Saint-Prex’s Anger Over Soaring Electricity Prices: The Battle for Energy Market Reform

2023-08-13 18:55:42

In the canton of Vaud, the municipality of Saint-Prex is still angry because of the electricity market. Almost a year ago, the city alerted the Competition Commission (Comco) because its electricity bill had jumped 1600%.

The municipality, which had opted for the free market, suffered from soaring energy prices. Today, the situation has eased, but Saint-Prex is still angry.

Jan von Overbeck (PLR / VD) is municipal in charge of Saint-Preyarde energy. Already invited to Forum almost a year ago to denounce this price increase, which he described as “speculative”, he returns in this program to recent developments in the case.

>> Read about his intervention last year: Faced with astronomical electricity bills, the municipality of Saint-Prex files a complaint

Comco replied to the municipality of Saint-Prex that it was not within its competence, referring to Mr. Prix, himself powerless, referring to ElCom – the independent federal regulatory authority in the field of electricity.

Finally, the municipality turned to Federal Councilor Albert Rösti, expressing the impression “that our own federal laws are blocking the energy transition, which is all the same difficult to accept in a time when we realize that it is necessary”, regrets Jan von Overbeck.

>> Read also: Saint-Prex’s complaint filed by Comco and Monsieur Prix

Investment of 1.1 million

But during this time, the municipality has implemented a strategy to reduce its electricity bill. Some 1.1 million francs have been invested in solar panel projects, which makes it possible to increase own electricity production by 3 to 15%, according to Jan von Overbeck.

However, the municipality says it is still angry, despite these investments and the relaxation of the electricity market.

Monopoly of Romande Energie

Indeed, with the current law, if the municipality injects its own electricity production at 18 cents into the network, it must buy it back at 36 cents. Apart from self-consumption, “it’s not attractive”, launches the municipal.

He denounces the “monopoly” of Romande Energie, which obliges electricity producers wishing to use the lines of the Romande Energie group to resell and buy back their own production on the network.

Especially since some 4,000 to 6,000 square meters of warehouse roofs could still be used to install solar panels. But without profitable investment conditions, the municipality will not equip the surfaces in question.

Towards local electrical communities?

“There is a law which is being discussed in Parliament, the “Mantelerlass”, which should liberalize part of the network, rejoices Jan von Overbeck. Therefore, the law would authorize the founding of local electricity communities (CEL) In the commune of Saint-Prex, we could then produce at one end of the commune and use electricity at another end by simply paying the taxes, but not by selling and buying back our own production-“

Many individuals have been familiar with this situation for a long time. However, more and more homeowners are installing solar panels on their roofs.

But according to Jan von Overbeck, the reasoning is different for a municipality. You have to gain the support of the population to issue credits to photovoltaic projects. The municipality is convinced that the citizens of Saint-Prex would not accept such an investment under current conditions. “We offer 18 cents to Romande Energie for each kilowatt hour that we produce ourselves.”

The municipality intends to lobby Parliament, elected officials and Albert Rösti, hoping that the electricity market will be liberalized at local level as quickly as possible.

Interview by Mehmet Gultas

Adaptation web: Julien Furrer

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