IEX sees sluggish demand for renewable energy certificates

Reflecting sluggish demand, Indian Energy Exchange this month saw sale of just over 93,000 renewable energy certificates out of nearly 52 lakh that were available.
The total number of sale bids, together in solar and non-solar segments, stood at around 51.88 lakh during the REC trading session held on Wednesday.
However, REC trading activities this month were better than in October when only about 36,000 such certificates were sold.
The session yesterday saw trading of 93,100 non- solar and 245 solar RECs, the exchange said in a statement today.
Renewable energy certificates are used as instruments to help entities meet the Renewable Purchase Obligation set by states. One REC is equivalent to 1 MWh of energy generated from renewable sources.

In the non-solar segment, there were just 93,100 buy bids whereas the count of sell bids stood at more than 49.47 lakh. The purchase bids were cleared at the floor price of Rs 1,500 per certificate.

The number of buy bids was just 245 in the solar segment even as the sell bids crossed more than 2.41 lakh. Solar certificates were sold at the floor price of Rs 9,300 apiece.
"...In the solar segment, trade this month is almost comparable to trade last month due to the pending revision of floor price by the regulator," IEX said.
As many as 766 entities participated in the latest trading session, with 566 of them in the non-solar segment.

IEX is the country's leading power exchange.