Swiss Federal Council approves Landmark Climate Bill, Facing Opposition Concerns

Bern, Switzerland – The Swiss Federal Council today approved a controversial climate bill aimed at reducing greenhouse gas emissions and achieving net-zero by 2050. The legislation, officially titled the “Climate and Innovation Act,” passed with a 123-53 vote in the National Council and 24-16 in the Council of States following months of debate and revisions. The bill allocates approximately 2 billion Swiss francs (approximately $2.25 billion USD as of November 8, 2023) over the next decade to support climate-kind technologies and initiatives.

The core of the bill focuses on incentivizing the replacement of oil and gas heating systems with renewable alternatives like heat pumps. It introduces a phased-out ban on new oil and gas heating installations starting in 2024, with exemptions for hardship cases and existing buildings. The legislation also includes provisions for promoting sustainable mobility,including investments in public transportation and cycling infrastructure,and supporting the development of carbon capture and storage technologies.

Key Provisions of the Climate and Innovation Act:

• Heating System Transition: Phased-out ban on new oil and gas heating systems starting January 1, 2024. Financial support available for homeowners transitioning to renewable heating solutions.
• funding Allocation: 2 billion Swiss francs allocated over 10 years for climate initiatives.
• Sustainable Mobility: increased investment in public transport,cycling infrastructure,and electric vehicle charging stations. Specifically, 500 million CHF will be dedicated to cantonal public transport projects.
• Carbon Capture & Storage: Support for research and development of carbon capture and storage technologies, with a pilot project planned in the canton of Aargau.
• Innovation Fund: Creation of a 300 million CHF innovation fund to support the development of climate-friendly technologies.

The bill faced significant opposition from conservative and business groups who argued that it would impose excessive costs on households and businesses,and perhaps harm the Swiss economy. The Swiss People’s Party (SVP) led the opposition, claiming the bill was “economically damaging” and would disproportionately affect rural areas. Concerns were also raised about the potential for energy shortages during the transition period. The FDP.The Liberals also voiced concerns,advocating for a more market-based approach to emissions reductions.

Supporters of the bill, including environmental organizations like Greenpeace Switzerland and Pro Natura, hailed its passage as a crucial step towards meeting Switzerland’s climate commitments under the Paris Agreement. They emphasized the urgency of addressing climate change and the need for bold action to reduce emissions.Greenpeace Switzerland spokesperson, Anna Meier, stated, “This bill is a vital step, but its not enough. Switzerland must continue to strengthen its climate policies and accelerate the transition to a sustainable future.”

Switzerland’s Climate Goals: Switzerland has committed to reducing its