Tariffication within the framework of the RCP

Nicolas Vodoz Updated by Nicolas Vodoz

Within the framework of an RCP, the owner (or the PPE) becomes the electricity supplier for the residents of the building, assuming the responsibilities usually assigned to the Distribution system operator (DSO). This includes investment, energy supply, installation maintenance, as well as metering and consumer billing services.

Article 16 of the Energy Ordinance (OEne) specifies how to calculate the prices billed to consumers. The objective is to make the investments made by the owner profitable while protecting tenants from potential abuse. Within a PPE, co-owners are free to apply the tariffs they wish.

Here are the 4 cost elements to take into account in the pricing:

1. Electricity imported energy from the grid

The costs of electricity imported energy from the grid include all elements billed by the DSO to the RCP: energy, grid use, taxes, and the subscription for the input meter.

These costs are re-billed to consumers identically, without a margin for the owner.

However, in the context of a microgrid where several buildings are connected to the same grid connection point, the owner establishes a tariff to cover their investments as well as maintenance costs related to the connection of the buildings (cabling, transformers, etc.). In this case, the price charged to consumers is determined according to the effective cost method for solar electricity, as explained below.

2. Solar electricity

The costs of internally produced electricity are covered by the sale of photovoltaic electricity to consumers and by the resale of the surplus exported energy to the DSO. Regulations offer two methods for setting the solar electricity tariff sold to consumers who are members of the RCP:

  1. The flat rate: The tariff is a maximum of 80% of the standard electricity tariff (without the notion of peak/off-peak hours) of the DSO, which the consumer would pay if they were not a member of the RCP. In this case, the tariff does not need to be justified to the tenants.
  2. Effective costs: The tariff is calculated from the effective production costs of electricity after deducting revenue from the sale of the surplus. If the calculated tariff is lower than the standard product tariff, the difference is shared between the owner and the tenant. If the calculated price is higher than the standard tariff, the tariff must be equal to the standard tariff, as the owner is not allowed to bill more.

Effective costs include:

  • Depreciation of relevant investments (photovoltaic panels, inverters, cabling to the electrical panel, installation costs, including mounting and scaffolding)
  • Interest on depreciation, calculated according to the WACC (weighted average cost of capital) of production (set at 3.98% for 2025)
  • Operating and maintenance costs (maintenance, repair and replacement of the installation, control and monitoring of the installation, periodic maintenance, OIBT checks, cleaning of the installation, administrative fees, etc.)

Climkit recommends the flat rate method for obvious reasons of simplification. Once this method is selected by the owner, Climkit updates the solar tariff every year based on changes in local DSO tariffs.

3. Administrative fees

Administrative fees include all costs related to the management of the RCP, such as meter reading and data transmission, preparation of statements, consumer billing, and processing of collections, as well as payment of the grid import invoice.

With a provider like Climkit, administrative costs for metering and billing are billed directly to consumers. Climkit offers meter reading and report generation (3.50 CHF/month) and, optionally, billing and collections (6.50 CHF/month). See the details of Climkit services for more information.

4. Meter subscription

When the owner finances the meters, these investments must be treated like those of the production installations. The lifespan of electronic meters is 10 to 15 years. The annual costs of the meters are calculated via a constant annuity over the depreciation period, to which the interest defined by the production WACC is added.

If the installation of a meter costs between 200 and 250 CHF for a lifespan of 10 years and 4% interest is added, the owner can collect a "meter subscription" of 2.00 to 2.50 CHF per month per meter from consumers. Consequently, the purchase of meters by the owner does not increase costs, but rather their investment, without altering their return.

Climkit offers, in its billing service, to directly collect the meter subscription from consumers on behalf of the owner.

See Billing rates

References:

  • Energy Ordinance (OEne) of 01/02/2024
  • Self-consumption of electricity, David Sifonios, Propriétaires Services SA editions, 2023.

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