Acid test for Swiss climate policy

As a signatory of the Paris Agreement, Switzerland is committed to combating global warming. To achieve this objective, parties to the agreement must significantly reduce harmful greenhouse gas emissions by the middle of this century. The Federal Council defined Switzerland’s long-term climate strategy at the beginning of this year, setting out guidelines for reaching the net-zero emissions target by 2050, i.e. the stage where Switzerland no longer emits more greenhouse gases than can be absorbed naturally or by technical means. The country’s building and transport sectors are to be emission-free. This will require more clean energy, of which greater amounts – namely geothermal, solar, wind and wood – will be produced domestically.

Higher tax on petrol and fuel

The CO₂ Act, which parliament approved last autumn, provides the initial basis for a climate-neutral Switzerland. “We are laying the groundwork for Switzerland to achieve the net-zero target,” says environment and energy minister Simonetta Sommaruga (SP). Specific elements in the CO₂ Act include tighter CO₂ emission limits for vehicles as well as tax increases on petrol and fuel. Air passengers will also be obliged to pay a CO₂ tax on airline tickets. The car and petroleum industries are particularly opposed to these green measures. A campaign group representing various economic, transport and energy interests, with the backing of the SVP, consequently forced a referendum opposing the CO₂ Act.

According to the group, the CO₂ Act is “costly and ineffectual”. Taxpayers, business and industry should not be forced to pick up the tab again, it says. But the powerful business federation economiesuisse is in favour of the CO₂ Act. It has drawn up its own climate master plan for the Swiss economy to show that innovation and efficient technology are key in helping businesses to be “part of the solution”. Many companies hope that investment in renewable energy will boost their order books. The federal government expects investments of up to 1,400 billion Swiss francs over the next 30 years.