Research On The Financial Risk Of Green Certificate Market And Long-term Contract Design

At present, the renewable energy subsidy policy forward market development model, in order to encourage renewable energy development in some countries introduced quotas can be tradable green certificate system, while the green certificate market is full of many uncertainties, especially the green certificate price dramatic fluctuation, the facing gains cannot guarantee financial risk subject participation in the market. Green certificate market should be how to design in order to compete in the market effectively to promote renewable energy investment and reduce the quota system to achieve the cost, have become the problems to study and solve the urgent need for renewable energy quota system in the green certificate market.Based on the basis of research results at home and abroad, this paper studies the green certificate market financial risk and to avoid the risk of long-term contract design. First introduced the development of renewable energy quota system and quota targets, analyzes the necessity of establishing the quota system in our country, summarizes the international experience of the green certificate market design. Secondly, the application of the equilibrium analysis method on the long term behavior of green certificate market were analyzed. Finally, put forward to promote renewable energy investment by signing long-term contracts, long-term contract obtained by double auction.The research results show that:the green certificate price fluctuations investors in renewable energy investment capital repayment become uncertain is the main reason leading to the lack of market investment. Green certificates of long-term contract on one hand ensures the stable income of renewable energy power generation investment; on the other hand, in order to lower the cost to complete the quota obligation. Long term contracts not only improves both benefits, but also can disperse green certificate green certificate market price risk because of information asymmetry, excessive investment and so many uncertain factors produced very good, is conducive to the formation of stable prices of green certificates finally reach the green certificate market stable operation.