National guarantees of origin
In Sweden, there is a domestic market for guarantees of origin. The guarantees can be issued for any kind of electricity production.
National guarantees of origin (National GOs) can be bought and sold in an open Swedish market. The market participants include electricity producers, suppliers, and traders. A production device can be issued either National GOs or international GOs (EECS-GOs), but never both. A National GO can never be converted into an EECS-GO and vice versa.
The electricity supplier buys the amount of GOs equivalent to the quantity of electricity they have sold.
Cancellation of guarantees of origin
When the electricity supplier has bought the GOs and sold the electricity to its customers, the GOs need to be cancelled. The cancellation guarantees that the amount and origin of sold electricity is equal to the amount of electricity produced.
As an example, an electricity supplier who wants to sell electricity from wind power can do this in two ways:
- Through cancellation of guarantees of origin from their own wind turbines.
- Through purchasing guarantees of origin from a wind power producer and then cancelling them when selling the electricity to the end customer.