Overview of the new elements of Article 19 of RED II 22/06/2017 EUSEW Overview of the new elements of Article 19 of RED II #EUSEW – Involving consumers in the energy transition Laura Plunkett

Energy Certificate Systems Demand Supply Certificate system Certificate market Cancellation Issuing

2016 Disclosure – Informed Consumer Choice Renewable % Nuclear % Fossil % Informed Choice Default Estimate

Demand for Guarantees of Origin

What’s Good? use of GOs for disclosure GOs contribute t o Residual Mix Role of High Efficiency Cogeneration (HEC) GOs clarified Extension to Renewable Gas Simplified info on GOs for small production devices Allows purchases direct from producers GOs for Heating and Cooling

What’s not so good? only Residual Mix still needed Compliance with - appropriate? Minimum Capacity for GOs ... Variable lifespan of a GO Scope of GO isn’t fully regulated Rules for issuing and cancelling RES, HEC and Non RES GOs should be consistent X MW Y MW Z MW

What needs consideration? Mandatory auctioning of GOs for supported RES - should it be voluntary for MS? Feasible for some Member States, however: The value of GOs is diversity, they are not all the same; Impacts financing for plants already under support ; Power Purchase Agreement between producer and buyer may be inoperable; Consider the cost of auctioning versus revenue derived from it; Some MS believe GOs should not be issued for supported RES; and Impact on liquidity and market value.