A common Norwegian-Swedish market for electricity certificates was established 1 January 2012. Norway and Sweden have a combined goal of establishing 26.4 TWh new electricity production based on renewable energy in 2020. Norway and Sweden are each responsible for financing 13.2 TWh in the certificate system, regardless of the amount of production that is located in each of the two countries.
The electricity certificate system is a market based support scheme to promote new electricity production based on renewable energy sources. Producers will receive one certificate per MWh renewable electricity that is generated for a period of 15 years. Electricity suppliers and certain consumers have a statutory duty to buy electricity certificates. This will create a demand for certificates. Producers that receive certificates will earn an income from selling certificates, in addition to the income they receive from the sale of electricity. This will make it profitable for investors to invest in new electricity generation from renewable energy sources. The support scheme is technology neutral, which means that all energy sources defined as renewable energy sources in accordance with Directive 2009/28/EC on the promotion of the use of energy from renewable sources qualifies for the right to certificates.
The Norwegian Water Resources and Energy Directorate (NVE) is the supervisory authority for the electricity certificate market in Norway. For more information about electricity certificates visit NVE’s webpage.
Read the Agreement on a common market for electricity certificates here.