Government elections BS A look back at the legislative term of Basel's Director of Economic Affairs Sutter
On October 20, the canton of Basel-Stadt will hold general elections for the new government. In a loose series, the Keystone-SDA news agency reviews the most important dossiers of the incumbent government councillors. Part 5: Kaspar Sutter (SP).
Kaspar Sutter (SP)
The 49-year-old economist has been a member of the Basel government since the beginning of 2021 and is the successor to his party colleague Christoph Brutschin in the Department of Economic, Social and Environmental Affairs (WSU). Without claiming to be exhaustive, Sutter's work over the past four years has been characterized by these issues:
Coronavirus pandemic: The start of the legislature in February 2021 was still heavily influenced by the coronavirus pandemic, the effects of which were felt strongly in Sutter's department.
As part of the Covid hardship program, the canton of Basel-Stadt paid out a total of CHF 208 million to companies. The canton also supported SMEs and start-ups during the pandemic with CHF 46 million in the form of guaranteed loans. According to data from the WSU at the end of 2023, the vast majority of supported companies were able to survive the crisis. 3.5 percent of the companies that received hardship funding had to close. Of the CHF 208 million paid out from November 2020 to summer 2022, the canton contributed CHF 26 million. The rest was covered by the federal government.
In February 2023, Sutter announced that people in modest financial circumstances who suffered a drop in income of at least 5 percent between 2019 and 2020 would receive one-off Covid compensation. This amounted to CHF 550 per household member. According to cantonal estimates, around 8,650 people were affected. The cantonal government had budgeted CHF 4.87 million for this one-off compensation. Sutter thus implemented a motion by Pascal Pfister (SP) that had been passed by the Grand Council.
Expansion of charging stations for electric cars: Sutter's first major proposal as a member of the cantonal government in the Grand Council was for 200 new charging stations for electric cars in Basel-Stadt in April 2021. Parliament clearly approved a conditionally repayable interest-free loan of CHF 11.4 million at the time. Industrielle Werke Basel (IWB) was commissioned to install and operate the charging stations. By the end of 2026, 200 public charging stations are to be installed in the Blue Zone. Parliament has also commissioned Sutter to examine the installation of 4,000 charging stations.
In July 2023, Sutter announced his intention to promote the expansion of electric charging stations in multi-storey parking lots and parking lots. The canton wants to support private individuals with the basic installation of charging infrastructure with contributions of CHF 10.8 million. The funding program approved by the Grand Council in January 2024 aims to build up to 15,000 charging stations by 2030. This is to be made possible by a surcharge of 2.5 centimes per kWh on electricity purchases.
Minimum wage: Sutter's first vote was on the minimum wage initiative. In June 2021, voters decided that Basel-Stadt would be the first German-speaking canton in Switzerland to enshrine a minimum wage of CHF 21 per hour in law. The counter-proposal of the government and the Grand Council to the minimum wage initiative of the trade unions and left-wing parties achieved a yes majority of 53.77%. Since 1 July 2022, a minimum gross salary has applied to employees without generally binding collective employment contracts. This is now CHF 21.70 due to the annual adjustment to inflation.
Expansion of district heating: Basel's district heating network will be massively expanded by 2035. In October 2021, the Grand Council approved a proposal from Sutter for IWB amounting to CHF 460 million; the canton is contributing a loan of CHF 110 million. By 2035, 80 percent of all households in Basel City should be connected to the grid and thus be able to heat without fossil fuels.
More money for the homeless: In the fall of 2022, the Director of Social Affairs announced that the basic requirement for homeless people will be adjusted to the regulation for social welfare recipients. This means that a homeless person will now receive a monthly lump sum of CHF 1,031 instead of the previous CHF 770. This new regulation affects around 100 people.
Climate justice initiative: The canton of Basel-Stadt has missed Switzerland's most ambitious climate target: In November, voters opted for the counter-proposal to the climate justice initiative and thus for a net-zero target for greenhouse gas emissions by 2037. The initiative called for a phase-out by 2030. The government had originally advocated a target year of 2040, but 2037 prevailed in the Grand Council.
Gas phase-out by 2037: In order to achieve the climate target, the gas network in the canton of Basel-Stadt will be shut down by 2037. The first shutdowns are planned for 2026. From 2028, the energy supplier IWB will disconnect around 1,000 gas connections from the grid each year.
Package of measures for social housing: In summer 2023, Sutter announced that the canton wanted to strengthen social housing with various measures. In March 2024, parliament approved the proposal with 89 votes in favor and 1 abstention.
One of the measures is the "Housing First" pilot project, which has been running since 2019 and is now being supplemented by a more extensive "Housing First Plus" branch. "Housing First Plus" is aimed at people who find it difficult to manage an independent living situation. Special residential studios are to be made available to them - an offer that is to be supported by specialists from the social sector. Specifically, around 40 such studios are to be set up in a state-owned property.
The government also wants to create a new competence center for social housing. Among other things, it will coordinate measures to improve and avoid often overpriced run-down properties and arrange emergency housing in precarious situations.
Finally, the package includes measures to prevent the loss of housing and homelessness. These could include financial assistance to provide a rent guarantee or funding for housing assistance in a problem property.
Total costs of CHF 4.6 million are expected for the years 2024 to 2027, with the "Housing First Plus" project accounting for the largest share at CHF 3.1 million.
Rent subsidies for childless households: In the canton of Basel-Stadt, childless people aged 25 and over should also be able to receive rent subsidies in future. To this end, Sutter passed the total revision of the rent contribution law to the Grand Council last June.
Family rent contributions have been available in the canton of Basel-Stadt since 1991. Only households with at least one child and a low income have access to this. According to the WSU, the expansion of the number of eligible persons is expected to result in around 2,000 additional households and additional costs of CHF 5 million.
Solar offensive: All suitable roofs and façades in the canton of Basel-Stadt are to be equipped with solar panels by 15 years. This is the aim of the government's solar offensive, which is part of the cantonal climate protection strategy with a net-zero CO2 target by 2037. Sutter's department is currently working on a corresponding proposal. However, the solar offensive is dividing the party landscape: while the parties on the left-green spectrum welcome an extension of the solar obligation to existing buildings, middle-class parties and business associations are already threatening a referendum. This was revealed in a consultation that ended at the end of July 2024.
OECD minimum taxation support package: To cushion the burden on companies due to OECD minimum taxation, Sutter and Finance Director Tanja Soland (SP) presented a support package in June 2024 to maintain Basel's attractiveness as a business location for large and small companies. A fund with annual contributions of CHF 150 to 300 million is to be set up for this purpose. From 2025, this fund will be used to finance compensatory support measures in the areas of innovation, society and the environment.
