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Trade-offs between integration and isolation in Switzerland's energy policy

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  • Eser, P.
  • Chokani, N.
  • Abhari, R.

Abstract

In response to the Fukushima nuclear accident, Switzerland has targeted to phase out nuclear power by 2050. Two diametrically opposite pathways to accomplish Switzerland's nuclear phase-out are quantitatively investigated for the year 2035 using a novel high-resolution power systems simulation framework. The first pathway, “Island in Europe”, installs new natural gas power plants to ensure a self-sufficient Swiss energy system. The second pathway, “Battery of Europe”, increases Switzerland's engagement with central Europe with new pumped hydro storages and increased cross-border electricity trade of European renewable energy. The results show that the “Battery of Europe” scenario enables a threefold increase in financial surplus of cross-border electricity trade compared to the “Island in Europe” scenario. This surplus translates to 15–23% lower domestic Swiss electricity prices, thereby enhancing the competitiveness of the Swiss marketplace; however, Switzerland is then exposed to more technical and political engagement with its neighbours. Additionally, successful implementation of the “Battery of Europe” scenario requires reinforcing 5% of the Swiss transmission grid, which necessitates more streamlined legal processes for new transmission infrastructure. Along a different political dimension, electricity price reductions of up to 22% are possible if the targeted increase of efficiency in Switzerland's energy policy is accomplished.

Suggested Citation

  • Eser, P. & Chokani, N. & Abhari, R., 2018. "Trade-offs between integration and isolation in Switzerland's energy policy," Energy, Elsevier, vol. 150(C), pages 19-27.
    • Handle: RePEc:eee:energy:v:150:y:2018:i:c:p:19-27
    DOI: 10.1016/j.energy.2018.02.139
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    References listed on IDEAS

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    Cited by:

    1. Wang, Wenya & Fan, L.W. & Zhou, P., 2022. "Evolution of global fossil fuel trade dependencies," Energy, Elsevier, vol. 238(PC).
    2. Lin, Boqiang & Bae, Nuri & Bega, François, 2020. "China's Belt & Road Initiative nuclear export: Implications for energy cooperation," Energy Policy, Elsevier, vol. 142(C).
    3. Weiss, Olga & Pareschi, Giacomo & Georges, Gil & Boulouchos, Konstantinos, 2021. "The Swiss energy transition: Policies to address the Energy Trilemma," Energy Policy, Elsevier, vol. 148(PA).

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