Renewable Energy Green Certificate and Trading Mechanism

Source: International Energy Agency
Last updated: 17 May 2021

In order to ease government subsidies to wind and solar sectors, the NDRC will begin issuing green certificates starting July 1st 2017. This is a voluntary trading mechanism.

In a planned trial program, utility-scale solar PV and onshore wind power producers will be issued the certificates each worth 1 MWh to sell to private and state-owned businesses. Businesses would be encouraged to purchase the certificates. Renewable power producers that wish to apply to receive green certificates must already be registered through the Ministry of Finance's list of subsidy recipients, and power producers that sell certificates are no longer eligible to receive subsidies (i.e. Feed-in-Tariff). Lastly, the selling price of the green certificate is capped at the government subsidy price. According to the activeness of the voluntary trading market, a mandatory green certificate market is planned to be launched since 2018.

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