myclimate: The big opening question is this: where do we stand globally in terms of the fight against climate change and meeting the targets of the Paris Climate Agreement?
Reto Knutti: The global climate targets themselves are actually not all that ambitious. With them, we’re still heading towards a changed world. But even today we still haven’t got enough measures in place to achieve even these targets. So there are two respects in which we haven’t yet done enough. Although we will soon be past the peak of our global CO₂ emissions, we are still far from achieving net-zero emissions. As a result, one temperature record follows another, and the consequences of climate change can be seen everywhere.
myclimate: How is Switzerland doing here? Is it a frontrunner or is it lagging behind on its own aspirations? What needs to happen over the next few years for us to be successful in our efforts to protect the climate?
Reto Knutti: None of the energy generated in Switzerland comes from fossil fuels, and this country has already reduced its emissions. The first measures, such as the building programme, are having an effect. However, part of this reduction can simply be traced back to the transfer of industrial production to locations abroad. If we look at our footprint based on consumption as a whole, the picture looks a lot worse. Independent assessments place Switzerland’s efforts below the EU average and rate them as “insufficient”. The approval of the Climate Protection Act as a counter-proposal to the Glacier Initiative in 2023, and of the Energy Act in 2024, laid some important groundwork to put us on course for net zero. Unfortunately, politicians have struggled to settle on effective measures. At the end of the day, we have to measure our success not in declarations of intent, but based on actual emissions.
myclimate: How well prepared are Swiss companies for setting up their business models to be future-oriented and sustainable?
Reto Knutti: At the moment, we’re seeing very wide-ranging developments. Climate protection, energy and sustainability are no longer mere side issues in annual reports; they are strategic topics with high visibility. Many companies are actively engaged and see innovations, new products and services as an opportunity.
They also recognise the risks of doing nothing: lawsuits, market changes, shifts in customer behaviour, regulation or complete debacles.
Some are even calling on politicians to provide a clear framework to guarantee planning security and to make sure everyone has to follow the same rules. In that sense, many companies are ahead of politics. At the same time, the harsh reality is catching up with many of them. The targets that have been set are hard to meet, reporting is laborious, and at the moment the way to make the most money is through weapons and fossil fuels.
myclimate: What role could climate protection projects play in achieving the overarching targets?
Reto Knutti: For a long time people thought they could just do the obvious things locally and then “buy their way out” of the residual emissions with relatively low-cost climate protection projects elsewhere in order to become “climate-neutral”. With many projects, discussions have developed that show how difficult it is to determine exactly which emissions have been avoided, what additional effects there have been and how long those effects last. In forest projects in particular, it is always hard to answer the question of what would have happened had the measures not been implemented. Criticism of this is justified to some extent, but at the same time it would be dangerous to stop doing anything at all on that basis. The world has to get to net zero, not just wealthy Switzerland. The Global South needs our support in climate protection. There, well-implemented projects can do more than just avoiding CO2; they can also generate income, improve air quality or supply clean energy.
myclimate: Since climate protection projects have started being criticised in the media, companies have been increasingly reserved in their communications or support for these projects. How worrying is this development?
Reto Knutti: The phenomenon known as “greenhushing” – in other words, climate protection on the quiet – worries me greatly. Companies are criticised if they don’t fully meet their targets or don’t carry out their projects perfectly. As a reaction to this, they either bide their time or stop talking about what they have already achieved. We need to be aware that net zero is arguably the biggest transformation in global business that there has ever been. Nobody knows right now exactly how we’ll manage it, and it’s inevitable that mistakes will be made. The crucial thing is that we share our experiences and learn from our mistakes. We have to celebrate and support the pioneers, even if it’s not all perfect from the word go.
myclimate: Would you personally invest in climate protection projects by myclimate?
Reto Knutti: We in Switzerland are in a privileged position in terms of money, technology, innovation and excellent education, and that allows us to drive climate protection. But many others, particularly developing countries, will not be able to tackle the challenges of sustainability and climate protection quickly enough without our help. This is also a central element of the Paris Agreement. Our investments in climate protection projects can make a difference in that respect. It is crucial, first of all, for us to support projects that satisfy the highest standards and are audited independently. Secondly, the projects that are especially attractive are those that also bring social benefits locally, such as by training people so that they can continue to run projects themselves. Thirdly, such projects may not be used to “buy your way out” of things, or as an excuse for not doing anything to change your own behaviour, either as an individual or as a company.
myclimate: What developments, innovations or processes give you hope that we can halt or manage climate change?
Reto Knutti: We’re not moving fast enough, either in Switzerland or worldwide – that's a fact. Nevertheless, what I find encouraging is the fact that the topic is being taken seriously at the highest level in business and politics. Regulations and reporting, laborious as they are, are proving effective. The main thing, however, is that there is an ever-increasing number of innovative solutions that are becoming easier and cheaper to implement. There is no alternative to climate protection and the energy transition. The question is only how and where we begin. Today’s arguments are no longer limited to the environment; they’re about Switzerland as a location, about geopolitics and a safe, clean energy supply in our own country. It’s worth our while to invest in our future. These arguments are finding ever more support, regardless of political orientation.