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Mineral Oil Tax reduction on Biofuels and Natural Gas (Mineral Oil Tax Act) (amendment)

legislation type Legislative
Passed in 2008
The Mineral Oil Tax Act was amended to provide tax incentives for low carbon fuels. It contains provisions that allow a tax reduction of CHF0.40 (USD0.42) per litre petrol for natural gas and liquefied petroleum gas (LPG). Furthermore, biogas and other fuels from renewable energy sources are fully exempted from the Mineral Oil Tax under the condition that they fulfil ecological and social criteria. These include:
 - Minimum of 40% GHG reduction
 - Net environmental burden does not significantly exceed the environmental burden of fossil fuels
 - The cultivation of biofuels must not endanger biodiversity, in particular rainforests
 In contrast to other countries, in particular the EU, Switzerland has no percentage target for biofuels.


from the Grantham Research Institute
from the Grantham Research Institute
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