S&P Global Launches REC Price Assessments for Brazil-India Turkey

Sep 7, 2022 10:47 AM ET
  • I-RECs certificates are important as market participants and energy consumers seek transparency in the global market for valuing renewable-origin power generation.
  • & P Global said that Brazil is the biggest I-REC market in Latin America while Turkey as well as India represent 2 of the biggest markets in Asia.

S&P Global Commodity Insights has actually revealed an independent suite of price assessments for International Renewable Energy Certificates (I-RECs) in Brazil, India, and also Turkey. The crucial purpose behind the I-RECs is to provide market participants as well as energy consumers a greater degree of transparency in the international market for valuing renewable-origin power generation.

I-RECs certificates are a way for consumers of electrical energy to have confidence that their power usage originates from renewable sources. These assessments enhance a suite of comparable price references used by S&P Global Commodity Insights for renewable energy certificates in North America and Guarantees of Origin (GOs) in Europe.

S&P Global claimed that Brazil is the biggest I-REC market in Latin America while Turkey and also India represent 2 of the largest markets in Asia.

Alan Hayes, Head of Energy Transition Pricing for S&P Global Commodity Insights, stated, "As the energy transition progresses much more energy consumers are aiming to I-RECs to fulfill renewable energy objectives or mandates, which consequently is developing an expanding need for assessment and also transparency of these certificates worldwide."

He included, "The global nature of the energy transition makes expansion of such assessments crucial for the development of the renewable energy markets. We will certainly remain to introduce as well as increase in the space to satisfy customer needs as the market develops and also expands with time."

In India, trading in RECs at IEX continued to rise in August, with a total amount of 8.51 lacs RECs, a rise of 79 per cent over July, being cleared in the trading session at IEX hung on Tuesday, August 30, 2022.

The REC volume consisted of 4.18 lacs non-solar RECs with clearing price at Rs 1,000 per REC.

IEX saidthat boosted stock of solar RECs saw the clearing price getting to floor-level at Rs 1,000 per REC, with 4.32 lacs solar RECs traded during the month.

The Platts Global I-REC price assessments reflect end-of-day renewable-origin power values as identified by purchasers as well as sellers in the area certificates market. The assessments will certainly be expressed in a variety of currencies per MWh.

Platts I-REC assessments cover the leading renewables modern technologies of hydro, solar, wind and also biomass generation. The vintages assessed cover the most liquid vintages of the previous year and the existing year. For example, in fiscal year 2022, the I-RECs vintages assessed will certainly be 2021 and also 2022.

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