The problem of the legal nature of Green Certificates in the Italian legal system

Green Certificates are usually described as negotiable instruments or commercial papers. The Italian legal system identifies Green Certificates as rights but, due to the ambiguity of the definition, their juridical nature remains uncertain. This reverberates on the functioning of the Green Certificates market and on the enforcement of the relevant norms. This paper discusses the actual legal nature of Green Certificates in Italy and concludes that they should be regarded as goods. This means that private law instruments apply in their market transactions, with consequent implications on the policy side.

► A definition of Green Certificates in the Italian legal system is provided.
► Green Certificates are not Credit Instruments.
► However, they may be negotiated separately from the energy they represent.
► Green Certificates are goods, which relate to new properties.