The Swiss Federal Council is aligning photovoltaic remuneration more closely with the market: from Jan. 1, 2027, distribution grid operators in Switzerland will be permitted to remunerate solar electricity based on the market price at the time of grid injection. With this measure, the federal government aims to create incentives to feed electricity into the grid when it is most needed. During periods of low prices, the electricity should instead be stored or consumed locally.
Grid operators will, however, retain the option of continuing to pay higher remuneration rates. Industry association Swissolar expects that many operators will choose to do so. The Swiss Federal Assembly approved the broad outlines of the new model in autumn 2025, and the Federal Council has now presented the detailed implementation framework.
For operators of small photovoltaic systems, the regulation includes investment protection in the form of a minimum remuneration premium. If the average quarterly reference market price falls below the statutory minimum remuneration rate, the premium will compensate for the difference for every kWh fed into the grid. The premium will be paid retroactively.
Swissolar noted that the new model could have significant implications for system operators, particularly those with low levels of self-consumption. These operators are expected to face greater exposure to low market prices during sunny periods. According to the association, this risk can be mitigated through the use of energy storage systems, which are becoming increasingly attractive as battery prices decline.
Models such as “Associations for Self-Consumption” (ZEV) and “Local Electricity Communities” (LEG) could also help reduce exposure to negative prices. Under these arrangements, solar electricity is consumed and traded locally within neighborhoods or districts instead of being sold via the grid operator on the wholesale electricity market.
According to Swissolar, efficient implementation of the new remuneration model will require easy access to market data. The association has therefore called on the Swiss Federal Office of Energy (BFE) to publish Swiss day-ahead electricity prices on its public dashboard and provide a freely accessible API for automated data retrieval.
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