New Swiss Net-zero Roadmap Guidelines: What Businesses Need to Know

At the beginning of 2025, Switzerland took another significant step toward its climate goals with the introduction of the new Net-zero Roadmap Guidelines under its Climate Protection and Innovation Law (KlG). These guidelines provide a standardised approach for businesses to develop their decarbonisation strategies (or roadmaps) in alignment with the country’s target of net-zero greenhouse gas (GHG) emissions by 2050.

The Net-Zero Roadmap Guidelines introduce specific measures for reporting emissions and define the use of market-based climate instruments such as Guarantees of Origin (GOs), emissions reduction credits, and carbon removals (CDR).

We have outlined in this article what businesses need to know about these new guidelines and how they can implement market-based tools in their decarbonisation strategies.

What Should Net-Zero Plans Include?

To align with Switzerland’s climate goals, companies are required to develop an individual roadmap outlining their path to net-zero emissions by 2050. This roadmap begins with a comprehensive greenhouse gas inventory, which establishes a baseline for emissions reduction, covering direct (scope 1) and indirect (scope 2) emissions, while also recommending the inclusion of both upstream and downstream value chain emissions (scope 3).

Under Switzerland’s Climate Protection and Innovation Law, all companies are required to reach net-zero emissions for scope 1 and scope 2 by 2050, making it mandatory for businesses to address both direct and indirect emissions in their decarbonisation strategies. While scope 3 emissions are not obligatory, companies are encouraged to incorporate them into their broader climate action plans.

Additionally, a roadmap must define a compensation strategy for residual, unavoidable emissions by 2050, incorporating negative emissions solutions, with the potential to achieve a net-negative balance. To ensure effective implementation, companies must develop a realistic action plan, outlining key milestones and measures to meet both reduction and compensation objectives.

Scope 1 & Scope 2 Emissions: Biomethane and Guarantees of Origin

According to the Guidelines, companies must adhere to the GHG Protocol Corporate Accounting and Reporting Standard for emissions accounting.

Biomethane produced in, or physically imported into Switzerland, can be counted in scope 1 emission reductions, however, renewable gas produced abroad has limited eligibility. To ensure compliance, companies must assign and cancel the corresponding biomethane GOs within the Swiss renewable gas and fuels GO registry.

Companies must also adopt a dual reporting system for scope 2 emissions, using both location-based and market-based approaches. For the location-based approach, emissions from electricity consumption are calculated based on the Swiss consumer mix. For the market-based approach, emissions are determined according to the specific electricity supply contract. In line with GHG Protocol’s requirements, contractual instruments used for market-based scope 2 accounting must originate from the same market in which the company’s electricity-consuming facilities are. This means only Swiss GOs and Power Purchase Agreements (PPAs) are valid for market-based accounting. For further information on market-based and location-based emission reporting methods, please refer to our recent blog post.

Emissions Reduction Credits: Encouragement but No Direct Offsetting

One of the major takeaways from the guidelines is that voluntary emissions reduction carbon credits cannot be used to offset a company’s emission reduction roadmap. Companies, however, are still encouraged to purchase these credits to support climate projects beyond their internal reduction efforts.

This distinction means that while Swiss companies cannot use carbon credits as a direct compliance tool, there may still be growth in demand for high-quality, Paris Agreement-aligned, carbon credits, as firms seek to contribute to broader climate protection initiatives.

Carbon Removals: A Critical Component of Net-Zero Strategies

A final key aspect of a company’s climate roadmap is the mandatory integration of carbon removals (also known as Carbon Dioxide Removal or CDR) into corporate net-zero strategies. Companies must plan to offset unavoidable emissions (also referred to as hard-to-abate emissions) using carbon removals by 2050 at the latest.

Emissions Reduction Credits vs Carbon Removals

While both carbon removals and emissions reduction credits are important tools in climate action, there are fundamental differences businesses must understand clearly.

Emissions Reduction Credits, commonly known as carbon credits, represent verified reductions or avoidance of greenhouse gas emissions achieved through external projects, unrelated to the emitting company’s own operations. These credits indicate that emissions have been reduced or avoided elsewhere compared to a baseline scenario, allowing businesses to compensate for emissions generated by their activities. However, under Switzerland’s new guidelines, emissions reduction credits cannot be used directly to offset a company’s residual emissions as part of the mandated net-zero roadmap. Instead, companies are encouraged to voluntarily purchase these credits to contribute to global climate mitigation beyond their immediate corporate footprint.

In contrast, carbon removals involve actively removing CO₂ already emitted into the atmosphere and safely storing it long-term, effectively achieving negative emissions.

This clear distinction highlights the strategic importance of carbon removal investments, as only carbon removals are accepted as valid offsets against unavoidable emissions under the new guidelines. As such, businesses should proactively seek partnerships and investment opportunities in credible carbon removal projects to align effectively with Switzerland’s net-zero commitments.

Align Your Business with Switzerland’s New Net-zero Roadmap Guidelines

Switzerland’s new climate roadmap guidelines mark a major shift in corporate emissions management. For businesses, now is the time to align strategies with the new framework, explore compliant climate instruments, and seek expert guidance to ensure they meet Switzerland’s ambitious climate goals. From procurement of biomethane, GOs, CDRs, and voluntary carbon credits, to assisting businesses in developing and implementing effective net-zero strategies, Nvalue ensures that Swiss companies can attain their climate goals.