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CHF180 per home: Swiss electricity prices set to spike by 20 percent

The Local
The Local - [email protected] • 24 May, 2022 Updated Tue 24 May 2022 10:18 CEST
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Electricity prices are being capped in Austria. Photo by Anthony Indraus on Unsplash

Inflation and the war in Ukraine look set to result in a 20 percent spike from 2023, according to the Association for Swiss Energy Companies (VSE).

The VSE expects that at least half of electricity suppliers will raise their prices by 20 percent or more from 2023. 

As a result, the cost of electricity looks set to rise by CHF180 for the average Swiss household. 

Electricity companies are passing on the increased costs of producing power, which come primarily as a consequence of the war in Ukraine. 

Henrique Schneider from the Swiss Trade Association told SRF “The trade is already suffering from higher procurement costs for raw materials and materials. You can't expect customers to have to pay 20 percent more for electricity.”

The reason that prices will not spike immediately is due to Switzerland’s complicated price regulation system for electricity. 

Swiss electricity market regulator Elcom must approve the tariff increases in order for them to take effect. 

Elcom will make a decision in autumn as to whether to allow the tariff increases or to send them back to the providers. 

Prices of a range of items are on the rise in Switzerland due to a variety of factors, including the continued impact of the Covid pandemic, inflation and the war in Ukraine. 

These articles published in The Local list a number of common purchases and services where prices have risen and are expected to increase even more.

Oil, bikes and furniture: The products you’re going to pay a lot more for in Switzerland

Seven products that are becoming more expensive in Switzerland

EXPLAINED: How inflation is increasing housing costs in Switzerland

How Covid, inflation and the Ukraine invasion has made Switzerland more expensive

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The Local 2022/05/24 10:18

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