Remuneration

This report was prepared in accordance with the requirements of the Swiss Code of Obligations. The amounts disclosed comprise the overall remuneration granted to the members of the Board of Directors of Alpiq Holding Ltd. and the Executive Board for the 2022 financial year. Remuneration is recognised in the year of final acquisition of title.

As laid down under the Articles of Association, the Annual General Meeting (AGM) approves the overall remuneration amounts for the Board of Directors and the Executive Board once a year, separately and with binding effect, prospectively for the following financial year. The Board of Directors extends an invitation to the AGM to approve the total compensation of the Board of Directors and the Executive Board once a year by way of separate consultative vote in the reporting year.

Information on Compensation Governance can be found in the relevant passages of the Organisational Regulations and is not listed separately here.

Market-compliant remuneration

To ensure that the remuneration of members of the Executive Board and the Board of Directors conforms to standard market practice, Alpiq regularly engages independent external consultancy firms to evaluate overall remuneration packages relative to the market environment. The most recent market comparison of remuneration of the Board of Directors and Executive Board was performed by HCM Hostettler & Company in mid-2018 at Alpiq’s instigation. The amount and structure of remuneration were analysed, using listed electricity and energy companies in Switzerland and Europe of a similar size with comparable structures and operations, as well as industrial companies as a benchmark.

Remuneration policy

Members of the Board of Directors receive fixed remuneration, additional expense allowances and statutory pension benefits. These components are not performance-related. The amount of fixed remuneration depends on whether an office is held as Chairman or as a Board member, as well as on mandates held in other committees of the Board of Directors. Apart from statutory social security contributions and pension contributions if they have pensions with the Swiss pension fund “Stiftung Pensionskasse Energie” (PKE), members of the Board of Directors do not receive any other pension benefits.

Members of the Executive Board receive a fixed salary and a reward. Selected members receive in addition a long-term incentive (LTI). In these cases, the total remuneration is made up of basic remuneration, reward (short-term incentive STI) and LTI. They also receive a company car allowance, an expense allowance and, if requested, a GA travelcard for 1st class travel. The reward is based on performance and value creation. It is approved by the Board of Directors and the Annual General Meeting after the end of the financial year. The reward can range between 0 % and 133 %. For the selected cases with additional LTI reward, the range of the STI is 0 % to 200 % and for the LTI 0 % to 100 %. All members of the Executive Board are covered by statutory social security and the PKE pension fund.

Remuneration paid to the Board of Directors

Remuneration paid to the Executive Board

• Matthias Zwicky was a member of the Executive Board until 31 March 2022.
• Alexandra Machnik was a member of the Executive Board until 31 August 2022.
• At 1 April 2022, Lukas Gresnigt joined the Executive Board as Head of International.
• At 1 June 2022, Navin Parasram joined the Executive Board as Head of Trading.