Infographic: Oversupply, thin demand pressure Asia I-REC prices in May

Asia’s International Renewable Energy Certificate markets saw thin demand across key countries in May, putting pressure on prices.

The I-REC markets across Asia showed low activity in May, with a slowdown in inquiries from corporate buyers.

Thailand continued to grapple with oversupply, with vintage 2025 solar credits changing hands at $1.25/MWh. Weak demand in Vietnam led wind and solar I-RECs down to 37 cents/MWh. Malaysia’s average I-REC prices declined 4.28%, despite a minimal uptick in inquiries from participants. However, that did not translate into actual trades, pressuring prices, especially for solar certificates.

In Singapore, currency pressures and muted corporate demand weighed on the market. Solar I-REC offers for vintage 2025 ranged S$80-85/MWh, but few deals closed. India was subdued, as many corporates had already met their annual targets by March. Solar and wind I-RECs decreased to average 85 cents/MWh for vintage 2025.

Participants expected a rebound later in the quarter.