Guarantee of Origin Certificates and FIT-systems · Guarantee of Origin Certificates and...
Transcript of Guarantee of Origin Certificates and FIT-systems · Guarantee of Origin Certificates and...
Guarantee of Origin Certificatesand FIT-systems
Jan Vorrink, manager EnerQ
International Feed-In Cooperation, 4th workshopLjubljana, 18th October 2007
Content
• Introduction EnerQ
• The E-Certificate System
• Experiences with different support systems
• Recent developments
• Possibilities of bridging the gap between different support systems
• International Market
• Future developments
2
Introduction EnerQWho is EnerQ?
• EnerQ grants the MEP subsidy, a production subsidy for renewable energy
• Subsidy is based upon Guarantees of Origin (issued by CertiQ)
• A 100% daughter of TenneT, the Transmission System Operator (TSO) of the Netherlands
• Shares of TenneT are owned by the Ministery of Financial Affairs
3
Introduction EnerQWhat is MEP subsidy?
4
• MEP is an abbreviation for ‘Environmental Quality of the Electricity production’
• Goal of the subsidy is to stimulate the production of renewable- and CHP-electricity
• The subsidy is a set tariff per produced kWh of electricity during the subsidy period (10 years for renewable electricity)
• MEP eliminates the uneconomic top of an installation
The E-certificate SystemMandatory System based on Garantees of Origin
Approval request
Request
MEP-subsidy
Electricity Electricity
Certificate trade
Measurements
Certificate
5
Experiences with different support systems
6
• Certificate system started with a consumption driven incentive; ecotax exemption for consumers
• Consumption driven incentive replaced step by step by a production subsidy; the MEP subsidy(eliminating the uneconomic top of the production of renewable energy during 10 years)
• Both subsidies are granted over the certificates issued at CertiQ
• Now only the production of renewable electricity is subsidised, the certificate trade has become a voluntary system
Statistics CertiQSupport systems are succesfull
Consumption incentiveConsumption incentive Production subsidyProduction subsidyTransfer periodTransfer period
7
Statistics CertiQThe market continues…
Consumption incentiveConsumption incentive Production subsidyProduction subsidyTransfer periodTransfer period
8
Statistics CertiQSystem is consumer driven
Consumption incentiveConsumption incentive Production subsidyProduction subsidyTransfer periodTransfer period
9
10
Statistics EnerQMEP subsidy and certificates
Transfer periodTransfer period Production subsidyProduction subsidy
Recent developments
11
Recent developments• At August 18 2006, the Minister of Economic Affairs
decided to set the MEP subsidy tarrifs for new subsidy requests to € 0,-
• Decision was made based upon predictions that RE directive target of 9% in 2010 will be reached
• Political discussion what kind of incentive would be best for the future.
• Choice for extension of Feed-in-premium to bio-gas and tariff-link with Electricity price(SDE)
Possibilities of bridging the gap between different support systems
Product costsR&D subsidy
Investment subsidy
Exploitation subsidy
Quota / disclosure
Stimulation of competition
13
Possibilities of bridging the gap between different support systems
Only feed in subsidy
14
Possibilities of bridging the gap between different support systems
Only quota
15
Possibilities of bridging the gap between different support systems
Combination of Feed in subsidy and Quota
16
International Market
Electricity Electricity Consumer
Green valueCertificate
Trader
Trade of certificates
Electricity Electricity
Environmental
friendly energy
Trade of certificates
Trader Consumer
Green value
Certificate
Foreign CMO
17
18
Electricity Electricity Consumer
Green valueCertificate
Trader
Electricity Electricity
Environmental
friendly energy
Trade of certificates
Trader Consumer
Green value
Certificate
Foreign CMO
International Market
Feed in tariff Green labels
Investment subsidy
Disclosure
MEP Tax incentive
Production subsidy (36o)
Quota / RPS
Trade of certificates
19
Electricity Electricity
Environmental
friendly energy
Trade of certificates
Trader Consumer
Green value
Certificate
Foreign CMO
International Market
Feed in tariff Green labels
Tax incentive
Investment subsidy
Consumer
Green valueCertificate
Trade of certificates
Disclosure
MEP
Production subsidy (36o)
Quota / RPS
Cons. 72 TWh
270 TWh
Int. trade 72 TWh
Imp. NL 33 TWh
Cons. 137 TWh
Trade NL 52 TWh
Subsidy 22 TWh = 1.800.000.000 Euro’s
Electricity ElectricityTrader
49 TWh
Tax 35 TWh=2.100.000.000Euro
International Market
European Energy Certificate systemEuropean Energy Certificate system
-- totals (totals (millionmillion MWhMWh))
Since 2001 20052005 20062006 20072007
(to date)(to date)
IssuedIssued 270 4848 6666 6868
ExportedExported 72 1414 1818 1212
RedeemedRedeemed 137 2525 3939 4040
20
International Market
21
22
Future developments
• EECS standardised GO is now implemented in 8 countries + 1 EEA, but according to the European directive 2001/77/EC, it will be implemented in 27 (+2 EEA) countries
• Combined Heat and Power (CHP) is now implemented nationally, but following a European directive it will be internationally implemented in 2007
• Disclosure in The Netherlands is now implemented with statistical data, soon it will be implemented more secured via the Certificate System
Thank you for yourattention!
www.certiq.nl - www.enerq.nl