The functioning of the electricity certificate system is based on a quota. Companies supplying electricity to the consumers are those who are obliged to satisfy a specific annual quota of RES-E. The quota has been set until 2035 and the system came into effect in May 2003. All RES technologies for generation of RES-E are eligible for the quota system and currently, the system applies only to electricity produced in Sweden. However, Norway and Sweden have agreed on a joint green certificates market from 1 January 2012 onwards. RES-H is supported in an indirect way by raising taxes on fuels.Biofuels, solid waste and peat are tax-exempt for most energy uses. Investment grants are available for solar heating installations.
During 2009, the Swedish Parliament approved a new climate and energy policy on the basis of the Government’s Bills No. 2008/09:162 and 2008/09:163. The two bills go under the common name of 'A joint climate and energy policy' (for a sustainable future). The new climate and energy policy sets a number of targets and strategies for future development.
The proportion of energy supplied by renewable sources shall amount to at least 50 % of the country’s total energy use by 2020. This is in line with EU Directive No. 2009/28/EC promoting the use of energy from renewable sources, which imposes binding requirements on the proportion of renewable energy (of 49 %).
In addition, the new policy sets a target for the transport sector, requiring at least 10 % of its energy use to be met from renewable sources by 2020. The long-term ambition is that vehicles in Sweden should be independent of fossil fuels by 2030. The Parliament has also approved a target for improving the efficiency of energy use, for an overall reduction of 20 % in energy intensity between 2008 and 2020. Additionally a new emissions target has been decided upon, of a 40 % reduction in greenhouse gas emissions by 2020 in comparison with 1990. This target expressly covers activities not included in the EU Emission Trading System, i.e. transport, housing, waste disposal, agriculture and forestry, agriculture and some parts of industry. The vision for 2050 is that Sweden should have no net emissions of greenhouse gases to the atmosphere.
The Government's Bills on climate and energy policy contain three action plans In order to reach the targets,
1. Action plan for renewable energy
The action plan includes raising the level of ambition in the electricity certificate system, continued efforts to facilitate grid connections for renewable electricity and a planning framework for wind power of 30 TWh.
2. Action plan for energy efficiency
The Government will invests approximately € 27.7 million per year between 2010 and 2014 on reducing information and knowledge gaps in order to make households and enterprises aware of the opportunities they have to save money, energy and the environment by improving their energy efficiency.
3. Action plan for a fossil-fuel independent vehicle fleet
To reach the target of a Swedish vehicle fleet that is independent of fossil fuels by 2030, general policy instruments are applied i.e. a price on greenhouse gas emission, beneficial conditions for cars with a low environmental impact running on alternative fuels.
Furthermore, ways in which these targets might be met have included suggestions by the Government of changed taxes and more stringent economic policy measures. EU-wide decisions are also seen as an important means, as are green investments in developing countries.
Renewable energy projections according to the National Renewable Energy Action Plan for Sweden
The National Renewable Energy Action Plan (NREAP) for Sweden was submitted in July 2010. The target according to Annex I of Directive 2009/28/EC is 49% for the year 2020 and the projected NREAP share in that year is 50.2%. According to the projection, the most important contribution in the year 2020 is expected from biomass (renewable heating and cooling) (9491 ktoe, 48% of all renewable energy). Second important contribution is expected from hydropower (68.0 TWh or 5847 ktoe, 30% of all renewable energy). The third largest contribution is from biomass (renewable electricity) (16.7 TWh or 1435 ktoe, 7% of all renewable energy). Wind power contributes with 4.5 GW (12.5 TWh) in the year 2020 (onshore wind 4.4 GW and 12.0 TWh, offshore wind 0.2 GW and 0.5 TWh). For solar photovoltaic the 2020 contribution is projected to be 8 MW (4 GWh). For solar thermal the 2020 contribution is projected to be 6 ktoe. The two most important biofuels are projected to contribute 251 ktoe (biodiesel) and 465 ktoe (bioethanol / bio-ETBE) by 2020. The renewable electricity production from solid biomass amounts to 16.6 TWh (1430 ktoe) and for biogas it is expected to be 0.1 TWh (5ktoe). The consumption of renewable heat is expected to amount to 9415 ktoe for solid biomass and 11 ktoe for biogas.
Renewable heat and
electricity: Solid biomass
Since 1970’s, there has been a move away from oil to RES, mainly in the form of biofuels. A lot of the biofuels used in the Swedish energy system are solid biomass, which come from forestry in the form of logging residues (branches and tops) and firewood, as well as material from the woodworking industry and the pulp and paper industry in the form of solid by-products (e.g. bark and sawdust). Some of these by-products (such as sawdust) are converted to pellets, briquettes and powder in order to increase the energy density, simplify handling and reduce the cost of transportation.
The use of biofuels, peat and waste in the Swedish energy system has increased over the years, from a little over 10 % of the primary total energy supply in the 1980s to over 22 % (127 TWh) in 2009. They are used mainly in the forest products industry, in district heating plants, for electricity production and for heating of residential buildings. Most of the increase in the use of bioenergy has occurred in industry and for district heating, although use is also increasing in the residential and transport sectors.
Government policies, especially CO2 and sulphur taxation on fossil fuels introduced in 1990, and the fact that biomass and peat used for electricity production are tax free, have strongly contributed to the increased use of biomass.
Future programme changes
expected
No information available.
Sources
Swedish Government ’A Cohesive Climate and Energy Policy’, http://www.sweden.gov.se/sb/d/2023/a/123252 (sourced October 2011)
Energy in Sweden 2010, Swedish Energy Agency 2010 (sourced October 2011)
Swedish Energy Agency: The Electricity Certificate Eystem: The Electricity Certificate System 2008.
Sweden Renewable Energy Fact Sheet: http://www.energy.eu/renewables/factsheets/2008_res_sheet_sweden_en.pdf. January 2008
Energy policies of IEA countries; Sweden 2008 review. ISBN: 978-92-64-04333-6, 2008
EREC, Renewable energy policy review, Sweden, (sourced October 2010)
Directive 2009/28/EC of the European Parliament and of the Council of 23 April 2009 on the promotion of the use of energy from renewable sources,http://ec.europa.eu/energy/renewables/transparency_platform_en.htm
The National Renewable Energy Action Plans (NREAPs) are all published on the Transparency Platform on Renewable Energy:http://ec.europa.eu/energy/renewables/transparency_platform/action_plan_en.htm (sourced July - December 2010)
Renewable Energy Projections as Published in the National Renewable Energy Action Plans of the European Member States, http://www.ecn.nl/nreap(sourced December 2010)
Interactive EurObserv’ER Database
http://www.eurobserv-er.org
Last update: October 2011