Renewable Energy Certificate (REC) Market Size to Reach $45.45 billion by 2030

Renewable Energy Certificate (REC) Market Size to Reach $45.45 billion by 2030

According to a new research report, the global Renewable Energy Certificate (REC) Market is projected to grow from USD 27.99 billion in 2025 to USD 45.45 billion by 2030 at a CAGR of 10.2% during the forecast period. The growth of the renewable energy certificate (REC) market is driven by the significant focus of organizations on minimizing their greenhouse gas emissions and increasing investments in renewable energy globally. Also, government policies mandating renewable energy targets are strongly propelling the renewable energy certificate (REC) market as they establish a formal framework to encourage power generation using renewable energy sources. The market exhibits promising growth, given the increasing demand from businesses and individuals seeking to neutralize their carbon footprint.

Key Market Players

3Degrees, Inc. (US),    

EDF Trading Limited (UK),    

Shell Energy (UK),    

ENGIE (France),    

Enel Spa (Italy),    

Ecohz (Norway),    

Statkraft (Norway),    

STX Group (Netherlands), among others...

The increasing investment in clean energy projects creates significant opportunities for the players in the renewable energy certificate (REC) market, as it directly contributes to the growth and expansion of renewable energy capacity. As governments, corporations, and private investors prioritize sustainability and decarbonization, there is a surge in the development of renewable energy infrastructure, including wind, solar, and hydroelectric power. These projects generate renewable energy that qualifies for issuing RECs, which are then traded in the market. More cleaner energy projects lead to increased REC generation, which boosts supply and demand in the REC market. Firstly, with the expansion of renewable energy generation, the number of RECs issued increases, which opens up more opportunities for businesses, utilities, and organizations to meet their regulatory compliance requirements or sustainability goals. Many countries have Renewable Portfolio Standards (RPS) or other mandates requiring entities to produce renewable energy or purchase RECs to meet renewable energy targets. As investments in clean energy projects rise, RECs' availability also grows, providing companies with more options to buy and fulfill their obligations. This, in turn, increases market activity, liquidity, and efficiency, driving the broader adoption of renewable energy.

The increasing demand for solar panels, micro hydropower plants, and micro wind turbines is creating an opportunity for the renewable energy certificate market to grow. Solar panels, micro hydropower plants, and micro wind turbines significantly drive the demand for RECs by increasing renewable energy supply. As the adoption of solar energy continues to rise, with solar installations accounting for a large share of new renewable energy capacity, each megawatt-hour of energy produced generates RECs, which utilities must purchase to meet Renewable Portfolio Standards (RPS) in many states. As the number of individuals, businesses, and organizations adopting these systems continues to grow—propelled by state incentives, tax credits, and a strong commitment to sustainability—the production of Renewable Energy Certificates (RECs) surges. This increasing generation fuels heightened demand in compliance and voluntary markets, significantly impacting the landscape of renewable energy. These technologies collectively support the transition to renewable energy while ensuring a steady market for RECs, as they fulfill both regulatory requirements and corporate carbon offset goals.

Asia Pacific is expected to be the fastest-growing region in the renewable energy certificate (REC) market

In the recent past, the countries in Asia-Pacific have significantly started increasing the generation of renewable energy with the most focus on solar and wind energy. To facilitate the transition, they have set up several mechanisms and incentives like feed-in tariffs, RECs (renewable energy certificate) programs, and Renewable Energy targets. Key developments responsible for REC market growth in the region are China, Japan, and Australia. As an International Renewable Energy Certificate (I-REC), the market is booming across the region as a global framework for certification of production and usage of renewable equipment.