Aramco Ventures invests $10 million in REDEX for renewable energy certificate services
• 01 November, 2023
English
Redex, a Singaporean company that provides renewable energy certificate services, has received $10 million in funding from investors led by Aramco Ventures, a subsidiary of Saudi Aramco. Founded in 2018 by Jin Wei Kang, REDEX operates a platform for utilities across Asia to register, verify and use renewable energy certificates. REDEX plans to enter the Middle East and Latin American markets in 2024.
Source: Asharq Business
Redex, which provides renewable energy certificate services, has raised $10 million from investors led by Aramco Ventures, a subsidiary of Saudi Aramco, to fund its expansion outside Asia.
The company said on Tuesday that other new investors are from the Middle East, Southeast Asia and Japan, without naming them, Reuters reported.
REDEX operates a platform for utilities across Asia to register, verify and use renewable energy certificates. Each certificate represents a megawatt hour of electricity generated from renewable sources.
These certificates are traded on the Redex platform and are purchased by companies seeking to offset emissions from fossil fuel power generation.
“We plan to enter the Middle East and Latin American markets in 2024 through partnership with our strategic investors,” said Jin Wei Kang, founder and CEO of Redex. He added, “The first location is most likely Saudi Arabia,” according to the agency.
While offset products are criticized for undermining efforts to combat climate change by allowing the continued consumption of fossil fuels, they are seen as a viable way for companies to reduce overall net emissions. The certificates have also become a source of income for renewable energy generators.
A year ago, the Saudi Public Investment Fund launched the Regional Voluntary Carbon Market Company, to support companies and sectors in the region to enable them to reach zero neutrality, in addition to ensuring the purchase of carbon credits to reduce carbon emissions in value chains. The Kingdom has pledged to neutralize greenhouse gas emissions within its borders by 2060, and expects carbon capture technology to play a crucial role in achieving this goal.
2023-11-01 08:50:29
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