REDEX, a Singapore-based renewable energy certificates (RECs) solutions provider, announced Tuesday the successful completion of a $10 million Series A funding round.
REDEX said in a statement that Aramco Ventures led the investment, along with notable new investors from the Middle East, Southeast Asia, and Japan.
According to the statement, the new funding will allow the company to expand beyond Asia, and to further innovate in streamlining and digitizing the issuance and trading of RECs.
“REDEX is well positioned as the leading marketplace for I-RECs, which will enable renewable energy markets in many parts of the world,
“We look forward to collaborating with the REDEX team to extend this capability into new geographies,” said Bruce Niven, Executive Managing Director, Strategic Venturing at Aramco Ventures.
The firm is developing practical and innovative solutions to meet the clean energy needs of corporates globally.
Its mission is to accelerate the world’s transition towards renewable energy,
“We are witnessing tremendous growth in the adoption of RECs by brand owners striving to be 100 percent renewable, both for themselves and their supply chains,” said Jen-Wee Kang, Founder and Chief Executive Officer of REDEX.
“Building on the trust we have established with key players in the ecosystem, REDEX is well-positioned to play a leading role in the exponential growth of RECs adoption globally,” he added.
As a concept, RECs is the instrument traces one’s power consumption to renewable energy sources. Its simplicity is precisely why the instrument is the most convenient and practical way for companies to achieve Scope 2 neutrality.
RECs are endorsed and adopted by RE100, the main consortium of leading brand owners committed to 100 percent renewable electricity.
The consortium was originally formed in 2014 by 13 corporate partners. Today, RE100 has more than 400 members who consume around 400 TWh of power.
REDEX believes there is great potential to apply RECs creatively in the industrial sector, like for green aluminium, steel, and cement – commodities that are covered in the starting phase of Europe’s Carbon Border Adjustment Mechanism (CBAM).
In April, the company announced that it was the first API-integrated Platform Operator Account on I-REC, the world’s largest RECs registry.
In June, REDEX also announced its partnership with China Southern Grid, supporting the grid operator in its role as an I-REC Issuer in China.