Sweden has a number of instruments for supporting the development of renewable energy sources. The following are examples of these instruments:

• There is a system that concerns energy certificates whereby producers of renewable energy, mainly solar energy, hydro power, wind power and biofuel, are assigned a certificate for every kWh produced. The producers are then able to sell the energy to electricity companies, which, in turn, sell the energy to end consumers. In this way, the producers get extra revenue above the market price, with the purpose of increasing interest in investing in renewable energy sources. The goal for 2030 is that Sweden, together with Norway (which has a common energy certificate market), should produce at least 46.4 terawatt-hours of new renewable electricity generation and meet volume-related obligations by 2035. The system was introduced in 2011 and is regulated in the Energy Certificate Act (Sw. Lag (2011:1200) om elcertifikat). The Swedish Energy Agency is the supervisory authority and issues the energy certificates.
• To provide incentives for producing energy from sustainable sources, smaller producers of energy from renewable sources, such as solar energy, are entitled to a tax deduction of SEK 0.6 (approximately EUR 0.06) per kWh produced. Private individuals who invest in systems for storing self-generated electricity have the opportunity to apply for a tax reduction of 50% of the cost of labor and materials, with a maximum amount of SEK 50,000. The tax reduction is available for installations carried out and paid for after 1 January 2021.
• One of Sweden's main tools to decrease the level of emissions is its tax on CO2 emissions. Nonetheless, there is still a deduction right for certain businesses concerning taxes on CO2 and other energy taxes. The Swedish Environmental Protection Agency suggests that this deduction right be modified, but no change in legislation is expected in the near future.