Swedish Ministry of Industry, Employment and Communications:
The Swedish Green Certificate System - Background, Experiences and Future Developments

The Swedish Green Certificate system – background, experiences and future development

In May 2003 Sweden became the first Nordic country to introduce a quota based electricity certificate trading (green certificate)system. The certificate system is the main tool to substantially increase the consumption of electricity from renewable sources in accordance with EU-directive 2001/77/EC.

The producers of electricity of renewable sources of energy receive certificates from the Swedish state for the electricity they produce. Each MWh gives one certificate. The producers sell the electricity that is produced in the ordinary way in the electricity market and receives revenue for the sale. The certificate that the producer receives from the state is also sold in this way and provides extra revenue. Commercial electricity suppliers are subject to compulsory quotas in relation to the volume of electricity they supply.

The introduction of the green certificate system has worked well and accordance with the intention of the system. New capacity for production of electricity from renewable energy sources has developed or is planned. The trade of certificates has been efficient and increased during the period. In the beginning the trade was bilateral but after some time an open market place was formed.

During the Side Event Sweden will present the basics about the green certificate system and share the experiences one year after the introduction of the system.

Since 2003 Sweden and Norway are investigating the possibilities to introduce a common green certificate market. Depending on the outcome of the discussions it is possible that the Side Event will be hosted by both Sweden and Norway.

Other information:
The share of renewable energy in the total energy supply is very high in Sweden. High-efficient combined heat and power production from forest residuals is one area in which Sweden is leading. Heating pumps is another field. It would therefore be interesting for us to share our experiences in this field, for example as a Side Event or, if possible, in the official programme of the conference.

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