English is not an official language of the Swiss Confederation. This translation is provided for information purposes only and has no legal force. Ordinance on the Reduction of CO2 Emissions (CO2 Ordinance) of 30 November 2012 (Status as of 1 November 2019) The Swiss Federal Council, on the basis of the CO2 Act of 23 December 20111 (CO2 Act), ordains: Chapter 1 General Provisions Section 1 Greenhouse Gases

Amended by No I of the O of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753).

Directive 2007/46/EC of the European Parliament and of the Council of 5 September 2007 establishing a framework for the approval of motor vehicles and their trailers, and of systems, components and separate technical units intended for such vehicles (Framework Directive) (Text with EEA relevance), OJ L 263 of 9.10.2007, p.¹; last amended by Regulation (EU) No 1347/2017, OJ L 192 of²⁴.7.2017, p.¹.

Inserted by No I of the O of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753).

Regulation (EC) No 595/2009 of the European Parliament and of the Council of 18 June 2009 on type-approval of motor vehicles and engines with respect to emissions from heavy duty vehicles (Euro VI) and on access to vehicle repair and maintenance information and amending Regulation (EC) No 715/2007 and Directive 2007/46/EC and repealing Directives 80/1269/EEC, 2005/55/EC and 2005/78/EC, OJ L 188/1 of 18.7.2009,

Regulation (EC) No 715/2007 of the European Parliament and of the Council of 20 June 2007 on type approval of motor vehicles with respect to emissions from light passenger and commercial vehicles (Euro 5 and Euro 6) and on access to vehicle repair and maintenance information, OJ L 171/1 of 29.6.2007, p.¹; last amended by Regulation (EU) No 459/2012, OJ L 142 of¹.6.2012, p. 16.

Inserted by No I of the O of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753).

4. total rated thermal input means the sum of the rated thermal inputs of a company’s fixed installations that are taken into account in the emissions trading scheme;

5. total output means the sum of the delivered electrical and thermal nominal output of a fossil-thermal power plant;

6. overall efficiency means the ratio of total output to the rated thermal input of a fossil-thermal power plant in accordance with the manufacturer's specifications.

The interim targets for 2015 are:

1. for the building sector: no more than 78 per cent of 1990 emissions;

2. for the traffic sector: no more than 100 per cent of 1990 emissions;

3. for the industry sector: no more than 93 per cent of 1990 emissions.

If a sector-specific interim target listed in paragraph 1 is not achieved, then the Federal Department of the Environment, Transport, Energy and Communications (DETEC), after hearing the cantons and affected parties, shall request the Federal Council for additional measures.

Emission reductions achieved abroad may only be counted by companies and persons authorised by this Ordinance.

Emission reductions achieved abroad may be counted if:

1. they are attested to by an emission-reduction certificate of the United Nations Framework Convention on Climate Change (UNFCCC) of 9 May 1992¹¹; and

2. Annex 2 does not preclude their being counted.

Companies or persons wishing to obtain emission-reduction certificates for an emission-reduction project abroad can apply to the Federal Office for the Environ-

Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

Inserted by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

The FOEN issues a letter of approval if the requirements of Article 4 paragraph 2 letter b are met.

Attestations for emission reductions from domestic projects and programmes are issued if:

1. Annex 3 does not preclude them;

2. the project or programme’s planned component activities: 1. would not be economically feasible without revenues from the sale of the attestations, 2. meet(s) at least the current state of the art, and 3. provide(s) for measures that lead to an increase in emission reductions as measured against the reference scenario defined in Article 6 paragraph 2 letter d;

3. the emission reductions: 1. are verifiable and quantifiable, 2. were not achieved by a company participating in the Emissions Trading Scheme (ETS), and 3.15 were not achieved by a company with a reduction obligation that at the same time is applying for attestations under Article 12; the foregoing does not apply to companies with an emissions target under Article 67, provided the emission reductions from projects or programmes are not included in the emissions target; and

4. the beginning of the implementation of the project or programme does not predate the submission of an application in accordance with Article 7 by more than three months.

The time when the applicant makes a significant financial commitment to a third party or itself takes organisational measures relevant to the project or programme is deemed the beginning of implementation.

Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

Amended by No I of the O of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753).

Planned component activities can be grouped together into one programme if:

1. they have a common purpose in addition to reducing emissions;

2. they apply one of the specified technologies in the programme description;

3. they fulfil the inclusion criteria specified in the programme description, which guarantee that the planned component activities meet the requirements of Article 5; and

4. implementation has not yet begun.

Planned component activities can be included in existing programmes if they meet the conditions of paragraph 1 and had already been demonstrably registered in the programme before the inclusion.

Programmes that only comprise one planned component activity on expiry of the first crediting period shall be continued as projects under Article 5.16

Companies or persons wishing to apply for attestations for an emission-reduction project or programme must have it validated at their own expense by a validator approved by the FOEN.

A description of the project or programme is to be submitted to the validator. This must include information about:

1. the measures for reducing emissions;

2. the technologies applied;

3. the delimitation from other climate and energy policy instruments;

4. the hypothetical progression of greenhouse gas emissions if the emissionreducing measures of the project or programme were not implemented (reference scenario);

5. total expected annual emission reductions and the underlying calculation method;

6. the organisation of the project or programme;

7. the anticipated investment and operating costs and expected revenues;

8. the financing;

9. the monitoring plan, in which the start date of the monitoring is defined and the methods for accounting for emission reductions are described;

10. 17 the duration of the project, the programme and the individual planned component activities;

Inserted by No I of the O of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753).

Amended by No I of the O of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753).

In the case of projects and programmes in connection with a local heating network or landfill gas projects and programmes, the description of the information requested in paragraph 2 letters d, e and i shall meet the requirements of Annexes 3a

For the validation the validator examines the information specified in paragraph 2 and whether the project meets the requirements of Article 5 or the programme meets the requirements of Articles 5 and 5a respectively.

It summarizes the results of the examination in a validation report.

An application for the issuance of attestations must be submitted to the FOEN. It must include the project or programme description and the validation report.

The FOEN may request additional information from the applicant if required for evaluating the application.

The FOEN shall specify the form of the project or programme description.19

The FOEN decides whether a project or programme qualifies for issuance of attestations on the basis of the application.

The decision is valid for seven years from the start of the implementation of the project or programme (crediting period).

No attestations are issued for planned component activities of programmes if:

1. a change in applicable legal provisions results in emission-reduction measures that must be implemented during the crediting period;

2. the issuance of attestations is for claimed emission reductions attributable to the implementation of measures described in letter a; and

3. implementation of the planned component activities had started after the coming into force of the change in legal provisions.

The crediting period is extended for successive three-year periods if the applicant has the project or programme revalidated and submits an application for extension to the FOEN no later than six months before the end of the crediting period.

Inserted by No I of the O of 21 Sept. 2018, in force since 1 Nov. 2018 (AS 2018 3477).

The FOEN approves the extension if the requirements referred to in Articles 5 and 5a are still met.

The applicant collects all the required data in accordance with the monitoring plan and records them in a monitoring report.

The applicant has the monitoring report verified at its own expense by a FOENapproved verifier. The verification may not be done by the same entity that has validated the project or programme.

The verifier examines whether the accounted-for emission reductions meet the requirements of Article 5. For programmes it also examines whether the planned component activities meet the inclusion criteria of Article 5a paragraph 1 letter c. It may limit the verification to a single representative planned component activity.

The verifier records the results of the verification in a verification report.

All monitoring reports and the corresponding verification reports must be submitted to the FOEN at least every three years following the start of implementation under Article 5 paragraph 2. The emission reductions must be disclosed per calendar year.20

The FOEN shall specify the form of the monitoring report.21

The FOEN shall examine the monitoring report and the corresponding verification report. Where required in order to issue attestations, the FOEN shall conduct further enquiries relating to the applicant.22

It shall decide whether to issue attestations on the basis of the information mentioned in paragraph 1.23

Attestations for projects are issued for the extent to which emission reductions have demonstrably been achieved up to the end of the crediting period.

Attestations for programmes are issued for the extent to which emission reductions have demonstrably been achieved for no longer than ten years after the end of the programme’s crediting period, if the relevant planned component activity has been started during the crediting period.

Emission reductions that are attributable to non-refundable payments from the Confederation, cantons or communes for promoting renewable energies, energy efficiency or climate protection are only attested to the applicant if it proves that the responsible public bodies have not otherwise claimed the emission reductions.

Amended by No I of the O of 21 Sept. 2018, in force since 1 Nov. 2018 (AS 2018 3477).

Inserted by No I of the O of 21 Sept. 2018, in force since 1 Nov. 2018 (AS 2018 3477).

Amended by No I of the O of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753).

Inserted by No I of the O of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753).

The added ecological value of emission reductions is compensated with the issuance of attestations. If the added ecological value has already been compensated for, no attestations are issued.

Substantial modifications of the project or programme carried out after the decision has been made regarding qualification or the extension of the crediting period must be reported to the FOEN.

A modification to the project or programme is in particular deemed substantial if:

1. actual emission reductions deviate from the expected annual emission reductions specified in the project or programme description by more than 20 per cent;

2. actual investment or operating costs deviate from the values specified in the project or programme description by more than 20 per cent.

If necessary, the FOEN orders a revalidation. Emission reductions achieved after a substantial modification are only attested in accordance with a new decision on qualification in accordance with Article 8.

After revalidation, from the time the substantial modification is made the crediting period lasts for:25

1. seven years if the crediting period has not yet been extended;

2. three years if the crediting period has already been extended.

Companies with reduction obligations under Article 66 paragraph 1 to which an emission target under Article 67 applies and which are not carrying out any projects or programmes in accordance with Article 5 or 5a that result in emission reductions covered by the emissions target shall be issued with attestations for domestic emission reductions on application if:28

Amended by No I of the O of 21 Sept. 2018, in force since 1 Nov. 2018

Inserted by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

Amended by No I of the O of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753).

1. the company can credibly report that its emissions target will be reached without counting emission-reduction certificates;

2. the company’s greenhouse gas emissions in the relevant year have been reduced by more than 5 per cent compared with the reduction course determined in accordance with Article 67; and

3. 29 for emission-reduction measures, the company has received no nonrefundable payments from the Confederation, cantons or communes for promoting renewable energies, energy efficiency or climate protection or from surcharges obtained in accordance with Article 35 paragraph 1 of the Energy Act of 30 September 2016³⁰ for geothermal power, biomass and waste from biomass; excepted from this are companies that had already registered for the receipt of such funds before the coming into force of the amendment of 8 October 2014.

Attestations are issued for emission reductions to the extent of the difference between the reduction course minus 5 per cent and the greenhouse gas emissions in the relevant year, for the last time in 2020.

…31

Companies that have agreed with the Confederation on targets for the progression of energy consumption and also have commitments to reduce CO2 emissions (target agreement with an emissions target), without being exempt from the CO2 levy for this purpose, are issued attestations for domestic emission reductions on application if:

1. the target agreement with an emissions target meets the requirements of Article 67 Paragraphs 1–3, is validated at the company’s own expense by a FOEN-approved validator and has been assessed by the FOEN as qualified;

2. the company submits a monitoring report annually no later than 31 May in accordance with Article 72;

3. the company’s CO2 emissions during the before three years have in each year fallen short of the agreed reduction course in the target agreement with emissions target by more than 5 per cent; and

4. 33 for emission-reduction measures, the company has received no nonrefundable payments from the Confederation, cantons or communes for promoting renewable energies, energy efficiency or climate protection or from surcharges obtained in accordance with Article 35 paragraph 1 EnA³⁴

Amended by No I of the O of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753).

Repealed by No I of the O of 1 Nov. 2017, with effect from 1 Jan. 2018 (AS 2017 6753).

Inserted by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293). The revision of 9 Dec. 2014 relates only to the French text (AS 2014 4437).

Amended by No I of the O of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753).

The validated target agreement with emissions target must be submitted to the FOEN no later than 31 May of the year in which attestations are being applied for.

Substantial and permanent changes under Article 73 as well as changes under

Attestations are issued for emission reductions to the extent of the difference between the reduction course minus 5 per cent and the greenhouse gas emissions in the relevant year, for the last time in 2020.

Companies and persons that have applied for the issuance of attestations must at the same time provide the FOEN the operator or personal account to which the attestations should be issued. Attestations are issued and administered in the Emissions Trading Registry in accordance with Articles 57–65.

The following data and documents are managed in a FOEN-administered database:

1. first names, surnames and contact information of the applicant, the validator and the verifier;

2. the number of attestations issued;

3. the core data for the project or programme; and

4. the project and programme description, the validation reports, the monitoring reports and the verification reports.

On request, the holder of an attestation is granted access to the data described in paragraph 2 letters a and b in connection with the attestation. Access to the data and documents described in paragraph 2 letters c and d may be granted subject to the preservation of manufacturing and trade secrecy.

The FOEN may, subject to preservation of manufacturing and trade secrecy, publish:

1. descriptions of domestic emission-reduction projects and programmes;

2. validation reports in accordance with Article 6 paragraph 4;

Inserted by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

3. monitoring reports in accordance with Article 9 paragraph 1;

4. verification reports in accordance with Article 9 paragraph 4.

Before publication, the FOEN shall provide the applicant with the documentation specified in paragraph 1. It shall require the applicant to indicate the information that in the applicant’s opinion is subject to manufacturing and trade secrecy.38

The FOEN coordinates the measures specified in Article 8 paragraph 1 of the

It thereby takes account of the cantons’ measures.

The cantons regularly inform the FOEN about their measures.

The cantons regularly report to the FOEN on technical measures for reducing CO2 emissions from buildings.

The report must contain information regarding:

1. the CO2 measures taken and planned and their effectiveness; and

2. the progression of CO2 emissions from buildings within the canton.

On request, the cantons make available to the FOEN all necessary documents that form the basis of the report.

The provisions of this Chapter apply to any person who imports into Switzerland or manufactures in Switzerland a passenger car, van or light articulated vehicle

Inserted by No I of the O of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753).

Amended by No I of the O of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753).

Vehicles registered for the first time in Switzerland are deemed registered for the first time; excluded are vehicles that have been registered abroad for more than six months before a customs declaration in Switzerland.

Registration in a customs enclave in accordance with Article 3 paragraph 3 of the Customs Act of 18 March 2005⁴⁰ (CustA) and in Liechtenstein is deemed registration in Switzerland. Registration in a customs enclave in accordance with Article 3 paragraph 2 CustA, with the exception of Liechtenstein, is deemed registration abroad.

If the deadline specified in paragraph 1 leads to the significant unequal treatment of importers of vehicles that have already been registered abroad before a customs declaration in Switzerland and importers of vehicles that have not been registered abroad before a customs declaration in Switzerland, or should misuses occur, then DETEC may:

1. shorten or extend the deadline by no more than one year;

2. define a required minimum number of kilometres covered.

The reference year is deemed to be the calendar year in which achievement of the individual target is verified.

An importer is deemed to be a large-scale importer of passenger cars in the reference year in relation to its fleets of new vehicles if at least 50 passenger cars from these fleets were registered for the first time in the year before the reference year.

An importer is deemed to be a large-scale importer of vans or light articulated vehicles in the reference year in relation to its fleets of new vehicles if at least six such vehicles from these fleets were registered for the first time in the year before the reference year.

An importer may apply to the Swiss Federal Office of Energy (SFOE) to be provisionally treated as a large-scale importer in the reference year in relation to its fleets of new vehicles if no more than 49 passenger cars or, where applicable, no more than five vans or light articulated vehicles were registered for the first time from these fleets in the year before the reference year.

Passenger cars or, where applicable, vans or light articulated vehicles that are registered for the first time in the reference year after the date on which the applica- tion in terms of paragraph 1 is approved shall be included in the relevant fleet of new vehicles.

If no more than 49 passenger cars or, where applicable, no more than five vans or light articulated vehicles are registered for the first time in the reference year, the importer must account individually for each vehicle in the relevant fleet of new vehicles.

Importers and manufacturers that wish to be treated as an emission pool must apply to the SFOE by 30 November of the year before the reference year to be treated as an emission pool for a duration of one to five years.

An emission pool must appoint a representative.

A vehicle imported by a large-scale importer may not be registered until the Federal Roads Office (FEDRO) has, by submission of a type approval, been notified of the data required for calculating any sanction and for the allocation of the vehicle to a fleet of new vehicles.

In the case of vehicles without type approval, the large-scale importer must submit the following documentation to FEDRO before the vehicle is registered for the first time:

A vehicle imported by a small-scale importer may be registered for the first time if the small-scale importer has paid FEDRO the sanction in accordance with Article 13 of the CO2 Act where a sanction is due, and has submitted the following documentation:

1. the completed inspection report in accordance with Article 6 paragraph 3 RVTAO;

2. the application for attestation;

3. any evidence required in accordance with Article 24 paragraph 1 or³ or Article 25 paragraph 1 or 2.

If an importer wishes to have a vehicle that it has imported accounted for in the fleet of new vehicles of a large-scale importer, it must notify FEDRO of this before the vehicle is registered for the first time by applying for attestation. The application must include the signature of the large-scale importers assuming responsibility.

To determine the CO2 emissions and the unladen weight of vehicles with type approval, the data in the type approval in accordance with the RVTAO are decisive, unless the importer submits the data in accordance with paragraphs³ or 4 to FEDRO before the deadline.

If details of the unladen weight are not included in the type approval of vans and light articulated vehicles, the unladen weight recorded at the vehicle inspection in the inspection report in accordance with Article 6 paragraph 3 RVTAO is decisive.

The importer may submit the following data based on the certificate of conformity (COC) in accordance with Article 18 of Directive 2007/46/EC42 FEDRO within the deadline in paragraph 5:

See footnote to Art. 2 lett. a.

For vehicles with type approval that are converted to use a different fuel before the vehicle is registered for the first time, the evidence in accordance with Article 25 paragraph 1 letters b–d must be submitted to FEDRO within the deadline in accordance with paragraph 5.

The data and evidence in accordance with paragraphs³ and 4 must be submitted by the 31 January following the reference year or, in the case of a small-scale importers, before the vehicle is registered for the first time.

In order to verify the data in accordance with paragraphs³ and 4, FEDRO and the SFOE may require the importer to submit the COC in original form.

In determining the CO2 emissions and unladen weights of vehicles that are exempt from type approval (Art. 4 RVTAO⁴⁴, the following evidence is decisive:

1. the data based on the COC in accordance with Article 24 paragraph 3 letter a;

2. written evidence contained in an inspection report from an inspection centre listed in Annex 2 RVTAO (conformity assessment) or a foreign inspection centre (conformity certificate) that the vehicle complies with the Swiss regulations;

3. the approval of a foreign state in accordance with national or international law that is listed in Annex 2 RVTRO⁴⁵ or which is at least equivalent to the Swiss regulations; or

4. the inspection report from an inspection centre that is competent in accordance with Annex 2 RVTAO or which has been provisionally licensed by FEDRO in accordance with Article 17 paragraph 2 RVTAO.

If the vehicle is a van or a light articulated vehicle with a multi-stage type approval in accordance with Article 3 point 7 of Directive 2007/46/EC46, in determining the

Commission Regulation (EC) No 692/2008 of 18 July 2008 implementing and amending Regulation (EC) No 715/2007 of the European Parliament and of the Council on typeapproval of motor vehicles with respect to emissions from light passenger and commercial vehicles (Euro 5 and Euro 6) and on access to vehicle repair and maintenance information, OJ L 199 of 28.7.2008, p.¹; amended by Regulation (EU) 143/2013, OJ L 47 of 20.2.2013, p. 51.

See footnote to Art. 2 lett. a.

In the case of vehicles for which evidence in accordance with paragraph 1 or 2 is not available, the CO2 emissions are calculated in accordance with Annex 4. The unladen weight in kg in accordance with Article 7 RVTRO is decisive. The importer must provide proof of this unladen weight value in the form of a certificate of weight.

If the CO2 emissions of a vehicle cannot be calculated in accordance with paragraph 3, passenger cars shall be assumed to produce emissions of 300 g CO2/km and vans and light articulated vehicles 400 g CO2/km.

A reduction in the average CO2 emissions of a fleet of new vehicles in the case of large-scale importers or, where applicable, in the CO2 emissions of a vehicle in the case of small-scale importers achieved by using recognised innovative technologies in accordance with Article 12 of Regulation (EC) No 443/200947 or in accordance with Article 12 of Regulation (EC) No 510/201148 (eco-innovations) shall be taken into account to the extent of no more than 7 g CO2/km.

For passenger cars that are wholly or partially fuelled by natural gas, the SFOE shall reduce the level of CO2 emissions by the percentage of the eligible biogenic component of the gas mixture.

The average CO2 emissions of a fleet of new vehicles of a large-scale importer is calculated based on the arithmetical mean of the CO2 emissions of the passenger cars or, where applicable, vans and light articulated vehicles of the large-scale importer registered for the first time in the reference year, rounded to three decimal places.

In order to calculate the average CO2 emissions of a fleet of new vehicles in accordance with paragraph 1, the following percentage of vehicles from the fleet of new vehicles with the lowest CO2 emissions in the reference years 2020–2022 shall be taken into account:

Regulation (EC) No 443/2009 of the European Parliament and of the Council of 23 April 2009 setting emission performance standards for new passenger cars as part of the Community's integrated approach to reduce CO 2 emissions from light-duty vehicles, OJ L 140 of 5.6.2009, p.¹; last amended by Regulation (EU) No 6/2015, OJ L³ of 7.1.2015,

Regulation (EU) No 510/2011 of the European Parliament and of the Council of 11 May 2011 setting emission performance standards for new light commercial vehicles as part of the Union's integrated approach to reduce CO 2 emissions from light-duty vehicles, OJ L 145 of 31.5.2011, p.¹; last amended by Regulation (EU) No 748/2017, OJ L 113 of 29.4.2017, p. 9.

2. in the reference year 2021: 90 per cent;

3. in the reference year 2022: 95 per cent.

In order to calculate the average CO2 emissions of a fleet of new vehicles in accordance with paragraph 1, vehicles with CO2 emissions of less than 50 g CO2/km shall be taken into account up to a reduction in the average CO2 emissions of the fleet of new vehicles of a maximum total of 7.5 g CO2/km for the reference years 2020–2022 as follows:

1. in the reference year 2020: double;

2. in the reference year 2021:¹.67 times;

3. in the reference year 2022:¹.33 times.

The individual target for CO2 emissions of the fleet of new vehicles of a large-scale importer or of the individual vehicle of a small-scale importer is calculated in accordance with Annex 4a.

If a manufacturer has been granted a derogation from the target in accordance with

If a large-scale importer wishes to have vehicles with a modified individual target accounted for, it must notify the SFOE of this before any vehicle is registered for the first time in the reference year. These vehicles, irrespective of their number, each be accounted for as a separate fleet of new vehicles.

DETEC shall determine the amounts in accordance with Article 13 paragraph 1 of the CO2 Act each year for the following reference year in Annex 5. It shall use as a basis the amounts applicable in the European Union in accordance with Article 9 of Regulation (EC) No 443/200951 and Article 9 the Regulation (EU) No 510/201152 and the exchange rate in accordance with paragraph 2.

For the conversion into Swiss francs, the average daily exchange rate for selling francs in the twelve months prior to 30 June in the year before the reference year applies.

See footnote to Art. 26.

See footnote to Art. 26.

See footnote to Art. 26.

See footnote to Art. 26.

At the end of the reference year, the SFOE shall check for each large-scale importer whether the average CO2 emissions of the fleet of new vehicles exceed the individual target.

Emissions exceeding the individual target are rounded down to the nearest tenth of a gram of CO2/km to calculate the penalty.

If the individual target is exceeded, the SFOE determines the sanction in accordance with Article 13 paragraph 1 of the CO2 Act and Annex 5 and draws up the final invoice, taking into account any advance payments in accordance with Article 31 paragraph 2.

If the final invoice results in a surplus in favour of the large-scale importer, the SFOE refunds the surplus.

The SFOE shall send each large-scale importer a quarterly list of vehicles first placed on the market in the current reference year, and of the average CO2 emissions and the individual target for its fleets of new vehicles.

It may invoice large-scale importers for quarterly advance payments for any sanction in the reference year, in particular if:

1. the importer is provisionally treated as a large-scale importer in the reference year;

2. the large-scale importer is based abroad;

3. the large-scale importer is currently subject to debt enforcement proceedings or has existing certificates of loss;

4. the average CO2 emissions of a fleet of new vehicles exceed the individual target in the reference year by more than 5g CO2 / km.

The SFOE shall calculate the amount of the advance payments on the basis of the data in paragraph 1. Advance payments already made are taken into account in preparing the invoice.

The large-scale importer shall pay the invoices and the final invoice within³⁰ days of receipt.

Refunds in accordance with Article 30 paragraph 4, plus interest on refunds, shall be made within the same period.

If a large-scale importer does not pay an invoice or the final invoice on time, it shall owe interest on arrears.

The rates of interest on arrears and reimbursement interest are specified in the Annex to the FDF Ordinance of 10 December 1992⁵³ on the Due Date for and Interest on Direct Federal Taxes.

If a large-scale importer is in arrears with the payment of an invoice, the SFOE may order it to be treated as a small-scale importer until the amount owed has been paid in full.

If the SFOE considers the payment of the penalty or interest on arrears to be at risk, it may order that it be secured in the form of a cash deposit or a bank guarantee.

For each vehicle of a small-scale importer, FEDRO shall check whether the CO2 emissions of the vehicle exceed the individual target.

If the individual target is exceeded, FEDRO shall determine the sanction in accordance with Article 13 paragraph 1 of the CO2 Act and Annex 5 and invoice it. In the reference years 2020–2022, the penalty for each vehicle shall be multiplied by the percentages in accordance with Article 27 paragraph 2.

Articles³⁰ paragraph 2, 32 and 33 also apply.

FEDRO is responsible for imposing the sanction in accordance with Article 33.

In 2019 and every three years thereafter, DETEC shall report to the responsible committees of the National Council and the Council of States on the individual targets reached and the effectiveness of measures to reduce CO2 emissions from passenger cars.

Reports on vans and light articulated vehicles shall be submitted for the first time in 2022 and every three years thereafter.

The SFOE shall inform the public in some suitable form about the targets reached and publish the following information in particular:

1. the total sanctions levied and the administrative expense;

2. the number of large-scale importers or emission pools;

3. the number and type of fleets of new vehicles.

Any income from the sanction under Article 13 of the CO2 Act will be allocated to the fund for financing national highways and suburban transport in accordance with the Federal Act of 30 September 2016⁵⁴ on the National Highways and Suburban Transport Fund (HSFA) in the following year, after the final accounts of the SFOE have been prepared.

The proceeds are equal to the sanctions levied for the reference year, including default interest and less implementation costs, bad debt losses and reimbursement interest.

A company is obliged to participate in the ETS if it is engaged in an activity listed in Annex 6.55

A company that newly engages in an activity listed in Annex 6 notifies the FOEN no later than three months after starting the activity.

An ETS company may apply each year by 1 June to be exempted from the obligation to participate with effect from the beginning of the following year if the company’s greenhouse gas emissions in the before three years were less than 25 000 tonnes

Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

The company must continue to submit a monitoring plan (Art. 51) and a monitoring report (Art. 52) unless it has made a commitment to reduce greenhouse gas emissions in accordance with Article 31 paragraph 156 of the CO2 Act.

If the company’s greenhouse gas emissions increase to more than 25 000 tonnes CO2eq during a year, then it must again participate in the ETS in the following year.

A company may participate in the ETS by application if:

1. it is engaged in an activity listed in Annex 7; and

2. it thereby has a total rated thermal input of at least 10 MW.

A company that newly fulfils the participation conditions listed in paragraph 1 must submit the application no later than six months from the date of fulfilment.

A company that withdraws its application despite meeting the conditions specified in paragraphs¹ or 2 has the opportunity to resubmit an application for participation if the total rated thermal input has increased by at least 10 per cent since the last application. The application must be submitted no later than six months after the increase.57

The application must contain information about:

1. the activities listed in Annex 7;

2. 58 the installed rated thermal inputs of the company’s fixed installations;

3. the greenhouse gases emitted from the company’s fixed installations in the before three years.

The FOEN may request additional information if required for assessing the application.

In determining whether a company meets the conditions of Article 40 paragraph 1 or Article 42 paragraph 1 or 2bis, and in calculating the extent to which emission allowances or emission-reduction certificates must be surrendered annually to the Confederation, fixed installations in hospitals are not taken into account.59

A company may request that the following fixed installations not be taken into account:

The reference was amended on 1 Jan. 2018 pursuant to Art. 12 para. 2 of the Publications Act of 18 June 2004 (SR 170.512).

Inserted by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

For thermal fuels used in fixed installations that are not taken into account, the CO2 levy is not refunded.

The FOEN calculates the maximum available quantity of emission allowances each year for all ETS companies as a whole in accordance with Annex 8.

It retains 5 per cent of these emission allowances annually in order to make them accessible to new market entrants and ETS companies that significantly increase their capacity.

The FOEN calculates the quantity of emission allowances to be allocated free of charge annually to ETS companies, based on the benchmarks and adaptation factors described in Annex 9 and taking account of European Union regulations.

If the total quantity of emission allowances to be allocated free of charge exceeds the maximum quantity available minus the reserve in accordance with Article 45 paragraph 2, then the FOEN reduces the emission allowances allocated to individual ETS companies pro rata.

Amended by Annex 6 No 2 of the Waste Management Ordinance of 4 Dec. 2015, in force since 1 Jan. 2016 (AS 2015 5699).

Inserted by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

A company that participates for the first time in the ETS after 1 January 2013 receives an allocation of emission allowances free of charge from the reserve in accordance with Article 45 paragraph 2 from the start of its participation in the ETS.

Emission allowances are allocated free of charge in accordance with Article 46.

If a company’s participation in the ETS occurs after the extension of a fixed installation or after a significant increase in physical capacity, then it is allocated emission allowances free of charge in accordance with Articles 46 and 46c.

The quantity of emission allowances to be allocated free of charge annually to ETS companies is reduced from the beginning of the following year if:

1. a physical change in a fixed installation leads to a reduction of at least 10 per cent in the installed capacity of a unit decisive for emission allowances to be allocated free of charge (sub-installation); physical modifications that serve solely to reduce greenhouse gas emissions are excluded;

2. the company’s operations cease.

In the case of partial closures, the quantity of emission allowances allocated free of charge annually to an ETS company is reduced from the beginning of the following year as follows:

1. by 50 per cent if the sub-installation’s activity rate is reduced by at least 50 per cent but less than 75 per cent;

2. by 75 per cent if the sub-installation’s activity rate is reduced by at least 75 per cent but less than 90 per cent;

3. by 100 per cent if the sub-installation’s activity rate is reduced by at least 90 per cent.

The quantity of emission allowances to be allocated free of charge annually to an ETS company is increased if a physical change in a fixed installation or the expansion of a new fixed installation leads to an increase of at least 10 per cent in a subinstallation’s installed capacity.

The additional emission allowances are allocated from the date on which the additional capacity has been used for 90 days at an average of at least⁴⁰ per cent (normal operation).

If a new sub-installation is created by a physical change in a fixed installation or by the expansion of a new fixed installation, the ETS company is allocated emission

Inserted by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

If the operation of a fixed installation restarts after a partial closure in accordance with Article 46b paragraph 2, the free-of-charge allocation is adjusted accordingly as of the following year.

The FOEN regularly auctions to ETS companies all the emission allowances that have not been allocated free of charge.

If it suspects agreements affecting competition or unlawful practices by dominant companies, FOEN may cancel the auction without accepting a bid. It must report any suspicion to the competition authorities.

It may award an ETS company a limited quantity of emission allowances at the price corresponding to the result of the auction simultaneously carried out.

It may commission private organisations to conduct the auction.

ETS companies that participate in the auction must submit the following information to the FOEN in advance:

1. first names, surnames, postal and e-mail addresses, mobile phone number and proof of identity of at least one, but no more than two, authorised auction agents;

2. first names, surnames, postal and e-mail addresses, mobile phone number and proof of identity of at least one, but no more than two, bid validators.

The information is recorded in the Emissions Trading Registry.

Auction bids are binding after a bid validator gives consent.

The maximum quantity of emission-reduction certificates that an ETS company may surrender is calculated as follows:68

Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

Inserted by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

For fixed installations that in the years 2013–2020 have only been intermittently taken into account in the ETS, the maximum quantity of emission-reduction certificates is reduced according to the applicable duration.69

The maximum quantity of emission-reduction certificates is recalculated with effect from the beginning of the following year if:

1. a physical change in at least one fixed installation leads to a significant increase or reduction in a sub-installation’s installed capacity;

2. the company’s activities cease; or

3. the activities of the essential parts of the company’s fixed installations are reduced by at least half.

The maximum quantity of emission-reduction certificates for fixed installations in accordance with Article 48 paragraph 1 letter a is reduced to a maximum of 8 per cent of five times the average allowances allocated annually in the years 2008–2012 minus the emission-reduction certificates taken into account in this period.

The FOEN or a FOEN-authorised entity collects data to calculate the maximum quantity of emission allowances to be made available and the quantity of emission allowances to be allocated free of charge to individual ETS companies.

An ETS company is required to cooperate. If it violates its obligation to cooperate, then it will be denied emission allowances free of charge.

A company obliged to participate in the ETS shall submit a monitoring plan to the FOEN for approval no later than three months after the deadline for notification of new activities specified in Article 40 paragraph 2.

A company that is participating in the ETS by application submits a monitoring plan to the FOEN for approval no later than three months after the deadline for the submission of the application to participate specified in Article 42 paragraph 2 or

The monitoring plan must specify how the company ensures that:

Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

1. standardised or other established procedures are used for the measurement or calculation of greenhouse gas emissions;

2. the greenhouse gas emissions are as completely, consistently and accurately recorded as is technically and operationally possible and economically feasible;

3. the measurement, calculation and documentation of greenhouse gas emissions are traceable and transparent.

An ETS company amends the monitoring plan if it no longer meets the requirements of paragraph 3 or if an amendment is necessary due to a change under Articles 46b and 46c. It submits the amended monitoring plan to the FOEN for approval.72

An ETS company submits to the FOEN annually by 31 March of the following year a monitoring report that must contain:

1. information about the progression of greenhouse gas emissions;

2. information about the progression of production volumes;

3. an accounting of thermal fuels;

4. information about any changes in installed capacities.

The data must be shown in a summary table with comparative data of the previous years. The FOEN issues guidelines on the form of the monitoring report.

The FOEN may request additional information if required for monitoring.

It may require at any time that the monitoring report be verified by a FOENapproved verifier.

If an ETS company submits an incomplete monitoring report or fails to submit it by the deadline, the FOEN estimates the company’s greenhouse gas emissions.

The cantons verify whether ETS companies have met their information obligations under Articles⁴⁰ paragraphs 2 and⁵³ and whether the information provided is complete and traceable.

The FOEN makes the required information available to the cantons.

Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

If a canton determines that the requirements of this Ordinance have not been met, it informs the FOEN without delay.

An ETS company annually surrenders to the FOEN emission allowances and, if permitted, emission reduction certificates. Decisive are the relevant greenhouse gas emissions of the fixed installations that have been taken into account.

An ETS company meets these obligations each year by 30 April for the greenhouse gas emissions of the previous year.

On application, the FOEN may increase the maximum quantity of emissionreduction certificates that an ETS company may surrender under Article 48 if it proves that:

1. it cannot meet its surrender obligation in accordance with Article 55 without the increase;

2. it has participated in an auction of emission allowances in accordance with

To assess significant impairment to competitiveness, the FOEN also takes into account in particular the company’s receipts from the sale of emission allowances.

The application is to be submitted to the FOEN no later than 31 March of the year following the year for which the case of hardship is claimed for the first time. The FOEN decides the quantity of additional eligible emission-reduction certificates

European emission allowances acquired in accordance with paragraph 1 letter d must be transferred annually to an account of the Swiss Confederation in the European Union Emissions Trading System.

The FOEN transfers back the European emission allowances transferred by an ETS company in accordance with paragraph 4 to the company if no convention regarding

Inserted by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

It transfers back the additional emission-reduction certificates delivered in accordance with paragraph 3 to the company by 31 December 2018 if a convention regarding the linking of the Swiss ETS with the European Union Emissions Trading System comes into force. European emission allowances will be taken into account towards meeting the obligation.

If an ETS company does not meet its obligations to surrender emission allowances or emission reduction certificates by the deadline, then the FOEN rules on a penalty in accordance with Article 21 of the CO2 Act.

The payment deadline is³⁰ days from the issue of the ruling. If a payment is late,

If an ETS company does not surrender emission allowances or emission reduction certificates by 31 January of the following year, then they will be offset against the emission allowances allocated to the company free of charge for that year.

ETS companies must have an operator account in the Emissions Trading Registry.

Companies with reduction obligations under Chapter 5, operators of fossil-thermal power plants in accordance with Chapter 6 and importers and manufacturers of fossil motor fuels in accordance with Chapter 7 that hold emission allowances, emission-reduction certificates or attestations in the Emissions Trading Registry, or want to trade them, must have an operator account or a personal account.

All other companies and persons that hold emission allowances, emissionreduction certificates or attestations in the Emissions Trading Registry, or want to trade them, must have a personal account.

Companies and persons that receive attestations for a project or a programme in accordance with Article 5, for emission reductions in accordance with Article 12, or for emission reductions arising from a target agreement with an emissions target in accordance with Article 12a may have them issued directly to a third party’s operator or personal account.

Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

Companies and persons under Article 57 paragraphs 1–3 must apply to the FOEN to open an account.

The application must include:

1. for companies: an extract from the commercial register and a copy of the passport or other proof of identity of the person authorised to represent the company;

2. for individual persons: a proof of identity;

3. first names, surnames, postal and e-mail addresses and proof of identity of the applicant;

4. first names, surnames, postal and e-mail addresses, mobile phone number and proof of identity of at least of one and no more than four authorised representatives for the account;

5. first names, surnames, postal and e-mail addresses, mobile phone number and proof of identity of at least one and no more than four transaction validators;

6. a declaration that the applicant accepts the General Terms and Conditions of the Emissions Trading Registry.

Companies registered in a State in which no commercial register is maintained confirm by another form of supporting document their existence and the authorisation to sign of the person entitled to represent the company.

The FOEN may require the information in accordance with paragraphs 2 and³ to be authenticated.

It may request additional information if it requires the same for the account to be opened. This includes in particular criminal record certificates.

It opens the requested account after reviewing the information and supporting documents and as soon the applicant as has paid the fee.

Any company or person with a personal account under Article 57 must designate an address for service in Switzerland for the following persons:78

1. for companies, the person entitled to represent the company, or for persons, the account holder;

2. the authorised representatives for the account; and

3. 79 the transaction validators.

Paragraph 1 does not apply if the account was opened before 1 January 2012.

Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

The FOEN rejects the account opening or the entry of authorised representatives for the account, authorised auction agents, transaction validators and bid validators if:

1. the transmitted information or documents are incorrect or not traceable;

2. 81 the company, the managing director or one of the persons mentioned in the introductory sentence has been convicted in the before ten years of money laundering or criminal offences against property or of other criminal offences in connection with emission trading or the legislation on financial market infrastructures.

It suspends the account opening or entry if an investigation is pending against the company or a person mentioned in paragraph 1 letter b due to one of the criminal offences described in paragraph 1 letter b.

If the FOEN rejects the account opening of a company that is obliged to participate in the ETS, then the FOEN opens a frozen account to which the emission allowances allocated under Article 46 are credited. The account remains frozen until the reasons that led to the rejection of the account opening have been eliminated.

All emission allowances, emission-reduction certificates, attestations and auction bids must be recorded in the Emissions Trading Registry.

Changes in the holding of emission allowances, emission-reduction certificates and attestations are valid only if they are recorded in the Emissions Trading Registry.

Emission-reduction certificates for the following emission reductions may not be recorded in the Emissions Trading Registry:

1. long-term certified emission reductions (lCER);

2. temporary certified emission reductions (tCER);

3. certified emission reductions from projects for CO2 capture and geological CO2 sequestration (CCS).

The FOEN maintains a record of the issuance of attestations and emission allowances for the second commitment period 2013–2020 in the form of an electronic database.

Emission allowances, emission-reduction certificates and attestations are freely tradable.

Inserted by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

Amended by Annex 1 No 8 of the Financial Market Infrastructure Ordinance of 25 Nov. 2015, in force since 1 Jan. 2016 (AS 2015 5413).

Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

The authorised representatives for the account, authorised auction agents and the transaction validators and bid validators have the right to secure access to the Emissions Trading Registry.

When ordering a transaction involving emission allowances, emission-reduction certificates or attestations, authorised representatives for the account must give details of:

1. the source and destination accounts; and

2. type and quantity of emission allowances, emission-reduction certificates or attestations to be transferred.

The emission allowances, emission-reduction certificates or attestations are transferred when the transaction validator consents to the transfer.

The transaction is carried out according to a standardised procedure.

The FOEN manages the Emissions Trading Registry electronically and records all transactions and auction bids.

It ensures that it is possible to reproduce all the data relevant to transactions and auction bids at any time.

In addition to the information submitted when an account is opened, it may also require further information at any time if necessary for the secure operation of the Registry.

If the Emissions Trading Registry regulations are contravened or if an investigation is pending due to an offence under Article 59a paragraph 1 letter b, then the FOEN freezes the user access or accounts concerned. The freeze lasts until such time as the regulations are adhered to or the investigation is concluded.

The FOEN may close accounts that do not contain any emission allowances, emission-reduction certificates or attestations and that have not been used for at least a year.

Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

The FOEN may, subject to preservation of manufacturing and trade secrecy, electronically publish data held in the Emissions Trading Registry.

The Emissions Trading Registry includes the following data:

1. account number;

2. for the following persons, contact details and data in accordance with proof of identity: 1. persons in accordance with Article 57 paragraphs 1–3, 2. bid validators, 3. authorised auction agents;

3. emission allowances, emission-reduction certificates and attestations per account;

4. for ETS companies: auction bids, installation and emissions data, the quantity of emission allowances allocated free of charge and the quantity of emission allowances and emission-reduction certificates delivered to meet their obligation;

5. for domestic emission-reduction projects and programmes: the quantity of attestations issued per monitoring period and account number of the operator or personal accounts to which the attestations for the project or programme have been issued;

6. for persons with compensation obligations: the amount of the compensation obligation and the quantity of attestations and emission-reduction certificates delivered to meet the obligation;

7. for companies with reduction obligations: the quantity of emission-reduction certificates delivered to meet the obligation.

In accordance with Article 31 paragraph 189 of the CO2 Act, a company may commit to reduce its greenhouse gas emissions (companies with reduction obligations) if it:

1. is engaged in an activity listed in Annex 7;

2. produces at least 60 per cent of its greenhouse gas emissions due to an activity listed in Annex 7; and

Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

The reference was amended on 1 Jan. 2018 pursuant to Art. 12 para. 2 of the Publications Act of 18 June 2004 (SR 170.512).

The extent to which greenhouse gas emissions are reduced is determined by means of an emissions target or a measures target.

Several companies may make a joint commitment to reduce greenhouse gas emissions if:

1. each of them is engaged in an activity listed in Annex 7;

2. the source of at least 60 per cent of each of their greenhouse gas emissions is an activity listed in Annex 7; and

3. together they have emitted a total of more than 100 tonnes CO2eq of greenhouse gases in one of the before two years.

The companies are deemed a single company. They must designate a representative.

The emissions target is the maximum total amount of greenhouse gases that a company may emit by the end of 2020.

The FOEN calculates the emissions target on the basis of a linear reduction course.

The linear reduction course is based on Article 31 paragraph 3 of the CO2 Act and:

1. on the company’s greenhouse gas emissions of the before two years;

2. on the state of the art of the technology used at the company;

3. on the already realised greenhouse-gas-effective measures and their effect;

4. on the remaining reduction potential;

5. on the economic efficiency of the possible greenhouse-gas-effective measures;

6. on the portion of produced electricity that, in comparison with 2012, has additionally been used outside the company;

7. on the portion of district heating or cooling produced;

8. on the extent to which CO2 levies can be saved.

A company that was under a reduction obligation in the years 2008–2012 and would like to seamlessly continue from 2013 may apply for a simplified determination of the reduction course.

A simplified determination of the reduction course is based on the company’s greenhouse gas emissions in 2010 and 2011 and Article 3 of the CO2 Act. Insofar as companies have achieved additional reductions that exceed their commitments in the years 2008–2012, this will be taken into account in determining the reduction course, except for additional reductions achieved as the result of using waste fuels.

A company that normally emits no more than 1500 tonnes CO2eq per year may request that the extent of its reduction be determined by means of a measures target.

The measures target includes the total amount of greenhouse gas emissions that the company must reduce by the end of 2020 by means of measures.

The measures target is determined based on Article 31 paragraph 3 of the CO2 Act and:

1. on the state of the art of the technology used at the company;

2. the remaining reduction potential;

3. on the economic efficiency of the possible greenhouse-gas-effective measures;

4. on the portion of produced electricity that, in comparison with 2012, has additionally been used outside the company;

5. on the portion of district heating or cooling produced;

6. on the extent to which CO2 levies can be saved.

An application for the determination of a reduction obligation must be submitted to the FOEN by 1 September of the previous year. On request, the FOEN may appropriately extend the application deadline. It issues guidelines on the form of the application.90

The application must contain information about:

1. the activities listed in Annex 7;

2. the greenhouse gas emissions and production volumes of the previous two years;

3. the emissions target or measures target that the company strives for.

The proposal for the measures target must be prepared in consultation with one of the private organisations commissioned by the FOEN in accordance with Article 130 paragraph 6.91

The FOEN may request additional information if required for the determination of reduction obligations, particularly about:

1. the state of the art of the technology used at the company;

2. 92 already implemented greenhouse-gas-effective measures, their effect and financing;

Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

Inserted by No I of the O of 8 Oct. 2014 (AS 2014 3293). Amended by No I of the O of

Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

It may request the company to submit a monitoring plan in accordance with Article 51.

Emission reductions that a company has achieved due to product improvements outside its own production plants may on request be taken into account towards meeting reduction obligations if they are:

1. analogous with the requirements of Article 5; and

2. directly related to the company’s activity.

The procedure is described in Articles 6–11.

A company must submit annually by 31 May of the following year a monitoring report to a private organisation commissioned by the FOEN in accordance with

The monitoring report must contain:

1. information about the progression of greenhouse gas emissions;

2. information about the progression of production volumes;

3. an accounting of thermal fuels;

4. a description of implemented greenhouse-gas-effective measures;

5. information about possible deviations from the reduction course or measures target with a justification and planned corrective measures.

The data must be contrasted in a summary table with comparative data from previous years. The FOEN defines the form of the monitoring report in a directive.

The FOEN may request additional information if required for monitoring.

The FOEN amends the emissions target if a company’s greenhouse gas emissions exceed or fall short of the reduction course due to a significant and permanent change in production amount or product mix or due to the procurement of heating or cooling from a third party:94

Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

1. in three consecutive years by at least 10 per cent per year; or

2. in one year by at least³⁰ per cent.

It amends the emissions target retroactively from the beginning of the year in which the company’s greenhouse gas emissions first exceeded or fell short of the reduction course.

It takes account of the criteria in Article 67 paragraph 3.

The FOEN amends the measures target if the company’s greenhouse gas emissions change significantly due to a change in production amount or product mix or due to the procurement of heating or cooling from a third party.95

It takes account of the criteria in Article 68 paragraph 3.

On request, the FOEN shall adjust the reduction obligation of companies operating CHP plants and applying for a refund of the CO2 levy in accordance with Arti-

Applications must be submitted to the FOEN by 31 May of the following year.

Applications must contain information on:

1. CO2 emissions in 2012 resulting from the measured production of electricity fed into the grid;

2. the annual development of CO2 emissions resulting from the measured production of electricity fed into the grid.

The FOEN shall specify the form of the application.

A company that has not reached its emissions target or measures target and has not been issued attestations in accordance with Article 12 may have emission reduction certificates taken into account towards meeting its reduction obligations to the following extent:

Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

Inserted by No I of the O of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753).

1. for companies that were already subject to a reduction obligation in the years 2008–2012: 8 per cent of five times the average allowed emissions annually in this period, minus the emission reduction certificates that were taken into account during 2008-2012 but that were not required for meeting the company’s 2008–2012 reduction obligations;

2. for the remaining companies and greenhouse gas emissions: 4.5 per cent of the greenhouse gas emissions of the years 2013–2020.

The extent to which emission-reduction certificates are taken into account in accordance with paragraph 1 is as follows:98

1. for a company that was only intermittently subject to a reduction obligation in the years 2013–2020: correspondingly reduced for this time period;

2. for a company that, in comparison with 2012, produces additional electricity that is used outside the company: increased by 50 per cent of the required increase in additional reduction performance;

3. 99 for a company under paragraph 1 letter a, the emissions or measures target of which has been amended: increased or reduced in accordance with the amendment; the quantity of eligible emission-reduction certificates are thereby reduced to a maximum of 8 per cent of five times the average allowed emissions annually in this period, minus the emission-reduction certificates that were taken into account in the years 2008–2012.

If a company fails to meet its reduction obligation, then the FOEN rules on a penalty in accordance with Article 32 of the CO2 Act.

If a company that operates CHP plants fails to meet the investment obligation in accordance with Article 96a paragraph 2 or Article 98a paragraph 2, the FOEN shall order the repayment of⁴⁰ per cent of the refund paid for fuels used for electricity production in accordance with Article 32a of the CO2 Act.101

The payment deadline is³⁰ days from the entry of the ruling. If a payment is late,

The amounts repaid in accordance with paragraph 1bis shall be deemed to be reve-

Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293). 100 Amended by No I of the O of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753). 101 Inserted by No I of the O of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753). 102 Inserted by No I of the O of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753).

A power plant must have an overall efficiency of at least 62 per cent.

The overall efficiency of a power plant at a location at which a power plant was earlier operated must be at least 58.5 per cent.

The following are permissible to meet a compensation obligation:

1. 105 domestic emission-reduction projects and programmes self-implemented by the power plant operator that meet the requirements of Articles 5 and 5a;

2. investment in installations for the domestic production of heat or electricity using renewable energy sources that meet the requirements of Article 5;

3. the replacement of existing fossil-fuel heat sources with heat produced and directly decoupled by the power plant;

4. the surrender of attestations for domestic emission reductions;

5. the surrender of emission reduction certificates.

Compensation measures in accordance with paragraph 1 letters a–c are taken into account to the extent of the accounted-for emission reductions. Emission reductions that are attributable to non-refundable payments from the Confederation, cantons or communes for promoting renewable energies, energy efficiency or climate protection are only attested to the applicant if it proves that the emission reductions have not otherwise been claimed by the competent public body. Emission reductions that are attributable to surcharges obtained in accordance with Article 35 paragraph 1 EnA¹⁰⁶ are not attested.107

For the calculation of emission reductions that have been achieved through investments under paragraph 1 letter b, the CO2 emissions that on average arise from the domestic production of electricity are decisive.

A compensation contract is concluded between the power plant operator and the FOEN.

It specifically contains:

1. the requirements for compensation measures;

2. the specifications for reporting on the progression of the power plant’s CO2 emissions;

Negotiations with the power plant operator are carried out jointly by the SFOE and the FOEN. If the parties fail to reach an agreement, then the power plant operator may request the FOEN for a ruling regarding the Confederation’s contractual offer.

Persons or companies are subject to compensation obligations if:

1. they release motor fuels for consumption in accordance with Annex 10; or

2. they convert fossil gases for combustion purposes to gases for use as motor fuels in accordance with Annex 10.

CO2 emissions from motor fuels that, in accordance with Article 17 of the Mineral Oil Tax Act of 21 June 1996108, are entirely exempt from mineral oil tax, need not be compensated.

The obligations in Article 86 paragraph 1 do not apply to persons who, in the before three years, have released such small quantities of motor fuels for consumption that their use as energy has resulted in emissions of less than 1000 tonnes CO2 per year.

The exemption from the compensation obligation extends until the beginning of the year in which the CO2 emissions resulting from the use as energy of motor fuels for consumption exceed 1000 tonnes.

Persons with compensation obligations may apply to the FOEN each year by 30 November of the previous year to be treated as a compensation pool.

A compensation pool has the rights and obligations of an individual person with compensation obligations.

It has a designated representative.

CO2 emissions that result from the use as energy of motor fuels released for consumption in the relevant year must be compensated. The compensation rate is:

1. for 2014 and 2015: 2 per cent;

2. for 2016 and 2017: 5 per cent;

3. for 2018 and 2019: 8 per cent;

4. for 2020: 10 per cent.

The CO2 emissions of each motor fuel are calculated using the emission factors listed in Annex 10.

The following are allowed to meet compensation obligations:

1. for persons with compensation obligations, self-implemented domestic emission-reduction projects and programmes that meet the requirements of Articles 5 and 5a;

2. the surrender of attestations for domestic emission reductions.

Compensation measures in accordance with paragraph 1 letter a are taken into account to the extent of the emission reductions accounted for. Emission reductions that are attributable to non-refundable payments from the Confederation, cantons or communes for promoting renewable energies, energy efficiency or climate protection are only attested to the applicant if it proves that the emission reductions have not otherwise been claimed by the competent public body. Emission reductions that are attributable to surcharges obtained in accordance with Article 35 paragraph 1 EnA¹¹⁰ are not attested.111

A company or person with a compensation obligation is required to meet that obligation each year by 1 October of the following year.112

For meeting a compensation obligation in 2020, only emission reductions achieved in 2020 are taken into account.

Emission reductions from self-implemented emission-reduction projects and programmes must be proven by means of a verified monitoring report that meets the 109 Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293). 111 Amended by No I of the O of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753). 112 Amended by No I of the O of 21 Sept. 2018, in force since 1 Nov. 2018 (AS 2018 3477).

To meet a compensation obligation, the company or person submits a detailed and transparent report on the costs of each tonne CO2 compensated. For selfimplemented projects and programmes, development costs and operational expenses are to be separately documented.114

The following data and documents are managed in a FOEN-administered database per person with a compensation obligation:

1. the extent of the compensation obligation;

2. the monitoring reports and verification reports of the self-implemented projects or programmes;

3. emission reductions from self-implemented projects or programmes that are accounted-for;

4. the quantity of emission reductions from self-implemented projects or programmes that have not yet been used for compensation;

5. the quantity of emission reductions that have not yet been for compensation;

6. information about the costs of each tonne CO2 compensated;

7. development and operating costs of self-implemented projects or programmes.115

If a company or person obliged to compensate does not do so by the deadline, then the FOEN grants an appropriate grace period.

If a company or person obliged to compensate does not do so within the grace period, then the FOEN rules on a penalty in accordance with Article 28 of the CO2 Act.

The payment deadline is³⁰ days from the issue of the ruling. If a payment is late,

The lacking emission reduction certificates must be surrendered by 1 June of the following year.

The levy shall be increased as follows:

1. from 1 January 2014: at 60 francs per tonne CO2, if the CO2 emissions from thermal fuels in 2012 exceed 79 per cent of 1990 emissions;

2. from 1 January 2016: 1. at 72 francs per tonne CO2 if the CO2 emissions from thermal fuels in 2014 exceed 76 per cent of 1990 emissions, 2. at 84 francs per tonne CO2 if the CO2 emissions from thermal fuels in 2014 exceed 78 per cent of 1990 emissions;

3. from 1 January 2018: 1. at 96 francs per tonne CO2 if the CO2 emissions from thermal fuels in 2016 exceed 73 per cent of 1990 emissions, 2. at 120 francs per tonne CO2 if the CO2 emissions from thermal fuels in 2016 exceed 76 per cent of 1990 emissions.

The CO2 levy is imposed in accordance with the tariffs listed in Annex 11.

The following companies and persons may apply for a refund of the CO2 levy:

1. those exempt from the CO2 levy;

2. those that operate CHP plants, which neither participate in the ETS nor are subject to a reduction obligation (Art. 32a para. 1 CO2 Act); or

3. those that have paid a levy on thermal fuels that were not used to produce 2 The following are exempt from the CO2 levy:

On request, a company with a reduction obligation operating CHP plants shall be refunded 60 per cent of the CO2 levy on fuel used for electricity production in accordance with Article 32a of the CO2 Act if:

1. one or more CHP plants each have a rated thermal input of at least 0.5 MW and no more than 20 MW;

2. one or more CHP plants produced an additional¹.22GWh per year of fossil fuel electricity per year compared to 2012; and

3. the additional electricity produced was used outside the company.

It is entitled to the refund of the remaining⁴⁰ per cent of the CO2 levy on the fuels used for electricity production in accordance with Article 32a of the CO2 Act if:

1. it allocates this amount to the measures set out in Article 31a paragraph 2 of

2. the measure effectively serves to increase energy efficiency;

3. it does not implement the measures in another company subject to a reduction obligation or participating in the ETS;

4. it does not claim the effect of the measures elsewhere;

5. it implements the measures by 2020;

6. it regularly reports to the FOEN in accordance with Article 72; and

7. it notifies the FOEN of any derogations from the investment obligation in accordance with letter a with reasons and details of the planned corrective measures.

On application, the FOEN may extend the period referred to in paragraph 2 letter e by two years.

An application for refund must be submitted to the Swiss Federal Customs Administration (FCA) in the prescribed form.

It must include:

1. a complete compilation of the CO2 levy paid;

2. the invoices for the CO2 levy paid;

The FCA may demand further evidence if required for determining the refund.

An application for refund may cover a period of 1–12 months.

It must be submitted by 30 June for the CO2 levy paid for:

1. the previous year;

2. the fiscal year that ended in the previous year.

A claim for refund is forfeited if the application is not submitted by the deadline.

On request, a company which is neither a participant in the ETS nor subject to a reduction obligation and which operates CHP plants in accordance with Article 32a paragraph 1 of the CO2 Act shall be refunded 60 per cent of the CO2 levy on the fuels used for electricity production for each CHP plant which has a rated thermal input of at least 0.5 MW and no more than 20 MW.

The company is entitled to a refund of the remaining⁴⁰ per cent of the CO2 levy on the fuels used to produce electricity if:

1. it allocates this amount to the measures set out in Article 32b paragraph 2 of

2. the measure effectively serves to increase energy efficiency;

3. it does not implement the measures in a company subject to a reduction obligation or participating in the ETS;

4. it does not claim the effect of the measures elsewhere; and

5. it implements the measures within three subsequent years.

The FOEN may, on request, extend the period referred to in paragraph 2 letter e by two years.

Companies that operate CHP plants and are neither participating in the ETS nor subject to a reduction obligation shall submit the application for a refund to the FOEN for the attention of the enforcement authority by 30 June. In particular, it must contain:

The FOEN shall specify the form of the application.

It shall check compliance with the requirements specified in paragraph 1 letters a– g and forward the application to the FCA for a decision.

The monitoring report referred to in paragraph 1 letter d shall in particular contain information on the development of CO2 emissions resulting from electricity production and a description of the measures and investments implemented. The FOEN specifies the form of the report.

Applications for a refund in accordance with Article 98b shall be submitted for a period of 12 months and apply to fuels consumed in the previous year or in the financial year that ended in the previous year.

The refund is made by the FCA and covers 100 per cent of the CO2 levy on the fuels used to produce electricity.

The right to a refund is forfeited if the application is not submitted in due time.

Any person who has paid a levy on thermal fuels that were not used to produce energy and wants to apply for a refund must prove the quantity that was not used to produce energy. To this end, records (consumption control) must be maintained for 123 Inserted by No I of the O of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753).

The refund application must be submitted to the FCA in the prescribed form.

It must contain information about:

1. the type of usage for non-energy purposes;

2. the quantity and type of thermal fuels that were not used to produce energy;

3. the applicable rate of the CO2 levy.

The FCA may request additional information if required for determining the refund.

A refund application may cover a period from 1–12 months.

It must be submitted within three months of the end of the fiscal year.

For thermal fuels that have not been used for more than two years before the application has been submitted, there may no longer be a claim for refund.

Refund amounts of less than 100 francs per request will not be paid out.

A fee of 5 per cent of the refund is charged per application, amounting to at least

but no more than 500 francs.124

The Confederation shall grant the cantons global financial assistance in accordance with Article 34 paragraph 1 of the CO2 Act for the promotion of measures for the long-term reduction of CO2 emissions from buildings, including a reduction in power consumption in the winter period if:

1. the requirements set out in Articles 55–60 of the Energy Ordinance of 1 November 2017126 (EnO) are met;

2. the measures effectively reduce CO2 emissions, including reducing power consumption in the winter period; and

3. the measures are implemented in a harmonised manner throughout the cantons.

It shall not grant global financial assistance in particular for measures:

1. that are implemented in companies that are subject to a reduction obligation under the CO2 Act or that participate in the ETS;

2. that are implemented within the framework of agreements with the Confederation in accordance with Article 4 paragraph 3 of the CO2 Act to achieve the statutory reduction target where no additional emission target is thereby achieved;

3. the measures are already supported elsewhere by the Confederation or a private organisation in the climate sector, if no additional emission target is thereby achieved.

In return for implementing the measures, the canton is paid a lump sum from the funds made available for the long-term reduction the CO2 emissions from buildings in accordance with Article 34 paragraph 1 of the CO2 Act and in the form of global financial assistance. The lump sum amounts to five per cent of the allocated promotional contributions credited as the federal share of the subsidy.

Out of the same funds, the SFOE is paid a maximum of one million francs per year for programme communication.

The SFOE is responsible for the nationwide communication of the programme to reduce CO2 emissions from buildings. It also lays down basic principles to ensure uniform communication across cantons.

The cantons shall publicise the funding programme and draw appropriate attention to the fact that part of the funding comes from the proceeds of the CO2 levy.

Reporting is based on Article 59 EnO¹²⁹.

The report must provide adequate information on the emission reductions expected and achieved with the funding programme, in addition to the information in accordance with Article 59 paragraph 3 EnO per project funded and broken down by the individual measures.

The SFOE shall forward the report to the FOEN for information purposes.

For projects involving the direct use of geothermal energy to provide heat (Art. 34 para. 2 CO2 Act), assistance may be granted for prospecting and developing geothermal reservoirs if the projects meet the requirements of Annex 12.

Assistance shall not exceed 60 per cent of the eligible investment costs of the project as set out in Annex 12.

Applications for financial assistance must be submitted the SFOE.

They must meet the requirements of Annex 12 point³.1 and include evidence that the applications for the authorisations and licences required for the project have been submitted in full to the competent authorities and that the financing of the project has been secured.

The SFOE will consult a panel of up to six experts, independent of the project, to examine applications. In addition, the canton concerned may appoint a representative to the expert panel.

The panel of experts evaluates the applications and makes a recommendation for the SFOE’s assessment of the project. The cantonal representative has no vote in the recommendation to the SFOE. The panel of experts may call in further experts to carry out its tasks.

If the conditions for granting financial assistance are met, the Confederation shall conclude an administrative contract with the applicant. In particular, it shall specify the conditions for reclaiming the financial assistance in accordance with Arti-

If no funds or insufficient funds are available for a project, the SFOE shall place the project on a waiting list unless it clearly does not meet the eligibility criteria. The SFOE shall inform the applicant accordingly.

When funds are again available, the SFOE shall take the most advanced projects into account. If several projects are equally advanced, the project for which the application was submitted in full earliest will be considered.

Articles 28–30 of the Subsidies Act of 5 October 1990136 (SubA) apply mutatis mutandis to reclaiming financial assistance. Financial assistance can also be reclaimed if the operations of the plant generate profits that subsequently make the financial assistance appear unnecessary.

If the project is used for other purposes and a profit is made, the SFOE may demand a pro rata or full repayment of the financial assistance paid out.

The SFOE must be informed of any other use or sale regarding:

1. the planned type of use;

2. ownership and sponsorship;

3. profits and their amount.

The Confederation guarantees loans for equipment and processes in accordance with Article 35 paragraph 3 of the CO2 Act if:

1. there are market opportunities for the equipment and processes;

2. the borrower can credibly demonstrate creditworthiness; and

3. the lender takes the guarantee into account in determining the interest on the loan.

It only guarantees loans granted by a bank in accordance with the Federal Act of 8 November 1934137 on Banks and Savings Banks or another appropriate lender.

The guarantee may secure all or part of the loan but may not exceed three million francs.

On application, the FOEN shall grant the borrower a guarantee if the requirements of Article 114 are met.

The application for granting the guarantee must include:

1. information about the borrower’s organisational form and financial structure;

2. technical documentation of the project, including a description of the equipment and processes and planned development and marketing;

The FOEN may request additional information if it is required for assessing the application.

It may require collateral to secure the guarantee in well-founded cases.138

A borrower who has received a loan guarantee must inform the FOEN without delay during the duration of the guarantee about:

1. changes that could have an effect on the guarantee;

2. changes in contact information.

It must submit a report every quarter to the FOEN on:139

1. the status of the guaranteed loans;

2. 140 the course of business and its expected development; and

3. 141 the liquidity and financial structure.

It provides the business report, balance sheet and statement of financial performance to the FOEN annually. These must be submitted no later than three months following their completion.142

DETEC appoints a steering committee to administer the technology fund and by means of an administrative contract, a guarantee committee and an administrative office. It determines the principles for awarding guarantees and for the organisation.

The steering committee has strategic leadership over the technology fund.

The guarantees committee assesses the guarantee requests on behalf of the FOEN at the request of the administrative office.

The administrative office manages the technology fund’s operations. It is responsible in particular for the assessment of guarantee requests, administration of the guarantees and the processing of guarantee cases as well as control of the reporting under Article 116. It submits a report on the technology fund’s activities and financial situation to the steering committee.

The administrative office invoices guarantee holders for fees. The fee is calculated according to costs; it amounts to no more than 0.9 per cent of the guaranteed amount per year.

The resources for the technology funds are provided in the budget.

The Federal Assembly decides on the funding commitments for granting the guarantees.

The sum of the guarantees may never exceed 500 million francs.

The portion of the levy revenue for the public includes the portion of the collection year’s estimated annual revenue for the public and the difference from the amount estimated two years earlier and the public’s share of the funds not used two years earlier in accordance with Article 34 paragraph 4 of the CO2 Act.144

The estimated annual revenue equals the anticipated receipts plus positive or minus negative interest as of 31 December.

The portion of the revenue for the public is distributed by insurers in each collection year on behalf of, and under the supervision of, the FOEN. The difference between estimated and actual annual revenues and the public’s share of the unused funds in accordance with Article 34 paragraph 4 of the CO2 Act are balanced in the distribution two years later.145

The following are deemed insurers:

1. providers of mandatory health insurance under the Federal Act of 18 March 1994146 on Health Insurance (HInsA);

2. providers of military insurance under the Federal Act of 19 June 1992147 on Military Insurance (MilIA).

Insurers distribute the portion of the revenue to the public in even payments to all persons who in the collection year:

1. are subject to an insurance obligation under the HInsA or under Article 2 paragraph 1 or 2 MilIA; and

2. have their domicile or place of residence in Switzerland.

Distributions to persons who are only intermittently insured by an insurer during the collection year are in proportion to the duration of their stay.

The insurers settle the amounts by deducting the distributions from the premiums due in the collection year.

The portion of the revenue for the public is proportionately paid out to insurers by

June of the collection year.

Decisive for the calculation of the amount for each insurer is the number of persons it has insured who meet the requirements of Article 120 paragraph 3 as of

January of the collection year.

The difference between the amounts paid out and the sum of the actual distributed amounts is balanced in each subsequent year.

Each insurer shall notify the Federal Office of Public Health (FOPH) by 20 March of the collection year regarding:

1. the number of persons it has insured who, as of 1 January of the collection year, meet the requirements of Article 120 paragraph 3;

2. the sum of its actual distributions in the previous year.

Insurers inform the insured persons regarding the amounts to be distributed when they inform them of new premiums for the collection year.

The portion of the levy revenue for the business community (portion of the revenue for the business community) includes the portion of the collection year’s estimated annual revenue for the business community and the difference from the amount estimated two years earlier and the amount of unused funds in accordance with

The estimated annual revenue equals the anticipated receipts plus positive or minus negative interest as of 31 December.

The portion of the revenue for the business community is distributed to employers in accordance with the directives of the Federal Social Insurance Office by the OASI compensation offices (compensation offices) in each collection year on behalf of, and under the supervision of, the FOEN. The difference between estimated and actual annual revenues and the public’s share of the unused funds in accordance with

The compensation offices shall distribute the portion of the revenue for the business community by 30 September of the collection year. If justified, these deadlines may be appropriately extended by the FOEN on application.151

They distribute the portion of the revenue for the business community in proportion to the employees’ qualifying salary for OASI two years before the collection year. Salaries subsequently corrected due to employer reviews will not be taken into account.

The compensation offices distribute the portion of the revenue for the business community by offsetting them against employers’ contributions due in the collection year or by a pay-out to employers. Amounts of 50 francs or more that cannot be offset will be paid out. In the event of changes being made, amounts of 50 francs or more will be offset or paid out.152

The FOEN notifies the compensation offices annually of the distribution factor.

The compensation offices inform claim-eligible employers annually about the distribution factor and the paid-out sums.

The FOEN determines the remuneration of the compensation offices in consultation with the Federal Social Insurance Office.

The remuneration is based on a cost code, taking into account the number of employers with which the compensation offices concerned are required to settle.

In cooperation with the cantons and professional organisations in accordance with

Within the scope of authorised financial assistance, the FOEN shall provide grants to public and private organisations that offer basic and advanced training in the field of climate protection and coping with the consequences of increased greenhouse gas concentrations in the atmosphere.

The FOEN shall implement this Ordinance. Paragraphs 2–6 remain reserved.

The SFOE shall implement the provisions relating to the reduction of CO2 emissions from passenger cars, vans and light articulated vehicles. It is supported by the FEDRO.154

The FCA shall implement the provisions relating to the CO2 levy.

In consultation with the SFOE, the FOEN shall implement the provisions on attestations for domestic emission reductions and on the promotion of technologies for the reduction of greenhouse gas emissions.155

The SFOE shall implement the provisions on global financial assistance with the long-term reduction of CO2 emissions from buildings and on assistance with the direct use of geothermal energy.156 154 Amended by No I of the O of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753). 155 Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293). 156 Inserted by No I of the O of 8 Oct. 2014 (AS 2014 3293). Amended by No I of the O of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753).

In consultation with the SFOE, the FOEN implements provisions relating to the promotion of basic and advanced training.

The SFOE and private organisations commissioned by the SFOE or the FOEN support the FOEN in implementing the provisions relating to commitments to reduce greenhouse gas emissions.

The FOEN maintains the greenhouse gas inventory.

Based on the greenhouse gas inventory, it calculates whether the reduction target under Article 3 of the CO2 Act has been met. To this end, CO2 emissions from fossilthermal power plants and emission reductions achieved within the scope of compensations agreements until 2020 will not be taken into account.

Implementation authorities may at any time carry out controls without prior notification, particularly of ETS companies, companies with reduction obligations, companies and persons obliged to pay the CO2 levy and companies and persons that have applied for refunds of the CO2 levy.

The implementation authorities must on request:

1. be given all information required for implementation of this Ordinance;

2. be provided with all books, business papers, electronic data and documents required for implementation of this Ordinance.

The data collected for implementation of this Ordinance shall be made available to the implementation authorities concerned if required for implementation. In particular:

1. 159 FEDRO shall transmit to the SFOE the data required for implementation of Chapter 3 of this Ordinance (Art. 31);

2. 160 the FOEN transmits to the SFOE the data required for the assessment of: 1. applications for the issuance of attestations (Art. 7, 12 and 12a), 2. applications for the determination of a reduction obligation, and 157 Amended by No I of the O of 8 Oct. 2014, in force since 1 Jan. 2015 (AS 2014 3293).

The FCA and the Swiss Organisation for Compulsory Stockpiling of Oil Products (Carbura) may exchange data in order to implement provisions relating to the compensation of CO2 emissions from motor fuels.162

Emission allowances that have not been used in the years 2008–2012 shall be converted on 30 June 2014:

1. for ETS companies: into emission allowances in accordance with this Ordinance;

2. for companies with reduction obligations: into credits to compensate a failure to meet their emissions target or measures target;

3. for remaining companies and persons: into attestations for domestic emission reductions.

Companies with reduction obligations may apply at any time to have their credits converted into attestations in accordance with paragraph 1 letter b.

ETS companies, companies with reduction obligations and power plant operators may apply to the FOEN to carry-over a maximum of as many unused emissionreduction certificates from the 2008–2012 period into the 2013–2020 period as it is anticipated they will be permitted to surrender to meet their obligations under this Ordinance.176

Only emission reduction certificates that comply with the requirements of Article 4 may be carried over.

The FOEN determines the total amount that may be carried over on the basis of Switzerland’s international commitments.

ETS companies and companies with reduction obligations will be given priority for the carry over.

Emission-reduction certificates that have not been carried over can be surrendered towards meeting commitments under this Ordinance by 30 April 2015 if they comply with the requirements of Article 4.177

Emission-reduction certificates that have not been carried over will be cancelled by the FOEN after 30 April 2015.178

The current CO2 Act applies to projects that the FOEN has assessed as appropriate domestic compensation projects before 1 January 2013.

Emission reductions achieved from projects in accordance with paragraph 1 before

January 2013 and confirmed by the FOEN are eligible for application by

December 2014 for attestations for emission reductions under this Ordinance.

ETS companies that are engaged in the activities listed in Annex 6 when this Ordinance comes into force must register with the FOEN by 28 February 2013, and 175 Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293). 176 Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293). 177 Amended by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293). 178 Inserted by No I of the O of 8 Oct. 2014, in force since 1 Dec. 2014 (AS 2014 3293).

May 2013.

Companies that are engaged in the activities listed in Annex 7 when this Ordinance comes into force must submit an application to participate in the ETS by

June 2013, and submit a monitoring plan to the FOEN for approval in accordance with Article 51 by 1 September 2013.

ETS companies that wish to be exempted from the obligation to participate in the ETS starting in 2013 must submit an application to do so by 1 June 2013.

Companies with commitments to reduce greenhouse gas emissions in accordance with Article 66 that would like to apply for a refund of the CO2 levy for 2013 must submit an application for a determination of its reduction obligation by 1 June 2013. In the application, they must provide information regarding their greenhouse gas emissions in 2010 and 2011.

To assess whether the commitment has been met and to assess penalties for a possible failure to meet the commitment in the 2008–2012 period, the previous legislation applies.

For power plants that have been legally authorised before 1 January 2011, the following apply until 31 December 2020:

1. Articles 80–85 do not apply;

2. the CO2 levy will not be refunded.

Paragraph 1 does not apply to power plants that fall within the scope of the Federal Decree of 23 March 2007180 on the Compensation of CO2 Emissions from Gas-fired Combined-cycle Power Plants.

The FCA may on request provisionally refund the CO2 levy if the company:

1. was subject to a reduction obligation in the years 2008–2012; and

2. has reported to the FOEN its obligation to participate in the ETS from 2013, or submitted an application for determination of its reduction obligation or its participation in the ETS from 2013.

If a company fails to fulfil the requirements for participation in the ETS or if its application for a determination of its reduction obligation is rejected, then it must fully repay the refunded amounts with interest.

Emission-reduction certificates under Article 60 paragraph 3 that are entered into the Emissions Trading Registry before the coming into force of the amendment of 8 October 2014 must no later than 30 April 2015:

1. be transferred into the emissions trading registry of another contractual party under Annex B of the Kyoto Protocol of 11 December 1997182; or

2. be voluntarily cancelled under the rules of the Kyoto Protocol.

Emission-reduction certificates under Article 60 paragraph 3 that expire before 30 April 2015 may be replaced with the corresponding number of emissionreduction certificates that may be counted in accordance with Article 4 under the rules of the Kyoto Protocol.

Expired emission-reduction certificates will be cancelled.

In the case of programme agreements under Article 34 paragraph 1 letter a of the CO2 Act that are entered into before the Amendment of 22 June 2016 comes into force, Article 104–110, 112 and 113 apply in their previous wording, together with

Unused funds from programme agreements entered into before the Amendment of

June 2016 comes into force shall be returned by the canton to the Confederation within three years at the latest of the expiry of the programme agreement.

letter a does not apply to:

1. emission reduction certificates from projects that have been registered before 1 January 2013 in accordance with Article 12 of the Kyoto Protocol of 11 December 1997188;

2. emission reduction certificates for emission reductions achieved before 1 January 2013 from projects in accordance with Article 6 of the Kyoto Protocol of 11 December 1997.

of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753).

Scope of application The requirements of this Annex apply to projects and programmes if they involve:

1. constructing a new heating network with a predominantly CO2-neutral heat

2. replacing a central, fossil-fuelled boiler in an existing heating network that uses exclusively fossil-fuel heat sources with one or more predominantly CO2-neutral heat sources;

3. adding one or more predominantly CO2-neutral heat sources to a central, fossil-fuelled boiler in an existing heating network that uses exclusively fossil-fuel heat sources;

4. constructing a new heating network that also entails replacing a central, fossil-fuelled boiler in an existing heating network that uses exclusively fossilfuel heat sources with one or more predominantly CO2-neutral heat sources;

Definitions

1. local heating network means a network to distribute heat with centralised sources and decentralised consumers (heat consumers);

2. existing consumers means heat consumers that were already connected to an existing local heating network before the start of implementation under Article 5 paragraph 2;

3. new buildings means buildings that are under construction at the time of connection to the local heating network and which are not existing consumers.

Requirements for the calculation of emission reductions 3.1 Metrological requirements Projects and programmes must meet all the following metrological requirements in particular:

1. the consumption of all fossil energy sources used by the heating system and the electricity consumption of heat pumps used by the heating system must be measured;

2. the quantities of heat used by all heat consumers must be measured; the quantities of heat used by new buildings and by companies exempted from the CO2 levy under Article 96 paragraph 2 must be shown separately.

Requirements for the monitoring concept 1. For projects and programmes in accordance with this Annex, the measurement results, documents and requirements listed in numbers 4.1–4.6 must be taken into account in the monitoring report. 2. The calculation of the emission reductions must be made on the basis of the measurement results.

paragraph 2:

1. the name and address must be provided; and

2. the reference scenario emissions in tCO2eq for each company must be indicated.

%.. EFexisting is the emission factor for the local heating network, depending on the type of central boiler to be replaced. when replacing a gas-fired boiler, the emission factor for the local heating network amounts to EF1Gas / 90 %. when replacing a oil-fired boiler, the emission factor for the local heating network amounts to EF1heating oil / 85 %. EF1gas is the emission factor for natural gas in accordance with Annex 10 converted into tCO2eq/MWh. For converting the unit must be used. EF1heating oil is the emission factor for heating oil; this amounts to 0.265 EFelectricity is the emission factor for electric current; this amounts to 4.2 Quantity of heat measured at the consumers When measuring the heat supplied (Wneu,1,y) (Wexisting,l,y) to new and existing consumers, the following requirements must be met:

1. the heat supplied to the consumer l in year y must be measured;

2. a heat meter must be used as the data source;

3. the measurement must be recorded in megawatt hours (MWh);

4. the measurement must be made continuously;

5. quality assurance must meet the requirements of the Measuring Instruments Ordinance of 15 February 2006194 (MIO) and the related implementing provisions issued by the Federal Department of Justice and Police (FDJP); and

6. the point of transfer from the local heating network to the consumer must be used as the measuring point.

Scope of application The requirements of this Annex apply to landfill gas projects and programmes

1. these involve landfills or former landfills that produce methane emissions without the planned lean gas treatment and that contain a sufficiently high proportion of organic waste;

2. the planned lean gas treatment is not already required by law or by official order; and

3. the planned lean gas treatment corresponds as a minimum to the state of the art and has been optimised according to the current and future composition of the landfill gas.

Definitions

1. flare efficiency (FE) means the percentage of methane effectively burned during flaring or generally oxidised in gas treatment processes;

2. aerobic degradation means the microbial degradation of organic matter under aerobic conditions;

3. anaerobic degradation means the microbial degradation of organic matter under anaerobic conditions;

4. landfill means a waste plant in which waste is deposited under controlled conditions;

5. landfill gas means gas formed by the biological conversion of organic matter contained in landfills;

6. intermittent flaring means the irregular combustion of landfill gas due to insufficient methane content;

7. oxidation factor (OX) means the percentage of methane in the landfill gas that oxidises in the boundary layer before escaping into the atmosphere;

8. suction efficiency (SE) means the percentage of landfill gases treated by a degassing system;

Requirements for calculating emission reductions 3.1 System boundaries 1. The system boundaries of the project or programme must encompass the landfill and the fossil-fuel emissions from the lean gas treatment. 2. The supply routes for the deposited waste must lie outside the system boundary.

Requirements for the monitoring concept 1. For projects and programmes in accordance with this Annex, the monitoring report must be accompanied by the measurement results and documents listed in numbers 4.1–4.6. 2. The calculation of the emission reductions must be substantiated by the measurement results.

Calculation of CO2 emissions 1.1 Petrol motor and manual gear change: 1.2 Petrol motor and automatic gear change: 1.3 Petrol motor and hybrid electric drive: 1.4 Diesel motor and manual gear change: 1.5 Diesel motor and automatic gear change: m: unladen weight of the vehicle in kg p: maximum engine power in kW

Rounding of the CO2 emissions The CO2 emissions are rounded to the nearest whole number as follows:

1. If the digit following the decimal point is 4 or less, then the number is rounded down.

2. If the digit following the decimal point is 5 or greater, then the number is rounded up.

Calculation of the individual target for small-scale importers and manufacturers For small-scale importers, the individual CO2 emissions target is calculated individually for each vehicle using the following formula and rounded to three decimal places: Individual target for the vehicle: z + a ∙ (m – Mt-2) g CO2/km; For large-scale importers, the individual target for the average CO2 emissions is calculated individually for each fleet of new vehicles using the following formula and rounded to three decimal places: Individual target for the fleet of new vehicles: z + a ∙ (Mi,t – Mt-2) g CO2/km; z: target value for CO2 emissions in accordance with Article 10 paras¹ and 2 for passenger cars: 130g CO2/km up to and including reference year 2019, for vans and light articulated vehicles: 147g CO2/km from reference year 2020 a: slope of the target value line: for passenger cars: 0.0457 up to and including reference year 2019, 0.0333 from reference year 2020 for vans and light articulated vehicles: 0.096 from reference year 2020 m: unladen weight of passenger cars or, where applicable, of vans or of light articulated vehicles in kg (Art.²⁴ and 25) Mi,t: average unladen weight of the importer’s passenger cars registered for the first time in the reference year or, where applicable, vans or light articulated vehicles of the large-scale importers in kg, rounded to three decimal places Mt-2:average unladen weight of the passenger cars registered for the first time in Switzerland in the penultimate calendar year before the reference year or, where applicable, vans or light articulated vehicles in kg 197 Inserted by No II para.³ of the O of 1 Nov. 2017 (AS 2017 6753). Revised by No I of the DETEC Ordinance of 16 Sept. 2019, in force since 1 Nov. 2019 (AS 2019 2959).

Average unladen weight 2.1 Passenger cars The average unladen weight of passenger cars registered for the first time in the following years amounted to:

1. 2015: 1532 kg;

2. 2016: 1563 kg;

3. 2017: 1588 kg;

4. 2018: 1601 kg.

Sanction amounts for the reference year 2017 The sanction amounts to be paid if the individual target is exceeded for the reference year 2017:

1. for the first gram of CO2/km (from 0.1 gram up to and including¹ gram) above the individual target: CHF 5.50;

2. for the second gram of CO2/km (from¹.1 gram up to and including 2 grams) above the individual target: CHF 16.50;

3. for the third gram of CO2/km (from 2.1 grams up to and including³ grams) above the individual target: CHF 27.50;

4. for every additional gram of CO2/km (from³.1 grams) above the individual target: CHF 103.50.

Sanction amounts for the reference year 2017 The sanction amounts to be paid if the individual target is exceeded for the reference year 2018:

1. for the first gram of CO2/km (from 0.1 gram up to and including¹ gram) above the individual target: CHF 5.50;

2. for the second gram of CO2/km (from¹.1 gram up to and including 2 grams) above the individual target: CHF 16.50;

3. for the third gram of CO2/km (from 2.1 grams up to and including³ grams) above the individual target: CHF 27.50;

4. for every additional gram of CO2/km (from³.1 grams) above the individual target: CHF 104.50.

Sanction amounts for the reference years 2019 and subsequent The sanction amounts to be paid if the individual target is exceeded amount for each gram of CO2/km (from 0.1 grams):

1. for the reference year 2019: CHF 111.00.

2. for the reference year 2020: CHF 109.00.

tonnes per day;

of 1 Nov. 2017, in force since 1 Jan. 2018 (AS 2017 6753).

Benchmarks 1.1 The quantity of emission allowances to be allocated free of charge annually is based on the following product benchmarks:

General calculation of the emission allowances to be allocated free of charge The free-of-charge allocation is calculated per sub-installation for each year of participation in the ETS, subject to number 4, according to the following formula:

Adaptation factors For sectors and subsectors that are not listed in the Annex to Decision 2014/746/EU204, the quantities calculated in accordance with numbers 2 and

are multiplied by the following of adaptation factors: 3.1.1 for the year 2013: 0.8 3.1.2 for the year 2014: 0.7286 3.1.3 for the year 2015: 0.6571 3.1.4 for the year 2016: 0.5857 3.1.5 for the year 2017: 0.5143 204 See footnote to Art. 135 lett. dbis.

Special adaptation factors for thermal fuels and electricity operated production processes 4.1 No emission allowances are allocated free of charge for indirect emissions from the use of electricity. For benchmarks of production processes that can be operated with either thermal fuels or electricity, 0.465 t CO2 per MWh will be deducted for the indirect emissions from electricity used. The quantity of emission allowances to be allocated free of charge annually is calculated in these cases as follows:

Prospecting and development Prospecting covers investigations which on the one hand serve to indirectly characterise the subsoil of a presumed geothermal reservoir and, on the other hand, determine the above-ground site and the underground landing point of an exploration well. Development covers exploration by drilling and extracting hot water and the possibility of returning the extracted water (via a second drill hole) into the geothermal reservoir.

Eligible investment costs Eligible costs comprise only the investment costs for prospecting that are actual costs and are directly necessary for the economic and appropriate implementation of the project and which cover:

1. the acquisition of new geodata in the prospecting area;

2. work required for the acquisition of new geodata;

3. analysis and interpretation.

Procedure to support prospecting Application The application must provide information on the technical, economic, legal, safety, environmental protection and organisational aspects of the project, in particular on:

1. the current state of knowledge in the exploration area including all existing processed geodata, analyses and interpretations;

2. the geological prospecting planned for determining the sites and landing points of a well and the location and characterisation of a geothermal well, and the expected added value in terms of an increase in the probability of successful development;

3. utilisation concepts for successful prospecting and preliminary feasibility studies;

4. detailed schedules and cost estimates with deviations of no more than 20 per cent;

5. the measures planned to identify hazards and risks to health, occupational and operational safety, and the environment, in particular drinking water resources, and the measures planned to reduce these risks to a level that is as low, reasonable and practicable as possible.

Procedures to support development An application for support for development may only be submitted if prospecting has been carried out beforehand in the area concerned and a prospecting report regarding the probability of a presumed geothermal reservoir is available. Application The application must provide information on the technical, economic, legal, safety, environmental protection and organisational aspects of the project, and in particular on:

1. the detailed drilling, completion, measuring and testing programme for all planned drilling;

2. detailed schedules and cost estimates with deviations of no more than 20 per cent;

3. the expected properties of the presumed geothermal reservoir, in particular its temperature in the borehole at the level of the reservoir and its transport properties;

4. the planned use of the wells and the geothermal reservoir if the results do not meet expectations;

5. the measures planned to identify hazards and risks to health, occupational and operational safety, and the environment, in particular drinking water resources, and the measures planned to reduce these risks to a level that is as low, reasonable and as practicable as possible;

6. the innovations planned to open up geothermal reservoirs in Switzerland in a reliable and promising manner;

7. the importance of development works in relation to the exploration of Switzerland’s subsoil for geothermal reservoirs;

8. the intended legal form or name and business of the operating company;

9. the financing and administrative costs of the development, construction, extension, operation and dismantling phases;

10. the use of the hot groundwater obtained on the basis of a utilisation concept, a description of the planned heat consumers and their integration into the project, including the expected reductions in CO2 emissions.

Geodata The applicant shall make the respective geodata available free of charge to swisstopo and to the canton where the prospecting and development is taking place in accordance with the technical specifications of swisstopo no later than six months after the data was collected. swisstopo may use and process these geodata in accordance with the objectives of the Geoinformation Act of 5 October 2007210 and the Geological Survey Ordinance of 21 May 2008211; the cantons with prospecting and development sites may do so in accordance with their respective regulations. It shall make the primary and the processed primary geodata available to the public within²⁴ months after completion of prospecting and within 12 months after completion of development.