Published on 16 May 2025
Decarbonising industry
In Switzerland, the industrial sector is responsible for around a quarter of all greenhouse gas emissions. Reducing industrial emissions could thus play a significant role in Switzerland reaching its net zero target by 2050.
The aim is to support the industrial sector in decarbonising and introducing innovative technologies and processes such as CO2 capture and storage.
In accordance with Article 37b of the CO2 Act, installations that are obliged to participate in the ETS are entitled to funding for decarbonisation measures. Installation operators who have applied for and received an exemption from participating in the ETS or who participate voluntarily in the ETS are not eligible for funding.
The measures must lead to a significant reduction in fossil fuels used to operate the installations. In order to avoid a deadweight effect, funding is only available for measures that would not otherwise have been applied or not to the same extent.
Part of the proceeds from the auctioning of emission allowances for ETS installations is used for the funding. The amount of funding available for investment is maximum 50% of the eligible costs.
From 2026, funding applications must be submitted by 31 March each year via the CORE information and documentation system operated by the FOEN.
If the funding applications submitted by the deadline exceed the resources available for the corresponding calendar year, all applications that meet the formal and content-related criteria will be evaluated based on the order of priority in accordance with Article 127l of the CO2 Ordinance.
Businesses are required to report on implementation of the measure. An evaluation report must be drawn up three years thereafter. If the impact of the measure was overestimated by more than 20%, the funding will normally be reclaimed on a pro-rata basis.
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Article 6 of the Climate and Innovation Act provides incentives for innovative technologies and processes. On this basis, the FOEN and the Swiss Federal Office of Energy (SFOE) support decarbonisation measures or programmes implemented by innovative companies, for example in the areas of sector coupling, transport, energy storage, processes, resource efficiency/circular economy and carbon capture and storage.
Applications for funding must be accompanied by a net-zero roadmap showing how the company intends to decarbonise and reduce emissions to net zero by 2050 at the latest.
Funding may applied for directly or in a call for projects as capital investment or annual operating subsidies. A maximum of 50 per cent of the eligible costs can be awarded.
To avoid a deadweight effect, funding is only provided for measures that would not otherwise be implemented or would not be implemented to the same extent without this funding. For companies participating in the Emissions Trading System (ETS), the amount of funding awarded is reduced by the profits that are expected to be generated from emissions trading.
Applications for funding can be submitted between 1 June 2025 and 30 September 2030.
Calls for projects on specific topics may also be held. The requirements and modalities to be observed when participating in such calls are set out in the respective call documents.
Receivers of funding are required to submit a report once the measure has been implemented and three years thereafter (evaluation report).
The SFOE is responsible for running this programme.
Further information, including guidelines on net-zero roadmaps and funding, can be found here:
Specialist contact:
Further information
- Fedlex: Klima- und Innovationsgesetz (KlG)
(available in German, French and Italian)
- Fedlex: Klima- und Innovationsgesetz (KlG)