Environmental Engineering Reference
In-Depth Information
Green Electricity Certificates and Waste Incineration
The green electricity certificate system is designed to increase electricity produced by
renewables (Ministry of the Environment, 2003a, b). The certificate system is influenced by
the directive on increased electricity from renewables (European Union, 2001). The producers
of electricity receive a certificate when they produce electricity in approved conversion units.
These are wind power, solar power, geothermal power, tidal power, hydropower in new or
small plants (installed after the end of 2002, and also increased power in old plants renovated
after April 2003 and hydropower in plants with a maximum capacity of 1.5 MW), biomass,
peat, sorted wood waste from demolition waste, and electricity produced from biogas. It is
also proposed that animal fat, meaning residual products from the food industry, should
receive certificates (Ministry of Finance, 2005c). Consumers will need a quota of certificates
in relation to their total electricity consumption, creating a demand for certificates and thus
giving them an economic value. The aim is to increase annual electricity production from
renewable energy sources by 10 TWh between 2003 and 2010. The system ends in 2010, but
a proposal to extend it to 2030 is in place (Ministry of Sustainable Development, 2005).
Electricity produced from municipal waste does not receive certificates in the Swedish
certificate system, even if municipal waste is estimated to be of about 80% biological origin.
If municipal waste were to be included, it would further increase the incentives for CHP in
waste incineration plants since it pays off for every produced MWh of electricity. In the
proposed tax on incinerated waste, the main issue is to be classified as a CHP plant, and in
order to be so, the quota between electricity and heat needs to be at least 20% (Ministry of
Finance, 2005b). The issue of whether municipal waste should receive electricity certificates
has been debated since the electricity certificate system was originally designed and in the
government investigation on a tax on incinerated waste (Ministry of Finance, 2005d) the
question is analysed once again. The conclusion is that the new tax on incinerated waste is
enough to steer towards increased CHP in waste incineration plants and if electricity
certificates were given for municipal waste, it could steer waste of biological origin towards
incineration and that would not comply with Swedish waste management goals.
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Again, the
conflict between the goals in waste management and in the energy system can be seen. From
an energy system viewpoint, it is logical to implement electricity certificates for municipal
waste. It would increase electricity production in waste incineration which is in line with the
European directive on promotion of cogeneration (European Union, 2004a). When the tax on
incinerated waste is introduced, it is deemed important to remove the subsidies that the fossil
part of municipal waste has enjoyed in comparison to fossil fuels. When the electricity
certificate system is analysed, it is not important to insert the biological part in the system
which benefits biomass fuels. When it comes to green electricity certificates, the government
investigation states that the waste management goals are more important than the goals of the
energy system.
The directive on electricity from renewables (European Union, 2001) provides scope for
interpretation by member states, e.g. as regards which sources should be included in a
certificate system. A voluntary certificate system exists in Europe, The Renewable Energy
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The Swedish goals for biodegradable waste state that at least 35% should be biologically treated by 2010
(Swedish Environmental Protection Agency, 2005).
