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Promoting the electric energy generated by renewable energy sources is one of the major strategies adopted in order to ensure the attainment of the objectives specified by the Kyoto Protocol and the fulfilment of the commitments that Italy has undertaken in relation to the preservation of the environment.

To this end, art.11 of the Bersani Decree, as amended and updated by MD of 24 October 2005, introduced a system of incentives for the production of "green" energy, which provides for a competitive market system based on "Green Certificates". Producers and importers of electric energy from traditional sources, whose production volumes exceed the franchise established by the Authority, are required to introduce into the energy network a percentage of energy produced from renewable sources (for 2006 the percentage required is 2.70%). Energy producers and importers may choose to meet this obligation by purchasing an equivalent quantity of Green Certificates, that are assigned to the producers of energy from renewable sources as a function of their production quantities.

In actual fact, Green Certificates are "bearer bonds" whose final value is determined by negotiations between the entities in possession of the certificates (producers of energy from renewable sources) and the entities that must buy them (producers or importers of electric energy from traditional fossil source). A Green certificate corresponds to the production of 50 MWh of green energy.

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Reference law provisions:

Law no. 239 of 23 August 2004 - Reorganisation of the energy sector and delegation to the Government of the revision of existing regulations on energy-related matters.
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Law Decree no. 387 of 29 December 2003 - Application of Directive 2001/77/CE on the promotion of renewable sources.
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Ministerial Decree of 24 October 2005 - Updating the directives on incentives for the production of electric energy from renewable sources pursuant to article 11, comma 5, of law decree no. 79 of 16 March 1999.
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Ministerial Decree of 11 November 1999 - Directives on the implementation of law provisions on electric energy from renewable sources, as per commas 1, 2 and 3 of art. 11 of LD n. 79 of 16 March 1999.
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Ministerial Decree of 18 March 2002.
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Testo Unico Ambientale D.Lgs n.152/2006 art.267 comma 4.
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