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Electricity and heating costs are becoming a burden for many. Zurich is now the first Swiss city to take over part of it.
The rising energy prices of the last few months pose an existential threat to people on low incomes. If they cannot pay the high utility bills, they run the risk of losing their home. To prevent this, Zurich wants to be the first city in Switzerland to introduce an energy cost allowance for those affected.
Expenses of up to 17 million Swiss francs
This is intended to support up to 80,000 Zurich residents who are dependent on subsidies due to their financial circumstances. Social director Raphael Golta assumes that around 34,000 households will be entitled to benefits in the current heating period. With allowances ranging between CHF 270 and CHF 1,200 per person, the city will incur costs of around CHF 17 million for the initial payment.
However, the orientation of this support is linked to clear criteria: On the one hand, it only goes to people with a low income. People who receive premium reductions for health insurance are entitled to benefits, but only if their increased heating costs have not already been covered by social assistance or supplementary benefits.
On the other hand, the energy cost allowance is also linked to the price development of the various energy sources. The distribution is only possible if the prices have risen by at least 30 percent within the last three heating periods. This winter is likely to be the case for gas, heating oil and wood.
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“We are concerned with relieving the burden on those on the lowest incomes,” says Zurich social director Raphael Golta.
Keystone/Alexandra Wey
This time limit of three years is intended to prevent the city from compensating for longer-term price developments. The city council also determines the amount of compensation for each heating period. The proposal by social director Raphael Golta is now going to the Zurich city parliament and will be discussed there. If the deal goes through, the first payments should be made in the middle of next year.
Similar requests failed in Basel and at the federal level
This form of financial support was not only a topic in Zurich. In the canton of Basel-Stadt, for example, the left-wing party Basta called for relief for people on low incomes. At the end of October, however, Parliament wanted nothing to do with the energy injection. The implementation of the measures would take too long, according to the majority of the Grand Council.
The Federal Council also sees no need for action. A few days ago, he rejected a motion by the SVP that called for a relief package for small and medium-sized businesses and businesses. The reason: Electricity prices have fallen below the highs of last August, inflation is not comparable to that in the euro area and the economic situation is still good. Similarly, the Federal Council had already fended off greed at the end of August.