Expensive, slow, complicated: that’s why CO2 compensation abroad is a problem

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Tobias BrugmannPolitics Editor

How much does Switzerland need to save the climate itself and how much can it send abroad? That is the crucial question for the new CO2-Law that Parliament is currently discussing. Switzerland can finance climate protection projects abroad – for example by having cooking stoves installed in Peru – and the CO2-Make your savings count towards your climate goals. Time is of the essence: Switzerland wants to halve its emissions by 2030 compared to 1990.

According to the Council of States, the share of foreign compensation is larger, but according to the National Council it is smaller. But no matter how the tug-of-war turns out, there are many hurdles to overcome.

1

The time

Fuel importers are already allowed to use part of their CO22– Compensating for emissions abroad. For this purpose they have founded the KliK Foundation, which is looking for projects. According to manager Marco Berg, it will be difficult to get enough projects on track in 2030 to cover part of Switzerland’s CO2 emissions as planned2 compensate. “Time is incredibly short.”

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According to Berg, Switzerland can currently only finance climate projects in 13 countries with which it has signed a contract. If Switzerland wants to compensate more abroad, it needs more agreements. “The negotiations on the thirteen agreements lasted about five years,” says Berg. The projects need time to achieve the desired effect. His assessment: “The situation would be significantly alleviated if the time horizon was extended to 2035.”

2

The money

In principle, there are enough climate projects worldwide to reduce Swiss CO2 emissions2-to offset emissions. But not enough money in Switzerland: depending on how expensive a ton of CO2-Reimbursement is abroad, costs of more than a billion francs may be due.

Until now, a maximum of five cents can be added to a liter of fuel to finance climate projects abroad. This money cannot finance more climate protection activities, Berg says. But there are currently no plans to increase the fuel surcharge – as the population has recently rejected higher taxes.

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So other pots of money are needed. Difficult in times when the federal government needs to save money. Climate Minister Albert Rösti (56) also emphasized the cost consequences in the Council of States: “There will be a not entirely easy discussion when it comes to obtaining these compensations and the necessary finances.” However, climate protection in Switzerland is even more expensive – or more difficult.

Controversial charging stations for electric cars

About the revised CO2The municipalities have not yet agreed on the law for the period from 2025. The Council of States is pushing for a version that is weaker than that of the National Council on several points, for example when it comes to reducing greenhouse gas emissions in your own country.

The Council of States does not want to prescribe a fixed quota for the reduction of greenhouse gases in our own country. He confirmed this on Thursday by a vote of 31 to 12. Accordingly, greenhouse gas emissions must be reduced “mainly” domestically. The Federal Council must determine the exact share.

A red-green minority would have liked to see the National Council take a more ambitious approach. He wants to reduce greenhouse gas emissions by 75 percent through domestic measures.

Controversial charging infrastructure

Financial support for electric car charging infrastructure in multi-unit buildings is controversial. By a vote of 24 against 20, the Council of States insisted on not spending any money on it. The purchase of an electric car is individual and should not be financed with public money, says Damian Müller (FDP/LU).

The National Council, on the other hand, wants to support basic installations for charging stations with up to 20 million francs per year. A red-green minority in the Council of States felt that support was necessary for the energy transition. It happens that people decide not to buy an electric car due to a lack of charging points, says Céline Vara (Greens/NE).

There is also disagreement about the performance tax for heavy vehicles (LSVA) for alternative journeys. At the request of a strong minority, the Council of States has confirmed that it will adhere to the current law until the revised LSVA is issued. Accordingly, the Federal Council decides which vehicles should be exempt from the LSVA and to what extent.

The minority argued that it was important to prevent a loss of billions in revenue. The National Council wants a temporary and differentiated reduction in the LSVA for electric trucks and trucks powered by renewable fuels.

Compromise on the tax on mineral oils

The Council of States approved the compromise proposed by the majority on the mineral oil tax for recognized bus and ship companies: this tax should be due from 2026 for local buses, on land and only from 2030 for ships. There should be exceptions if there are topographical reasons justifying these.

The revised CO2-The law for the period 2025 to 2030 is intended to help achieve Switzerland’s 2050 net zero target and secure energy supplies. Switzerland has committed to this in the Paris Climate Agreement. By 2030, greenhouse gas emissions must be halved compared to 1990. (SDA)

About the revised CO2The municipalities have not yet agreed on the law for the period from 2025. The Council of States is pushing for a version that is weaker than that of the National Council on several points, for example when it comes to reducing greenhouse gas emissions in your own country.

The Council of States does not want to prescribe a fixed quota for the reduction of greenhouse gases in our own country. He confirmed this on Thursday by a vote of 31 to 12. Accordingly, greenhouse gas emissions must be reduced “mainly” domestically. The Federal Council must determine the exact share.

A red-green minority would have liked to see the National Council take a more ambitious approach. He wants to reduce greenhouse gas emissions by 75 percent through domestic measures.

Controversial charging infrastructure

Financial support for electric car charging infrastructure in multi-unit buildings is controversial. By a vote of 24 against 20, the Council of States insisted on not spending any money on it. The purchase of an electric car is individual and should not be financed with public money, says Damian Müller (FDP/LU).

The National Council, on the other hand, wants to support basic installations for charging stations with up to 20 million francs per year. A red-green minority in the Council of States felt that support was necessary for the energy transition. It happens that people decide not to buy an electric car due to a lack of charging points, says Céline Vara (Greens/NE).

There is also disagreement about the performance tax for heavy vehicles (LSVA) for alternative journeys. At the request of a strong minority, the Council of States has confirmed that it will adhere to the current law until the revised LSVA is issued. Accordingly, the Federal Council decides which vehicles should be exempt from the LSVA and to what extent.

The minority argued that it was important to prevent a loss of billions in revenue. The National Council wants a temporary and differentiated reduction in the LSVA for electric trucks and trucks powered by renewable fuels.

Compromise on the tax on mineral oils

The Council of States approved the compromise proposed by the majority on the mineral oil tax for recognized bus and ship companies: this tax should be due from 2026 for local buses, on land and only from 2030 for ships. There should be exceptions if there are topographical reasons justifying these.

The revised CO2-The law for the period 2025 to 2030 is intended to help achieve Switzerland’s 2050 net zero target and secure energy supplies. Switzerland has committed to this in the Paris Climate Agreement. By 2030, greenhouse gas emissions must be halved compared to 1990. (SDA)

3

The use

The question is whether new cooking stoves in Peru will help the climate: 1.8 million households there cook with wood and biomass – this is not very energy efficient and often even life-threatening. So Switzerland actually helps.

But such projects are also carried out by other actors, writes Caritas, which has conducted research into it. “The additional climate benefit is questionable,” says Angela Lindt, head of the Development and Climate Policy department. At the same time, emissions reduction in Switzerland is being put on the back burner.

Berg rejects the criticism. The fact that both affected countries must assess and approve the projects guarantees the complementary effect. People are also aware that foreign compensation is only part of the equation. “No one in Switzerland drives an extra kilometer because Switzerland supports an agricultural biogas plant abroad.”

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Source:Blick

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Livingstone

I am Liam Livingstone and I work in a news website. My main job is to write articles for the 24 Instant News. My specialty is covering politics and current affairs, which I'm passionate about. I have worked in this field for more than 5 years now and it's been an amazing journey. With each passing day, my knowledge increases as well as my experience of the world we live in today.

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