Brick by brick or new from scratch? Options to further develop energy efficiency in the Swiss building sector

Extended abstract 7-186-26

The building sector consumes more than 40% of Switzerland’s final energy demand. The building stock comprises around 1.8 million residential buildings, plus approximately 1 million non-residential buildings. Heating accounts for roughly 30% and heating oil still remains the most common energy source, followed by natural gas and electricity. Switzerland pursues the goal to reduce its greenhouse gas emissions to net zero by 2050. Projections that are compatible with this goal show that till 2050, energy consumption in the building sector should be reduced from around 90 TWh to 65 TWh and that fossil fuels will play virtually no more role. To achieve these goals, in addition to replacing fossil fuel heating systems and using renewable energy, efforts in energy efficiency are particularly needed. The situation is particularly challenging in terms of renovating the existing building stock.

An important element of the institutional set-up in Switzerland are the far-reaching responsibilities of the “cantons”, i.e. the subnational level. The cantons are in charge of building regulations. Subsidies, as well as measures for information, are jointly provided by the federal government and the cantons. In addition, there are tax schemes and levies that set further incentives. Like in other countries, public funds are more and more under pressure.

The presentation starts with an up-to-date overview of the current situation, the potentials for energy efficiency and existing policy instruments. The focus is set primarily on the specific regulations, financial incentives and informational measures in place on the federal and cantonal level. The impact of these measures and their coordination are assessed, as well as the responsibilities, possibilities and challenges at the different federal levels. It then addresses a number of possible options on the goals and instruments that could be pursued in the future. 

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