Nuclear energy liability

Liability

Under the Federal Nuclear Energy Liability Act, operators of nuclear installations bear unlimited liability for nuclear damage arising from the operation of their installations or the related transport of nuclear material. For damage relating to nuclear material in transit, the owner of the foreign nuclear installation is liable.

Principles of liability under nuclear law

Strict liability
Under the Federal Nuclear Energy Liability Act, strict liability applies for nuclear damage. Operators are also liable if they are not directly at fault, and even if nuclear damage should be caused by acts of terrorism or war.
Exclusive liability of the operator
It is solely the operator of a nuclear facility who bears liability. This makes it easier for victims to assert claims for compensation.
Insurance coverage requirement
Operators of nuclear installations are required to take out insurance coverage to the amount of EUR 1.2 billion, plus 10% for interest and court-awarded costs (i.e. a total of EUR 1.32 billion).
Statutory limitation period
The statutory limitation period is three years from the date when the claimant became aware of the damage (= relative statutory limitation period) or 30 years from the date of the event resulting in nuclear damage (= absolute statutory limitation period).
Long-term damage detected after expiry of 30-year statutory limitation period
If the victim only becomes aware of damage after the 30-year statutory limitation period has expired, the damage is covered by the Federal Nuclear Damage Fund.
Court having jurisdiction
A single court has jurisdiction over claims for compensation following an accident, regardless of the place of residence or nationality of the injured party.

Compensation

Nuclear damage is covered by insurance up to the amount of EUR 1.2 billion. In the event of damage, this insurance cover is supplemented by an amount of EUR 300 million, which is paid by the Contracting States to the Brussels Supplementary Convention. In total, EUR 1.5 billion (plus EUR 120 million for interest and court-awarded costs) are now available to cover nuclear damage. For damage in excess of this sum, operators of nuclear installations are liable without limitation with all their assets.

Nuclear research facilities and the federal government’s interim storage facility, as well as certain nuclear material transportations are insured for EUR 70 and 80 million, respectively (plus 10% for interest and court-awarded costs in each case).

Insurance provider

Insurance coverage is primarily provided by private insurance companies. Risks that private insurers cannot cover or are unable to cover in full will be covered by the federal government. In such cases, operators are required to pay a premium into the Federal Nuclear Damage Fund.

Large-scale damage

If all the available funds do not suffice to cover incurred nuclear damage or if the ordinary procedure cannot be carried out due to the large number of injured parties, a situation of large-scale damage is declared. In this case, Parliament may specify a compensation plan for the just distribution of the available funds and, if necessary, stipulate that the federal government may award additional contributions to compensate uncovered damage.

International

Switzerland has ratified the two nuclear energy liability conventions of Paris and Brussels (both in the revised version of 2004) and the Joint Protocol.

It concluded a bilateral agreement with Germany on third-party liability in the field of nuclear energy in 1986, which provides for equal treatment for citizens of both countries.

New Nuclear Third Party Liability Legislation

Bundesbeschluss über die Genehmigung und die Umsetzung von Übereinkommen zur Haftung auf dem Gebiet der Kernenergie. Zusammenfassung der Vernehmlassungsantworten
(PDF, 158 KB, 01.05.2007) ID: 2709 | 40

Press releases in German

Federal Nuclear Energy Liability Act dated 13 June 2008 (in German)

Federal Nuclear Energy Liability Ordinance of 25 March 2015 (in German)

Message of 8 June 2007 on the Federal Decree on the Approval and Implementation of Conventions on Third Party Liability in the Field of Nuclear Energy (in German)

Convention on Third Party Liability in the Field of Nuclear Energy of 29 July 1960, as amended by the Additional Protocol of 28 January 1964, by the Protocol of 16 November 1982 and by the Protocol of 12 February 2004 (Paris Convention)

Convention of 31 January 1963 Supplementary to the Paris Convention of 29 July 1960, as amended by the Additional Protocol of 28 January 1964, by the Protocol of 16 November 1982 and by the Protocol of 12 February 2004 (Brussels Supplementary Convention)

Joint protocol relating to the application of the Vienna Convention and the Paris Convention

Treaty between Switzerland and the Federal Republic of Germany on Third Party Liability in the Field of Nuclear Energy dated 22 October 1986 (in German)

Nuclear Energy Agency (NEA) - Decision and Recommendation of the Steering Committee Concerning the Application of the Paris Convention to Nuclear Installations in the Process of Being Decommissioned (2014) (oecd-nea.org)

Nuclear Energy Agency (NEA) - Décision et Recommandation du Comité de direction portant sur l’application de la Convention de Paris aux installations nucléaires en cours de déclassement (2014) (oecd-nea.org)

Exclusion of nuclear installations for the disposal of certain types of low-level radioactive waste [NEA/NE(2016)7/FINAL]

Possibilité d’exclusion des installations nucléaires de stockage de certaines catégories de déchets radioactifs de faible activité [NEA/NE(2016)7/FINAL]

Exclusion of Small Quantities of Nuclear Substances outside a Nuclear Installation from the Application of the Convention on Third Party Liability in the Field of Nuclear Energy [NEA/NE(2016)8/FINAL]

Exclusion de petites quantités de substances nucléaires en dehors d’une installation nucléaire du champ d’application de la Convention sur la responsabilité civile dans le domaine de l’énergie nucléaire [NEA/NE(2016)8/FINAL]

Exclusion of Certain Kinds of Nuclear Substances [NE/M(77)2]
Annex 3, Appendix to the Decision of the Steering Committee concerning the Decisions, Recommendations and Interpretations applicable to the Paris Convention as amended by the 2004 Protocol, item 4 (page 27)

Exclusion de certaines catégories de substances nucléaires [NE/M(77)2]
Annex 3, Appendice à la Décision du Comité de Direction concernant les Décisions, Recommandations et Interprétation applicables à la Convention de Paris telle que modifiée par le Protocole de 2004, chiffre 4 (page 28)