Switzerland

Major Developments in 2022

Remarkably, the share of newly registered BEVs (17.8%) was for the first time significantly higher than the proportion of diesel cars, which now accounts for barely one in ten new registrations. Continued increase in BEV sales has exceeded targets and expectations. This is notable as Switzerland provides no direct national purchase incentives and only modest support at cantonal and local level, mainly through reduced or no vehicle registration tax. It is also remarkable that the general trend is towards BEVs, with new PHEV registrations having fallen from 9.1% in 2021 to 8.3% one year later. At the end of 2022, just over 128,000 pure electric passenger cars were on the road in Switzerland, representing 2.7% of the total car fleet (PHEV: 1.5%).

New energy perspectives 2050+

The new energy perspectives 2050+ present scenarios on how Switzerland’s Energy Strategy 2050 and the net-zero CO2 climate goals can be combined. In all scenarios, the transport sector needs to make the largest contribution to the reduction of greenhouse gases. A steep electrification path is foreseen for private cars with an EV share of new car sales of 28% in 2025, 60% in 2030 and 100% in 2040. Hydrogen and synthetic fuels will complement the electrification of heavy trucks and special vehicles.

New policies, legislation and incentives

In 2022, the federal government waived the 4% automobile import tax for new electric vehicles. This tax benefit could be challenged in the coming years. At regional and local levels, some cantons and municipalities propose tax incentive or even subsidies to alternative energy vehicles and charging infrastructure. For vehicles, these subsidies are often modest, with support for hybrid electric vehicles being gradually phased out. Grants are increasingly focused on recharging infrastructure, especially the basic equipment needed for the later deployment of charging stations. The federal and cantonal governments are also working to remove barriers to the planning, installation and operation of charging stations.

Outlook

Generally speaking, to decarbonize its transport system, Switzerland will continue to focus on modal shift and electrification. The key stakeholders, even those who consider the electrification of transport as a constraint, are now all convinced that the development of electric mobility will be rapid, inescapable, and that it must be actively supported. Many of them have contributed to the acceleration of the transition by setting ambitious targets in the national Electromobility Roadmap. While the vast majority of Swiss people are tenants, the most recent surveys, such as those by TCS, show that the penetration rate of BEVs is currently almost five times higher among homeowners compared to tenants. Equipping residential parking lots with charging stations therefore remains a major challenge, which the real estate industry now seems to be aware of.