Highlights and Insights from the I-REC Standard Conference 2024
The I-REC Standard Conference (ISC) 2024, held in São Paulo, was a significant event for discussing the evolving landscape of energy attribute certificates (EACs) and their impact on global renewable energy markets. The conference provided a comprehensive overview of current trends, challenges, and opportunities in the sector.
Global Trends in I-REC Demand
Global trends in I-REC demand were highlighted at the conference, noting a significant increase in redemptions. In June, redeemed International Renewable Energy Certificates (I-RECs) increased by 23% compared to the same month in 2023. The first half of 2024 saw a nearly 60% year-over-year increase in total redemptions, with 18.7 TWh redeemed in June alone, compared to 15.1 TWh in June 2023.
However, demand varied by region. In Latin America, Brazil remained the largest consumer of I-RECs despite a decline in demand. In the Asia-Pacific region, demand for I-RECs in China decreased, while Vietnam saw an increase. The Middle East experienced declines in both issuance and redemptions, with the United Arab Emirates and Turkey showing different trends.
Exploring New Markets and Addressing Buyer Needs
The conference kicked off with discussions on how EACs fit into new markets, the implementation of additional tracking layers across different countries, and the roles of various stakeholders in these emerging markets. This highlighted the increasing complexity and importance of reporting in the renewable energy sector.
One of the main focuses of the first part of the conference was on growth in emerging markets, especially in regions with limited grid coverage. The discussions emphasized the significance of including countries where grid connectivity is not guaranteed, underscoring the vital role of distributed energy generation in these areas, particularly in fragile states, and how such developments can bring substantial social benefits.
Another key point was providing insights into how I‑RECs for electricity fit into buyers’ operations, motivations, and ambitions regarding renewable energy use, and how they may convince suppliers to adopt renewable energy practices. Preferences for purchasing renewables were also shared, with an emphasis on the importance of installing solar systems and advocating for favourable policies to support renewable energy procurement.
Another important aspect covered was the management of methane and the introduction of the new I-TRACK code managers for monitoring biomethane and methane intensity. This marked the first comprehensive introduction of the new tool and its market launch, signalling the growing emphasis on managing methane emissions as part of a broader renewable energy strategy.
Innovations and Market Expansions
Several key innovations and market expansions were discussed during the conference. The I-Track to certify non-renewable power was a notable announcement. The International Tracking Standard Foundation (I-Track) plans to issue certificates for electricity from non-renewable sources, starting with the Barakah nuclear power plant in the UAE. This new certification aims to facilitate full disclosure globally, expanding beyond just renewable electricity to include hydrogen, hydrogen derivative fuels, and biogas.
Conclusion
The I-REC Standard Conference (ISC) 2024 in São Paulo was a comprehensive and insightful event, providing valuable perspectives on the future of renewable energy markets and EACs. With a focus on market dynamics, innovative tracking mechanisms, and regional developments, ISC 2024 highlighted ongoing efforts to achieve a transparent, reliable, and inclusive renewable energy future.
Nvalue’s participation underscored its commitment to leading industry developments and contributing to the global dialogue on sustainable energy practices. As the renewable energy landscape continues to evolve, navigating these complexities can be challenging.