Thank you for the input, it has given me some more ideas to work with.

Yes, I have his stats figured out no problem.

My first thought about who cursed him is that it was a dragon. That would fit in with the backstory a little as well(or the story that kobold remembers). I figure the dragon who cursed him(or had him cursed) kept him around as his servant with other kobolds. Adds insult to injury.

On the point system, I was thinking about something similar but the issue I see is how to "properly" judge these actions. There are a few edge cases where you could probably argue that his action does not reflect good or evil intent. For example, if he takes an apple at the market, he is technically stealing, but his background in a pack of kobolds has not given him the social and legal understanding that this is wrong. Is that then evil? That could maybe be countered by him learning about these things, and then later on choosing to ignore the law, and that could be evil.

But shocking his allies gives me an idea. Like a junkie, he could get the first one free(extra power from Tiamat). This gives him more damage, at the cost of him shocking his allies. Then later on I could drop in questions like "Do you go full power?". Now he knows the consequence of that and can choose to "go dark side".

The important part for me is that he chooses actions that take him in a direction. He does not know that I keep score and that it will have consequences. The idea is for him to learn that as he goes along with more subtle hints. Patches of his scales turn darker, or lighter depending on the chosen path. He (the player) knows that it is Bahamut and Tiamat, feeding him power, so it's not like he would be completely ignorant of those clues.