 1 to 3.5 centimes per kilowatt hour with retroactive effect from July 1, 2024. The canton of Jura is introducing a levy of 0.2 centimes per kilowatt hour in 2025 to promote renewable energies. The approximately 600 electricity producers for end customers must report their tariffs to the regulatory authority, the Federal Electricity Commission (Elcom), by the end of August.