Demand for subsidies for energy-efficient renovations remains high, but for the first time since 2016, payments from the Swiss Confederation and cantonal building programs have stagnated: nearly CHF 528 million in subsidies were paid out in 2024, the same amount as in 2023. Commitments have returned to their pre-crisis level. The measures implemented up to 2024 thanks to subsidies reduce the energy consumption of Swiss buildings by 12 billion kilowatt hours and CO2 emissions by around 3.5 million tons.
In 2024, the largest share of subsidies, amounting to CHF 228 million, was allocated to technical building installations, an increase of 5% compared with the previous year (2023: CHF 216 million). 25,633 oil, gas, or electric heating systems (2023: 26,560) were replaced, 84% of them with heat pumps. Thermal insulation projects received CHF 131 million (2023: CHF 139 million). CHF 86 million was paid out for system renovations (2023: CHF 98 million). CHF 23 million was allocated to district heating projects (2023: CHF 30.7 million). In 2024, CHF 43 million was paid out for 499 new, highly efficient buildings that comply with the Minergie-P or CECB A/A standard. This represents a remarkable increase of 76% compared with the previous year (2023: CHF 24.6 million paid out for 389 new buildings). In the same year, CHF 17 million was used to finance indirect measures in the areas of information and communication, training, and quality assurance (2023: CHF 19.2 million). More than 66% of this amount was used to create official cantonal energy certificates for buildings with advisory reports (CECB Plus).
Slight decrease in grant applications
During the reporting year, energy security and energy savings remained topics of public debate. Energy prices continued to rise in some cases or remained at a significantly higher level than before 2022. In addition, the cantons increased their subsidy budgets and, in some cases, the amount of their subsidies. This initial situation increased demand for subsidies for energy renovation work. Commitments remained stable at a high level, but slightly below the previous year’s peak values.
Grant commitments for energy measures amounted to approximately CHF 542.5 million in 2024, which is around CHF 40 million less than in 2022 and 2023. This represents almost all of the funds available across all cantons.
CHF 190 million, or the majority of the commitments, related to building services projects (2023: CHF 235 million). These will be implemented in the coming years and subsidies will be paid for this purpose. These funds are intended to replace around 19,300 heating systems. CHF 123 million was committed to system renovations. As part of these projects, in addition to renovating the building envelope, there are plans to replace nearly 1,700 additional heating systems.
Replacing heating systems generates a constant record in terms of energy efficiency and CO2 emissions reduction.
The measures promoted during the reporting year will save 12 billion kWh and 3.5 million tons of CO2 over their lifetime. At CHF 147/t CO2, the effect per subsidized franc has fallen slightly compared with the previous year (2023: CHF 152/t CO2). This is due to the fact that payments allocated to renovation projects declined slightly (-6%) compared to 2023. The replacement of existing fossil fuel or electric heating systems proved to be particularly effective in this regard.
In 2024, the Buildings Program once again had a positive impact on employment, creating 3,400 full-time equivalent jobs and generating approximately $193 million in added value in the country.
Subsidies from the federal government and cantons for 2025
In addition to cantonal funds amounting to CHF 275 million (CHF 271 million in 2023), the federal government paid the cantons CHF 247 million from the partial allocation of CO2 tax revenue in the form of global contributions in 2025. This means that all funds from the partial allocation have been used. In 2026, around CHF 607 million will be available for measures to reduce energy consumption or CO2 emissions.
By voting in favor of the Climate and Innovation Act on June 18, 2023, Switzerland committed to becoming climate neutral by 2050. As part of the Act, a stimulus program is being implemented to replace large heat production facilities and take measures in the area of energy efficiency. It thus reinforces the Buildings Program and has been integrated into it. It has been allocated CHF 2 billion over a limited period of ten years. In 2025, CHF 127 million was paid to the cantons in addition to the above-mentioned global contributions.
In January 2025, faced with the announced deficits in the Confederation’s finances, the Federal Council submitted a package of cost-cutting measures for consultation. The Buildings Program is affected by this 2027 budget reduction program. At the request of the cantons, the Federal Department of the Environment, Transport, Energy, and Communications is currently working with the Conference of Cantonal Energy Directors to examine whether and how the various incentive programs (e.g., the Impulse Program) can be revised in order to accommodate the cantons, which oppose the elimination of the Buildings Program.
- Source: Press release from the Federal Office of Energy
- Photo credit: Canton of Valais website
