Regulatory changes in grid costs for flexible assets

By April 24th, 2026News

A new regulatory development in Switzerland is removing a key barrier to energy storage deployment. Under Article 14a of the Federal Act on a Secure Electricity Supply from Renewable Energy Sources, storage assets that do not qualify as final consumption will no longer be subject to grid usage fees.

Until now, these assets faced structural inefficiencies—effectively paying grid fees twice, both when charging and discharging. The removal of this double charging materially improves the economics of battery energy storage systems (BESS) and other flexible assets.

The change comes at a critical moment. Switzerland’s electricity system is under increasing strain from the rapid expansion of intermittent renewable energy. Maintaining real-time grid balance is becoming more complex, with imbalance penalties reaching approximately CHF 500 million in 2024.

In this environment, flexibility is becoming a core requirement rather than a complementary tool. Battery storage, with its ability to respond instantly to fluctuations, is emerging as a key solution to manage volatility and reduce imbalance exposure.

By removing structural cost barriers, the new regulation reinforces a clear direction of travel: flexibility is expected to scale rapidly within the Swiss energy system. For market participants, this marks a shift from optional investment to strategic necessity, as demand for flexible capacity continues to grow.