Annual Report

Relevant contribution to the transformation of the energy system

The energy industry is facing major changes: decisions at the global, European and Swiss levels are making provision for a change in energy production, away from CO₂-intensive towards CO₂-neutral energy sources. With its long-term climate strategy, Switzerland has set itself the goal of achieving net-zero greenhouse gas emissions by 2050. At the same time, following the adoption of the Energy Strategy 2050 by the Swiss electorate, the decision has been made to gradually phase out nuclear energy and promote renewable energies. The power plant park in Switzerland will therefore undergo significant changes. In order to achieve the climate targets, electrification of mobility, heating and industry is also necessary, leading to an increase in the consumption of electrical energy.

This comprehensive transformation of the energy system is already a mammoth task in itself. In addition, Switzerland’s security of supply – particularly in the winter months – must be guaranteed in the long term. This challenge, which has long been discussed in the industry, has moved to the top of the political agenda in recent years, resulting in changes to the legal framework.

A challenge and an opportunity
Transmission system operators, as the link between production and consumption, are significantly affected by these changes. The rise in decentralised and renewable electricity generation, such as wind and photovoltaics, and the elimination of power plants with guaranteed power, are increasing the volatility and complexity of the energy system, and hence the demands placed on grid operators. However, these changes are both a challenge and an opportunity, giving transmission system operators the chance to make an important contribution to the transformation of the energy system.

It is crucial for the grid infrastructure to keep pace with the ambitions of the energy transition. Swissgrid aims to use, manage, modernise and expand its transmission system more efficiently so that the secure transport of electrical energy can continue to be guaranteed in the future. Digitalisation is one of the aspects the company is relying on in order to increase the efficiency of grid operations and of the planning, expansion and maintenance of the grid infrastructure. Swissgrid is tackling the higher volatility of renewable electricity generation by improving its forecasting capabilities, for example. On the market side, new market platforms and products are being developed so that the growing potential of decentralised flexibility, such as batteries and heat pumping technology, can be used in a way that benefits the system.

Swissgrid is committed to a climate-neutral society by 2050, a successful energy transition and the continuous development of the grid – as the backbone of a more sustainable energy system. Swissgrid has reaffirmed its commitment with its Strategy 2027 (see chapter «2027 Strategy») and the decision to anchor sustainability even more firmly within the company. The company is also part of the initiative to support the energy system to reach carbon neutrality.

Swissgrid’s integral safety policy

Swissgrid’s integral approach to safety management comprises seven security domains: operational security, physical security, information security, integral risk management, crisis management and business continuity management, as well as health protection, occupational safety and environmental protection. The integral safety policy sets out Swissgrid’s safety objectives and regulates the essential aspects required for the effective implementation of company-wide integral safety management. These include the principles, the overarching framework conditions and domain-specific requirements, and security organisation.

Operational security
The aim of operational security is to ensure that Swissgrid provides a secure service in every grid state. It is based on the processes and elements of safety risk management, such as the reporting system, event investigation, safety risk analysis, safety culture and clearly defined roles and responsibilities.

In particular, operational security aims to ensure that work can be carried out reliably in complex grid and system operations, and that the corresponding processes and instructions function properly. The following specific methods and processes are used, among others:

• Independent, continuous observation of operations with the aim of identifying instructions that are inappropriate or prone to errors, or procedures that deviate from the instructions, and improving them by means of incident analyses.
• The principles of «human factors» for designing a robust working environment that is tailored to people’s characteristics.

A competence management system that consistently ensures and documents basic training, the retention of knowledge and skills, the further training of employees (especially in grid and system operations), and the building up of experience.

Physical security
The aim of this security domain is to ensure the physical security of employees, of third parties and of the Swissgrid infrastructure.

Swissgrid has developed its own company-wide standards based on best practice in order to meet the requirements of a critical infrastructure. Among other things, they take into account the ISO/IEC 27002 standard, the industry recommendation of the Association of Swiss Electricity Companies (VSE) and the regulations of the Federal Inspectorate for Heavy Current Installations (ESTI).

Information security
The aim of the «information security» domain is to guarantee the confidentiality, availability and integrity of data and information in physical form or based on Information and Communication Technology (ICT) systems for business and operating technology.

A risk-based information security management system built according to international standards, such as those of the ISO/IEC 27000 family, defines the regulations and measures to be applied. This management system supports the entire implementation process from implementation through to review and further development. The basic measures to be applied and measures specific to the energy sector are derived and implemented from the same family of standards.

Crisis management and business continuity management
Swissgrid’s crisis management and business continuity management (BCM) have the common goal of ensuring flexible incident management that is adapted to the situation so that the continuity of critical processes required for Swissgrid’s key responsibility can be guaranteed in the event of an incident. Crisis management and BCM serve to continue Swissgrid’s mission in accordance with the defined framework conditions, subject to certain restrictions, in the event of deviations from the normal situation. They are based on Swissgrid’s mandate in accordance with Art. 20 StromVG and Art. 5 StromVV, ENTSO-E requirements in accordance with the Synchronous Area Framework Agreement, Transmission Code and VSE industry document, and the requirements of the Federal Office for Civil Protection.

The existence and proper functioning of crisis management and BCM correspond to the necessary level of basic protection. Swissgrid’s business continuity management system, based on the ISO 223xx series, is being continuously developed for this purpose within the framework of a roadmap approved by the Executive Board, including annual targets. Among other things, it describes the creation of BCM specifications, the regular verification of BCM scenarios, and the development, testing and practising of risk-based business continuity plans. Business impact analysis is used to identify the critical processes required for Swissgrid’s key responsibility and the requirements for restoring process performance, which are to be taken into account within the BCM framework. At the same time, this determines the corresponding level of protection. This analysis is repeated as necessary and reviewed on a regular basis. In addition, Swissgrid employees are trained to apply the correct conduct in the event of an incident as part of crisis exercises, and the functionality of existing systems and processes is checked. The implemented BCM processes are tested on an ongoing basis.

Every year, additional exercises lasting several days are conducted at the simulation centres in Prilly and Aarau. The aim of these exercises is to simulate a major disturbance or blackout and to practise grid restoration. Swissgrid, all distribution system and power plant operators connected to the transmission system, and the operators of restoration cells participate in these exercises. Swissgrid envisages that, in the event of a major event, personnel will be gathered at decentralised sites in Switzerland in order to carry out the necessary work on site. This procedure is repeated and practised with the involvement of external partners.

The status of BCM implementation and the company’s business continuity capability are regularly reported to the Executive Board and the Board of Directors.

The topics of occupational health and safety and environmental protection are explored in greater detail in the «Occupational health and safety» section.