In yesterday’s article of the Hindustan Times , Rupa Devi Singh,Managing Director of PXIL said that the REC market is expected to grow to Rs.100 crore by the end of 2012. Currently the market size per month is around Rs. 30 crore. Till date 11.5% of the total installed capacity of renewable energy sources i.e 2,913 MW out of the total 25,409 MW has been registered with the REC scheme.

In the last two month the market has stayed low due to the mismatch in the demand supply of RECs. The only driving factor is the strict enforcement across states.

Mr.Vishal Pandya, Director ,REConnect Energy Solutions was quoted,“The demand looks uncertain going forward against the rapidly increasing supply.Despite the first quarter getting over, there is no firm development on RPO enforcement across states”.

Last month against a supply of 5lakh RECs the demand was met for only 1.6 lakh RECs almost half of that in June. As a result prices fell from Rs. 2,400 to Rs. 2,200. However the demand of Solar RECs is still in demand and were traded at Rs.12,800.