On 23 November 2022, the Swiss Federal Council adopted the implementing ordinance on climate disclosures for large Swiss companies (the "Ordinance").
According to the Ordinance, Swiss public companies and Swiss regulated companies (in particular banks and insurance undertakings) with 500 or more employees and at least CHF 20 million in total assets or more than CHF 40 million in turnover must report publicly on climate issues.
Public reporting includes disclosures on (i) the financial risk that a company incurs as a result of climate-related activities, and (ii) the impact of the company's business activities on the climate. In-scope companies must also describe the reduction targets they have set for their direct and indirect greenhouse gas emissions, as well as implementing measures.
The public report must be produced in a common international, human-readable (e.g. PDF) and a machine-readable (e.g. XBRL) electronic format. In addition, the report must be easily accessible on the company's website and remain available for at least a ten-year period.
In order to give the companies sufficient time for its implementation, the Ordinance will enter into force as of 1 January 2024. Public reporting in a machine-readable electronic format will start one year at the latest after the Ordinance will enter into force.
