Swedish certificate management system, Cecar

The Swedish national certificate scheme, effective from January 2003, separates the actual physical delivery of the electricity from a certificate, which ensures that the electricity has been produced using a renewable source. Grexel provided the national electricity grid operator Svenska Kraftnät and the Swedish Energy Agency (Energimyndigheten) with the certificate management system, Cesar.

With the Cesar system, Svenska Kraftnät issues certificates on meter readings from approved production devices and manages a certificate register. It also publishes the certificate prices. On the other hand the Swedish Energy Agency certifies and approves production devices and monitors that the quota obligations are fulfilled.

The certification scheme enables free market mechanism for renewable energy in Sweden. The certificate scheme follows the Energy Bill presented by the Swedish Government. The objective of the scheme is to increase the usage of renewable energy (such as solar, wind, hydro or biomass) in Sweden with 10 TWh by the year 2010.

The certificate system is based on the following principles:

• The production of 1 MWh is equal to one certificate

• A quota obligation is set for the years 2003-2010. The quota is expressed as a share of the total amount of electricity used.

• An actor fulfilling the quota shall each year declare his possession of certificates and the basis for the quota demand - total consumption (consumer) or total sales (supplier).