|Policy Type:||Economic Instruments>Market-based instruments>GHG emissions trading|
|Climate Change Description:|
A Swiss Emissions Trading Scheme took effect on 1 January 2008, at the same time that a CO2 tax was introduced. The scheme is linked to voluntary agreements to reduce emissions under the pre-existing CO2 Law. Companies covered by voluntary agreements can convert these agreements into legally binding CO2 emissions targets, allowing them to participate in emissions trading and be exempted from the CO2 tax. Emission allowances are allocated to companies for free and from 2008, emission allowances equivalent to the amount of CO2 emitted have to be surrendered annually. Additional allowances can be sold. Where non-compliance occurs (i.e. where the adequate number of allowances is not surrendered) the CO2 tax is paid retroactively for each tonne of CO2 emitted since the exemption was granted.
Last modified: Wed, 08 Jun 2016 11:53:50 CEST