Governance Briefing — June 30, 2025
Large Swiss companies publish their inaugural climate transition plans and governance disclosures under the Ordinance on Climate Reporting, demanding board-approved targets, scenario analysis, and metrics within six months of year-end.
Executive briefing: Switzerland’s Ordinance on Climate Reporting for Large Companies entered into force on 1 January 2024. Public companies, banks, and insurers exceeding the thresholds in Article 964a of the Code of Obligations must issue a climate report covering the 2024 financial year within six months of year-end, making 30 June 2025 the deadline for calendar-year reporters.
Key governance signals
- Board accountability for climate strategy. Article 3 requires the board of directors to approve the report and describe governance structures for climate risk management.
- Transition plans and targets obligatory. Companies must disclose interim greenhouse gas targets, progress, and how plans align with Swiss and international climate objectives.
- Scenario analysis transparency. Boards must explain methodologies, assumptions, and resilience testing, including stress tests against 1.5°C pathways.
Action checklist
- Align board and executive responsibilities for climate risk oversight, ensuring charters and minutes evidence challenge of transition plans.
- Consolidate Scope 1, 2, and relevant Scope 3 data with internal control documentation suitable for external assurance or audit committee review.
- Publish scenario analysis methodologies and sensitivity testing outcomes, noting board-approved adjustments to capital allocation or strategy.
Sources
- Ordinance on Climate Reporting for Large Companies (SR 221.433)
- Federal Council Media Release on mandatory climate reporting (23 November 2022)
Zeph Tech works with Swiss boards to document climate governance, transition plan metrics, and scenario analysis controls ahead of the June 2025 reporting cut-off.