Success Factors in European White Certificate Trading Schemes

Topic
This thesis investigates the conditions under which white certificate trading schemes function successfully within regulated energy policy frameworks. White certificates are tradable instruments representing verified energy savings and serve as market-based compliance tools under energy efficiency obligations. The study analyzes trading mechanisms in France, Italy, and Poland to identify institutional arrangements, market structures, and governance models that support trust, liquidity, and long-term system credibility. The aim is to derive transferable insights for the potential development of a trading platform in Switzerland.

Relevance
Switzerland’s recent energy law reform marks a major policy shift toward binding energy efficiency obligations for electricity suppliers. While the new framework sets savings targets, it lacks a platform-based instrument for obtaining or trading verified savings. In contrast, several EU countries operate white certificate trading systems that combine regulatory enforcement with market-based flexibility. These cases offer valuable insights into the institutional, technical, and operational preconditions for such platforms. By identifying success factors from established EU models, this thesis addresses a key gap in the Swiss discourse and contributes to the policy debate on designing a credible and functional certificate market.

Findings
The analysis reveals that white certificate trading platforms only succeed when embedded in a well-structured and coherent white certificate scheme. Seven key success factors were identified: (1) strong and credible governance with clear institutional responsibilities and enforcement capacity; (2) broad and inclusive market access that ensures actor diversity and readiness; (3) transparent and predictable pricing mechanisms that reduce speculation and support investment planning; (4) robust and proportional verification procedures that uphold credibility without overburdening actors; (5) low administrative complexity enabled by digital tools and standardized processes; (6) institutional coherence across regulatory, verification, and trading functions; and (7) a modular and adaptable scheme design that allows for continuous improvement.

Implications for Practitioners

• Establishing a centralized, neutral, and well-funded platform governance body is crucial to ensure legitimacy and political neutrality.
• Transparent rules, standardized documentation, and digital tools reduce administrative burden and lower entry barriers for small actors.
• Long-term price stability and real-time trading data improve market transparency and help build actor trust in the mechanism.
• Verification systems should balance reliability with practicality to avoid deterring participation through excessive control procedures.
• Platform and scheme design must be compatible with existing Swiss institutions while enabling coordination, scale, and long-term planning certainty.

Method
This study used a qualitative multi-case design to analyze white certificate trading mechanisms in France, Italy, and Poland. Following Yin’s replication logic and Eisenhardt’s iterative approach, document analysis informed structured within-case studies and a comparative cross-case analysis. In parallel, twelve expert interviews were conducted using two tailored guides for EU and Swiss stakeholders. Participants were selected via purposive sampling, to gather expertise from diverse stakeholder types. Transcripts were anonymized and coded in Taguette using the Gioia methodology, combining deductive and inductive coding. Findings were synthesized to derive lessons for Switzerland, with transferable success factors summarized in a conceptual model to inform potential platform design.