Council of States committee in favor of state aid for ailing steelworks
Published: Friday, Dec 13th 2024, 11:00
Back to Live Feed
Like the National Council, the responsible committee of the Council of States also wants to provide state support for economically ailing steel and aluminum production companies. However, the conditions for this are to be tightened. The Council of States will decide on the urgent legislation on Monday.
According to the legislative flag posted on Friday, a majority of the 13-member Committee for the Environment, Spatial Planning and Energy of the Council of States (Urek-S) supports the bill adopted by the National Council last Tuesday in principle. A minority of five Urek-S members from the ranks of the center, FDP and SVP, however, do not want to accept the urgent bridging aid.
In short, iron, steel and light metal foundries "of strategic importance" are to receive financial relief under certain conditions. Media reports on the support plans mentioned Stahl Gerlafingen in the canton of Solothurn, Swiss Steel in Emmenbrücke LU and the Valais aluminum foundry Novelis. For four years - between January 1, 2025 and December 31, 2028 - part of the fees for using the electricity grid will be waived.
The topic was discussed controversially and at times emotionally in the large chamber. In the end, the SP and Greens, the majority of the center group and individual members of the SVP and FDP parliamentary groups voted in favour of state aid. The GLP was united against it, while the majority of the SVP and FDP parliamentary groups voted against it.
Strict conditions
The majority of the Urek-S proposes various changes. It wants to specify and tighten the conditions that companies must meet in order to receive support. For example, electricity costs must account for at least 5% of gross value added.
The companies must also participate in Switzerland's emissions trading system, demonstrate the preservation of the Swiss production site on the basis of a business plan and draw up a net-zero roadmap. In addition, all management and board members must waive their bonuses during the period of state support.
Finally, the federal government should only step in if the canton in which the company is located also grants financial aid. This must amount to at least half of the respective reduction in the grid usage fee. The Federal Council should be able to define further criteria.
©Keystone/SDA
English 
German 
French 
Spanish 
Arabic