For Switzerland to become climate neutral, the Council of States must do even more

The Environmental Committee of the Council of States (UREK-S) wants to hold air traffic and the financial industry accountable for climate protection. swisscleantech welcomes this step and sees potential for improvement in three areas: the domestic target, the building sector and traffic.

Domestic destination

Last week, the Federal Council adopted a 2050 climate target of net zero. To achieve this, Switzerland must reduce domestic CO2 emissions by at least 45% by 2030. As a study by econcept shows, a domestic reduction of up to 48% by 2030 is feasible and economically beneficial.

"An ambitious domestic target is scientifically necessary and realistic, because many solutions and innovative technologies are already available today to significantly reduce CO2 emissions. At the same time, it guarantees planning security and creates incentives for innovation. With these framework conditions, Swiss companies will succeed in playing an active role in decarbonization - both at home and abroad. Against this background, the domestic target formerly presented by the Federal Council is clearly insufficient," says Christian Zeyer.

Given the urgency of reducing CO2 emissions and in view of the opportunities this presents for Swiss companies, swisscleantech raised its demand for the domestic target to minus 45% at the end of August.

Building

Buildings are responsible for 26% of Switzerland's CO2 emissions. The renovation rate is too low, large efficiency potentials lie fallow. In order to reduce emissions in the building sector without delay, an emission limit value per m2 of energy reference area must be introduced bindingly and early - i.e. no later than 2023 - and then continuously reduced.

"With the majority proposal of the Environmental Commission, the Paris climate targets in the building sector cannot be achieved. At the same time, we run the risk of investing money in a non-energy-efficient building stock. This threatens high follow-up costs later on," says Christian Zeyer.

Traffic

Road traffic is still the largest source of CO2 emissions in Switzerland. It is therefore imperative that the fleet targets do not fall behind the EU regulations and also include heavy goods traffic. However, sustainable mobility requires more than low-emission and efficient vehicles. It is therefore to be welcomed that the discussion about a CO2 steering tax on fuels and the introduction of mobility pricing has picked up again in the context of the negotiations of the Environmental Commission. The next logical step would be to have this discussion fleshed out by a postulate.

"Cost transparency is urgently needed in the transportation sector. That is why it is essential to push ahead with these solutions quickly so that the transport of the future can be organized in a climate-friendly, cost-covering and efficient manner," says Christian Zeyer.

What swisscleantech now expects from the Council of States:

Higher domestic target

In order to meet the targets of the Paris Climate Agreement, which Switzerland has ratified, a significantly higher domestic target is needed than the 30% target originally proposed by the Federal Council. Last week, the Federal Council itself put this into perspective by adopting a net-zero climate target by 2050. This decision is not binding on parliament, but it points the way. In order for it to be achieved, a domestic target of at least 45% must be anchored in the CO2 Act. This is necessary from a scientific point of view and at the same time strengthens Switzerland as a business location: it creates innovation incentives and planning security for companies. As a study by econcept shows, a domestic reduction of up to 48% by 2030 is feasible and economically beneficial. An ambitious domestic target creates incentives for innovation and strengthens Switzerland as a manufacturing location.

Air ticket levy welcome

swisscleantech supports the introduction of an air ticket tax. Air traffic is growing rapidly, is tax-exempt and so far international measures have not shown any effect. An air ticket levy cannot yet steer air traffic onto a Paris-compatible path, but it is nevertheless an important step and sends a signal: price increases generally have a steering effect. They can encourage consumers to switch to more climate-friendly transport alternatives.

New climate fund

A comprehensive climate fund available for measures in the field of building modernization and energy efficiency, accelerated conversion to CO2-free heat production, support for projects to sustainably reduce greenhouse gas emissions and mitigate climate damage is an idea worth pursuing further. Such a fund can provide innovation incentives for the development of climate-friendly approaches. When feeding the fund, however, care must be taken to ensure that earmarking (e.g., through the CO2 tax or the airline ticket levy) is designed efficiently and effectively.

Early CO2 limits for buildings

Buildings are responsible for 26% of Switzerland's CO2 emissions. The renovation rate is too low, large efficiency potentials lie fallow. In order to reduce emissions in the building sector without delay, an emission limit value per m2 of energy reference area must be introduced bindingly and early - i.e. no later than 2023 - and then continuously reduced. With a later introduction of the limit value, the Paris climate targets in the building sector can probably not be achieved in time.

Measures in transport are central

In the deliberations in parliament, the Council of States must now ensure that Switzerland does not fall behind the EU regulations with its fleet targets and that heavy goods traffic is also included. With a share of one third, road traffic is still the largest source of CO2 emissions in Switzerland. Emissions have even increased since 1990. With the compensation obligation for importers of fossil fuels, car importers do not contribute directly to the decarbonization of the transport sector, but they do contribute to climate protection at home.

It therefore makes sense to increase the proportion to be offset domestically to 20%. swisscleantech also welcomes the idea of reserving a small proportion of the climate protection measures financed via the fuel price for the promotion of electromobility. This will ensure that compensation projects are also carried out in the transport sector and that value creation is strengthened in Switzerland.

swisscleantech is of the opinion that now is the time to have concrete proposals for a CO2 reduction tax on fuels and for the introduction of mobility pricing drawn up by means of a postulate. Cost transparency is urgently needed in the transport sector. That is why it is important to push ahead with these solutions quickly: they are essential if the transport of the future is to be organized in a climate-friendly, cost-covering and efficient manner.

Climate-friendly financial sector is essential

The discussions in the Environment Commission have shown that the Commission recognizes the importance of financial flows for compliance with the Paris Climate Agreement. Now the Council of States must adopt concrete measures. This is because the Swiss financial sector causes around twenty times more CO2 emissions than the domestic sector. The Commission has submitted four postulates in this regard. A far-reaching reform of the sustainability of the financial industry is currently underway in the EU. Switzerland also has a role to play here. It is therefore important that concrete measures are drawn up for the revision of the CO2 Act.

Further information:

• Position swisscleantech: Increase of climate target for 2030 to minus 45%
• Study econcept: Review of Swiss climate targets according to the Intergovernmental Panel on Climate Change's 1.5 degree report (PDF)