Jour
nal

No. 2
2024  

The KliK Journal provides articles and interviews on the KliK Foundation’s national and international activities, in addition to the annual report.

Climate protection: local, global, effective

Since 2013, the KliK Foundation has promoted the switch to renewable energies and increasing energy efficiency in Switzerland. Within ten years, its funding has contributed to a reduction in CO₂ equivalent of over 15 million tonnes. These reductions have been precisely measured and confirmed individually by the Swiss Confederation. However, further emission savings in Switzerland are becoming increasingly complex and more expensive. The financial incentives for implementing climate protection measures as offered by the KliK Foundation no longer automatically fall on fertile ground.

As a result, the potential for using the offsetting instrument in Switzerland is largely exhausted. At the same time, the Federal Council wants Switzerland to make a significant contribution to climate protection outside its borders. With this in mind, the offsetting instrument has been used to finance appropriate greenhouse gas mitigation activities abroad since 2022. These activities must take place within the framework of Article 6 (A6) of the Paris Agreement. This strategy has come under repeated vocal criticism that not only blocks out its benefits but is also fundamentally flawed. A few points to note here:

  • A6 mitigation activities are authorised by Switzerland and the partner country. As part of this, the additionality of the activity has to be demonstrated, both in terms of its non-profitability and also in relation to the nationally determined contribution (NDC) of the partner country. Furthermore, double counting between Switzerland and the partner country must be ruled out, and the emission reductions proven clearly and coherently through monitoring, reporting and verification.

  • Through the activities, the partner country benefits from investments, jobs, education and training courses, technology transfers, improved quality of life and the environment, and many other aspects.

  • After support by the KliK Foundation has ended, the partner country can take the ongoing emission reductions into account in its NDC. As a result, each additional A6 activity brings it one step further on its reduction path by 2050.

Finally, there is also something to celebrate. In December 2023, the very first A6 attestations were issued – and the KliK Foundation was the recipient. These originate from the emission reductions seen in the Bangkok E-Bus Programme, which we reported on in KliK Journal No. 1. This is an important milestone in the implementation of the Paris Agreement!

We hope you enjoy the many exciting insights in the second issue of the KliK Journal.

Dr Marco Berg

Managing Director of the Foundation for Climate Protection and Carbon Offset KliK

Focus

Inter
natio
nal

Switzerland implements Article 6 of the Paris Agreement, which enables its signatories to pursue their climate protection targets through international cooperations. In December 2023, Switzerland signed bilateral climate agreements with Chile and Tunisia for the implementation of Article 6. As a result, the KliK Foundation can now offer financial support to 13 partner countries of Switzerland in their greenhouse gas mitigation activities. In this year’s Journal, the spotlight is on Ghana – who has made the most progress in the national implementation of Article 6.

Selected international activities

Mitigation activities implemented under the Paris Agreement must supplement the efforts of partner countries and serve to raise their ambition in fighting climate change. To this end, mitigation activities must be carefully selected, as well as being designed and developed in cooperation with partner countries to meet local needs.

The mitigation activity of ACT Commodities aims to distribute and install 10,000 Sistema.bio biodigesters through its partner EcoGen in Malawi. Smallholder farmers can purchase a highly subsidised small-scale biodigester which is fuelled primarily by animal manure. The activity allows farmers to treat manure in a high-quality prefabricated digester, reducing soil and water contamination from runoffs. The methane captured in the biodigester can be used for cooking and is destroyed when burned in the stove. This reduces the dependence on biomass for cooking and the time/cost needed for obtaining firewood or charcoal. It also eliminates exposure to smoke and toxic fumes. Easy to install and use, the highly efficient biodigesters also provide bio-fertilizer that increases farmers’ yields, leading to higher incomes.
Dairy biogas in Malawi
To cope with the high share of renewable electricity generation plants being non-dispatchable, fossil fuel-based spinning reserves are used to rapidly generate electricity to match electricity production with consumption within the grid at any given moment. Increasing renewable energy production in the future will result in the need for additional, fossil fuel-based spinning reserves. Stabilising Senegal’s national grid and moving away from fossil fuel-based power generation are the key objectives of this mitigation activity by ACT Commodities and Ongresso Energy. This will be achieved by installing both stand-alone Battery Energy Storage Systems (BESS) and BESS coupled with renewable energy. BESS will avoid the need to install fossil fuel-based spinning reserves, thereby reducing greenhouse gas emissions.
BATTERY ENERGY STORAGE AND RENEWABLE ENERGY IN SENEGAL
The Solar Rooftop 500 mitigation activity will support the efforts of the Moroccan Government to meet its renewable energy targets by 2030 as a conditional action in its NDC. The activity is led by ACS Consulting, which is responsible for the operationalisation and implementation of the solar rooftop projects in the commercial and industrial (C&I) sectors in Morocco. Aiming to accelerate the adoption of solar energy technology, the activity is taking a programmatic approach to support the installation of 500 MWp of new rooftop solar PV in the C&I sectors by 2030. It focuses on self-consumption systems and includes a component to address financial barriers of high initial investment costs and the technical and organisational efforts that businesses face in implementing the solar energy technologies.
SOLAR ROOFS IN MOROCCO
The mitigation activity, co-developed by ACT Commodities and Envirofit, was authorised by Switzerland and Ghana in January 2024. 180,000 Improved Cookstoves (ICS) will be sold to smallholder farmers in rural and peri-urban parts of Ghana at a below-cost price subsidised by carbon finance. The upfront financing for the production and distribution is provided by BIX Capital and Spark+ Africa Fund and offered in tandem with access to a revolving consumer credit fund provided through established Village Savings and Loan Associations. The product ‘buy-in’ is expected to increase adoption and usage rates, drive the creation of local routes to market, incentivise entrepreneurs and support the creation of a sustainable market. Product demonstrations will highlight the stoves' efficiency, emphasising health and economic benefits of reduced fuel consumption. The cookstove models are locally produced by Envirofit Ghana, driving the creation of close to 300 new jobs across the entire value chain.
IMPROVED COOKSTOVES IN RURAL GHANA
Focus

Na
tio
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The KliK Foundation supports both proven and new, innovative technologies for climate protection. A prime example of this can be seen at wastewater treatment plants across Switzerland. Thanks to support programmes, these plants are able to optimally reduce the emissions of various greenhouse gases with tailored activities.

Support for cities, towns and municipalities

Whether heating with renewable energies, climate-friendly mobility or the efficient use of resources – the transformation to a sustainable communal energy policy as part of the net-zero target by 2050 is posing significant challenges for cities, towns and municipalities alike. Three examples demonstrate how specific support programmes from the KliK Foundation can help sustainable climate policies on a communal level.

Within ten years, Couvet in the Val-de-Travers municipality has implemented a new district heating concept. In 2009, Masai Conseils SA was commissioned by the municipality to draw up a feasibility study with the communal forestry team on exploring the regional potential of the 600 hectares of wood from the local region, and to identify the extent of the investment and the heating price that would result from the new heating solution. By 2019, 30 buildings had already been connected to a district heating network measuring 4.5 kilometres in length. Participating in the heating networks support programme from the KliK Foundation allowed the heating price approved by the General Council to be maintained. Since then, the heating network has been expanded to 38 further connections, split across 68 customers. For more information on the support programme: klik.ch/waermeverbuende (German, French, Italian)
DISTRICT HEATING IN COUVET
The energy supply company Energie Ausserschwyz AG is responsible for the development and expansion of a district heating network that should eventually cover more than ten localities in the canton of Schwyz. Many municipalities already showed interest during implementation of the heating network. However, the old heating system at a property often fails before a connection to the district heating can be planned. Temporary heating with fossil fuels is often used here as an interim solution. This means that the heating network misses out on further valuable utilisation. In order to ensure the switch still runs smoothly, Energie Ausserschwyz came up with a special business model: local, small-scale heating networks are set up that are supplied by mobile pellet heating systems. This not only results in additional connections but is also climate-friendly. With the development of the district heating network, the interim solution will be replaced by regular district heating in the near future. For more information on the support programme: klik.ch/mobile-heizungen (German, French, Italian)
MOBILE PELLET HEATING IN FREIENBACH
Following a decision by the city council to explore alternative drive systems for municipal vehicles, it became clear to Winterthur’s waste disposal authority that this was the ideal time to examine the feasibility of operating an electric rubbish lorry. The first of these vehicles was put into action on the streets of Winterthur in 2020. The climate-friendly electric lorry is not only an eye-catcher for residents, it also doesn’t wake people up early in the morning as it is much quieter. It also has no emissions and uses a lot less energy in stop-and-go operation compared to diesel-powered vehicles. As these benefits have been confirmed in practice, a further electric rubbish lorry has been in operation since autumn 2023, with six additional lorries planned over the coming years. For more information on the support programmes for e-mobility: klik.ch/verkehr (German, French, Italian)
FIRST ELECTRIC RUBBISH LORRY IN WINTERTHUR

Facts
and
figures

How many million tonnes of CO₂ have already been saved in Switzerland since the foundation of the KliK foundation? With how many countries there exists currently a bilateral agreement on climate protection? Discover selected facts and figures to get you in the mood for the annual report.

0

13 countries currently have a bilateral climate protection agreement with Switzerland (these are listed here according to the signing date). A Statement of Intent for cooperative climate action was signed with Kenya on 7 September 2023. Emission reductions can be credited to Switzerland if the corresponding climate protection activities supplement the measures in the partner country and thus enhance their ambitions.

1
Peru
2
Georgia
3
Senegal
4
Georgien
5
Vanuatu
6
Dominica
7
Thailand
8
Uruguay
9
Morocco
10
Malawi
11
Morocco
12
Chile
13
Tunisia
2.51
Transportation
4.78
Business
1.14
Buildings
0.20
Agriculture
2.28
Projects
11.19
Switzerland
6.05
International

Expected contractually defined impact from climate protection activities in million tonnes CO₂e between 2022 and 2030 (as of the end of 2023).

0

By the end of 2023, more than 2,000 electric buses are ensuring emission reductions in the Bangkok metropolitan area. At the same time, 390 electric and hybrid buses are in action across Switzerland.

per litre of petrol and diesel are being collected from participants of the carbon offset grouping since 1 January 2024 for financing the climate protection activities at the KliK Foundation at home and abroad.

0%

of motor fuel emissions must be offset in 2024 (compared to 17% in 2022 and 20% in 2023). Up to one-quarter of this may take place abroad.

0

Over 15 million tonnes CO₂e have been saved in Switzerland since 2013 with the support of the KliK Foundation.

166.00
Transportation
124.00
Business
117.00
Buildings
145.00
Agriculture
123.00
Projects
133.00
Switzerland
27.00
International

Average costs in Swiss francs for every offset tonne CO₂e between 2022 and 2030.

The KliK Foundation – Looking back and looking forward

The Swiss CO₂ Act uses a range of instruments to minimise the emission of greenhouse gases. One of these obliges importers of fossil motor fuels to offset one-fifth of the CO₂ emissions in the transport sector from 2022 to 2024. The importers have given the KliK Foundation a mandate to fulfil these legal obligations on their behalf. The carbon offsetting is made through the financing of climate protection projects that reduce the amount of greenhouse gases accordingly.

In 2022 to 2024, mainly climate protection activities in Switzerland serve to meet carbon offset obligations. These include the switchover to renewable energies and the increase of energy efficiency in heating supply and in transport, plus diverse measures to reduce methane, nitrous oxide and extremely harmful coolants in industry and agriculture.

Since 2022, a certain proportion of carbon offset obligations can also be met with climate protection activities abroad. Of the required reduction of an estimated 8.4 million tonnes of CO₂ equivalent in the period 2022 to 2024, a maximum of 2.1 million tonnes can originate from abroad. However, the complex and time-consuming development of cooperations under Article 6 of the Paris Agreement under which the climate protection activities must take place means that, in all probability, only foreign reductions of 0.4 million tonnes of CO₂ equivalent will be able to be certified by 2024.

A sharp increase in obligations for the carbon offsetting of fossil fuel emissions is expected for 2025 to 2030. By 2030, it is estimated that half of emissions will already have to be offset. As the potential for reduction projects in Switzerland is largely exhausted under the prevailing framework conditions, the need for financing foreign climate protection activities in particular is increasing. The KliK Foundation estimates that the Swiss Confederation will have to be provided with around 20 million international certificates – also known as ITMOs (Internationally Transferred Mitigation Outcomes).