LEG, ZEV and vZEV: Sharing electricity in the neighbourhood

With the introduction of Local Electricity Communities (LEG) from 2026, three models will be available in future for sharing electricity in the neighbourhood: ZEV (association for self-consumption), vZEV (virtual association for self-consumption) and the new LEG. What is the common idea behind them?

All three models make it possible to use and market self-produced electricity – for example from photovoltaic systems – directly within the local area. The idea is to consume electricity where it is produced. This increases the economic viability of decentralised electricity generation systems and lowers electricity costs for those involved.

How do ZEV, vZEV and LEG differ?

ZEV and vZEV are self-consumption models – in other words, the self-produced electricity flows directly between the participants without using the public distribution grid. This means that the grid usage tariff does not apply to the consumption of electricity produced and consumed internally.

With LEG, the public distribution grid is used, which reduces the grid usage tariff but does not eliminate it entirely. In return, households that are located further apart can also form such a community. In the case of a ZEV or vZEV, the entire community is regarded by BKW as a single customer. With an LEG, by contrast, the individual participants remain individual customers of BKW.

ZEV and vZEV already exist – what experience has BKW had with them so far?

Demand is high – our customers are very interested in the shared use of electricity. Their motivation ranges from saving costs to a desire to make a useful contribution to the energy transition. However, we also see that, especially for customers with a vZEV, it is not always easy to implement the internal vZEV billing. We try to provide support within the scope of our possibilities.

From 2026, LEG will also be possible – what technical requirements apply for participation?

All participants must be connected in the same network area, at the same network level and in the same political municipality. In addition, at least one generation plant (for example a photovoltaic system) is required, whose production capacity amounts to at least 5% of the total connected capacity of the participating end consumers. An intelligent electricity meter (smart meter) is also required. If smart meters have not yet been installed, BKW will implement this within three months of a valid application being submitted. The LEG map shows who can join together with whom and at what discount (20% or 40%). This will be published on the website in the coming weeks.

If the requirements are met: who is a LEG suitable for?

A LEG makes sense, for example, in a neighbourhood where several people join together – those who “only” consume and those who also produce electricity. Ideally, electricity consumption is optimally aligned with local electricity production so that the electricity is used on site and the burden on the public grid is kept as low as possible.

Do producers or consumers benefit more from local electricity – or do both benefit equally?

In the best case, both benefit from local electricity sharing: those who produce electricity themselves can generate higher revenues by selling electricity within the community, while households that consume electricity have to pay lower grid usage costs for locally generated electricity. The internal electricity prices within the LEG are defined by the parties involved – BKW has no influence on LEG-internal pricing.

What is the most important challenge of LEG for BKW?

Since a LEG is a virtual structure of consumers and producers of electricity, the barriers to joining, leaving or switching are relatively low. This can lead to many adjustments, and these changes in turn are not entirely easy to represent in the systems. Another challenge is the grid load. A LEG does not relieve the electricity grid if the participants do not change their behaviour. Our grid planning must continue to be prepared for peak loads – for example when a lot of electricity is produced but little is consumed, or vice versa.

So is it true that these instruments for sharing electricity in the neighbourhood do not relieve the grid?

Yes. In general, the existing models do not contribute either to an additional burden on or to a relief of the distribution grid. The result depends heavily on how the individual participants behave. The electricity grid is only relieved if electricity consumption is optimally aligned with the times of internal electricity production. But even if the electricity grid is relieved, this only reduces the costs of the electricity grid to a limited extent. Potentially high feed-ins (for example, when the solar installation is producing but the participating consumers are on holiday) or withdrawals from the grid by consumers (for example, when the solar installation produces only little in the winter months while consumption is high) must be taken into account in grid planning. A grid is therefore still needed that can cope with the loads even during consumption and feed-in peaks.

Are there any advantages for BKW if it enables LEG from next year? Or does the benefit lie exclusively with customers, in that they have to pay lower grid charges?

From BKW's perspective as a distribution grid operator, the introduction of LEG brings no operational advantage. This is because the fundamental challenges for the distribution grid – such as the expansion of PV installations and the associated need to expand the grid – remain. An LEG does not initially reduce the grid capacity required.

By implementing LEG, BKW is primarily fulfilling the new regulatory requirements and enabling customers to share locally generated electricity while benefiting from lower grid usage tariffs. The actual benefit therefore clearly lies with the participants in an LEG – but as BKW, we are happy to make our contribution to ensuring that this new model works technically and organisationally and to raising awareness that electricity is best produced and consumed locally.

Can BKW adapt the handling flexibly, or is everything strictly specified and regulated for these instruments?

The handling is standardised; applications for ZEV and vZEV are processed via a corresponding customer portal. The same will also be possible for LEG from 2026; these can be created, modified and dissolved via the portal application. The internal billing and tariffs are regulated between the parties involved; BKW is involved only to the extent that it supplies the metering data. This applies to all three electricity-sharing models.

Is there an important tip for sharing electricity in the neighbourhood as an interested party without too much bureaucracy? Where can I find instructions, and who can advise me?

To establish a ZEV, it is best to contact your electrical installer, who will support you with the technical implementation. Solar installers, ZEV service providers and certified solar professionals can also help. For a vZEV, BKW's topology map provides a quick overview of whether a vZEV is technically possible at the desired location. A comparable map for LEG is currently being developed and will be available from autumn/winter. As soon as the map is available, you can discuss establishing an LEG with your neighbours.

LEG applications can be conveniently submitted via the BKW registration portal from January 2026. For further support – for example with establishment or billing – suitable external service providers can be found through a targeted internet search.

What does the future of LEG, ZEV and vZEV in Switzerland look like, and what role will BKW play in it?

ZEV is already an established model, and since this year vZEV has complemented existing ZEV structures. From 2026, LEG will add a new model that enables neighbourhood-wide electricity communities within a larger radius. BKW, as the distribution system operator, will play a central role in this – including through the installation of smart meters, the provision of relevant data, portal services and the implementation of regulatory requirements.

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