The Economics of Climate Change: Putting a Price on Carbon
Focus on clean energy has intensified amid the threat to the climate from fossil fuels. In this context, Tradable Renewable Energy Certificates (TRECs) can be used to achieve renewable electricity targets. TRECs are market oriented instruments which signify the renewable value/greenness of electricity derived from renewable sources. This paper is a first step at assessing the application of a green certificate scheme in a South African context. From a review of the international implementation of such schemes, we have identified some basic design issues and broader design concepts of which a domestic scheme might take cognizance. This report is part of a broader collaboration between the Energy Research Centre (ERC), Environmental Policy Research Unit (EPRU) and Genesis Analytics on the economics of climate change mitigation.
