Sales of renewable energy certificates (RECs) jumped 42 per cent in April to 10.62 lakh units on the Indian Energy Exchange (IEX) and Power Exchange of India (PXIL) compared to 7.46 lakh in the same month a year ago, as per official data.
The Renewable Purchase Obligation (RPO) is mandated by central/state regulatory commission and is applicable to power distribution companies, open access consumer and captive consumers. They are under obligation to buy RECs from renewable energy producers to meet this norm.
IEX and PXIL sold 7,81,130 and 2,81,531 RECs respectively, totalling 10,62,661 RECs for the month of April in the auction conducted. Last year in April, PXIL and IEX had sold 2,93,420 and 4,53,353 RECs respectively, totalling 7,46,773 RECs, as per data available on both the exchanges.
IEX said in a statement that the major buyers were open access consumers and captive power producers, followed by distribution companies and utilities such as Tata Power, BEST and Torrent Power which came forward to fulfil their RPO compliance.