🇮🇳India

REC ट्रैकिंग में डबल-काउंटिंग जोखिम (REC Double-Counting and Fraud Risk)

2 verified sources

Definition

REC trading happens on CERC-approved power exchanges with manual transaction settlement. Search results state: 'every transfer is recorded to prevent double-counting.' However, delays between: (1) REC issuance by NLDC, (2) listing on power exchange, (3) purchase by obligated entity, (4) retirement confirmation—create 2-4 week windows where same REC could be traded multiple times or fraudulently retired. Industrial audits of power exchanges (e.g., ISA/POSOCO data) have not been published for India, suggesting weak audit trails.

Key Findings

  • Financial Impact: ₹10-50 crore/year estimated (based on 2-5% fraud leakage × ₹17B REC market = ₹34-85 crore market loss; conservative assumption 10-50% attributable to tracking fraud)
  • Frequency: Continuous; detected during annual CERC audits or ad-hoc power exchange reconciliations
  • Root Cause: Gap between NLDC registry and power exchange (PX) systems; manual settlement instructions; lack of real-time transaction validation; weak audit trails on generator-to-buyer REC lineage

Why This Matters

The Pitch: India's REC market (projected ₹17B in 2024) faces unquantified fraud leakage from REC double-trading and falsified retirement claims. Real-time blockchain-based certificate ledgers with immutable transfer logs eliminate double-counting risk and reduce audit time from 6 months to 2 weeks.

Affected Stakeholders

NLDC Compliance Team, Power Exchange Risk Officers, CERC Auditors, RE Generator Internal Audit

Deep Analysis (Premium)

Financial Impact

Financial data and detailed analysis available with full access. Unlock to see exact figures, evidence sources, and actionable insights.

Unlock to reveal

Current Workarounds

Financial data and detailed analysis available with full access. Unlock to see exact figures, evidence sources, and actionable insights.

Unlock to reveal

Get Solutions for This Problem

Full report with actionable solutions

$99$39
  • Solutions for this specific pain
  • Solutions for all 15 industry pains
  • Where to find first clients
  • Pricing & launch costs
Get Solutions Report

Methodology & Sources

Data collected via OSINT from regulatory filings, industry audits, and verified case studies.

Evidence Sources:

Related Business Risks

Request Deep Analysis

🇮🇳 Be first to access this market's intelligence