Guides · Faisalabad, Lahore, Punjab
I-REC Pakistan: How Renewable Energy Certificates Work for Solar Plants
Short answer
An I-REC is an international certificate proving that one megawatt-hour (1,000 units) of electricity came from a renewable source. In Pakistan, I-RECs are issued by the Pakistan Environment Trust (PET), and a factory or commercial solar plant can register to receive them for the units it generates. They matter mainly to exporters and companies reporting their carbon footprint. For an ordinary home, they are not worth the effort.
We checked the facts below on 14 October 2026. I-REC rules and fees are set by the I-TRACK Foundation and the local issuer and can change, so confirm current details with PET before you apply.
What an I-REC is
- One certificate = 1 MWh of renewable electricity, which is 1,000 units on your meter.
- It is a tracking certificate, not electricity. It records where, when and how the energy was generated.
- The holder can redeem (use) it to claim that it used renewable electricity, or sell it to another company that wants to make that claim.
- A certificate can be sold only once and is cancelled when it is redeemed, so the same unit cannot be claimed twice.
Companies use I-RECs mostly for Scope 2 emissions, the emissions from the electricity they buy. Under the international greenhouse gas accounting rules, certificates are one of the recognised ways to show that consumption came from renewable sources. Reporting frameworks such as CDP and RE100 refer to them, which is why buyers of Pakistani exports sometimes ask suppliers about them.
I-RECs are not carbon credits
People mix these up. A carbon credit represents a tonne of greenhouse gas reduced or avoided by a project. An I-REC represents a unit of renewable electricity. They come from different standards, are counted differently, and one cannot be used in place of the other.
I-RECs in Pakistan
Generate
Metered solar units
Register
Device registration on I-TRACK
Issue
Certificates per MWh
Who issues I-RECs in Pakistan
The I-TRACK Foundation (formerly the International REC Standard Foundation) approved Pakistan for I-REC electricity issuance in 2022, with the Pakistan Environment Trust (PET) as the local issuer. The first Pakistani solar devices, both rooftop and ground-mounted, were registered in late 2022.
Three roles are involved:
| Role | Who | What they do |
|---|---|---|
| Issuer | Pakistan Environment Trust | Registers devices, checks production data, issues certificates |
| Registrant | The plant owner or an appointed agent | Registers the plant and requests issuance |
| Account holder | The owner or a buyer | Holds certificates in a registry account and redeems or transfers them |
Who should consider I-RECs
Worth looking at:
- Textile, garment and leather exporters whose buyers ask for renewable electricity data. See our guide to green compliance for textile exporters.
- Companies with group-level carbon reporting, including subsidiaries of foreign firms.
- Owners of large plants who do not need the certificates themselves and want to sell them.
Usually not worth it:
- Homes and small shops. A 10 kW system produces roughly 13 to 16 MWh a year in Punjab. That is only 13 to 16 certificates, against registration fees and paperwork.
Example arithmetic only: using our planning band of about 1,300 to 1,600 units per kW per year from our guide to solar units per kW in Punjab, a 1 MW factory rooftop plant would produce roughly 1,300 to 1,600 MWh a year, which is 1,300 to 1,600 potential certificates. This is a planning estimate, not a generation promise for any site.
How registration works
Based on the I-REC Standard's registration guide and the published account of an early Pakistani registration, the process runs like this:
- Register as a registrant with PET. The company registers first, then each device separately.
- Register each production device. Submit the device registration form with the plant's details: location, capacity, technology, commissioning date and metering arrangement. The registration is valid for five years and can be renewed.
- Provide metering evidence. In an early Pakistani case, the issuer asked for meter photographs and calibration records to confirm accuracy.
- Third-party verification. The standard expects production data to be confirmed by a third party such as the grid operator or another competent party. Local issuers may accept other methods in developing markets.
- Pay the registration fee.
- Request issuance for a period after the registration date, with the production evidence. Issuance is optional, and you choose when to request it.
- Pay the issuance fee, and the certificates are released to the account you name.
- Redeem or sell. Redeem them in your own name for your reporting, or transfer them to a buyer.
The fees
The I-TRACK Foundation's 2026 fee schedule lists PET's fees in US dollars, roughly as follows.
| Fee | Reported 2026 amount |
|---|---|
| Application | No fee |
| Device registration, under 1 MW (five years) | See the current I-TRACK fee schedule |
| Device registration, 1 MW to under 3 MW | See the current I-TRACK fee schedule |
| Renewal after five years | See the current I-TRACK fee schedule |
| Issuance, grid-exported | See the current I-TRACK fee schedule |
| Issuance, self-consumption | See the current I-TRACK fee schedule |
Registry accounts used for trading and redemption carry separate platform fees, which the schedule lists in euros and which are significant for a single small plant. Many companies use an agent or a buyer's account instead of opening their own. Certificate sale prices are agreed between buyer and seller; there is no fixed price.
Points to get right
- Do not double count. If you sell your certificates, you can no longer claim that renewable electricity for your own reporting. Decide which you need before you sell.
- Exported units under net billing. Units you export to the DISCO may be counted in the grid's own figures. Ask PET how they treat exported units before you claim them. Our net billing guide explains how exports are metered.
- Metering quality. Certificates rest on metered generation. A plant with a proper generation meter and reliable monitoring data is much easier to register than one with gaps.
- Older production loses value. Certificates do not expire, but buyers usually want recent ones.
What it means when you plan a plant
If I-RECs may matter to your buyers, say so at the design stage. It affects:
- Metering: where generation is measured and how readings are stored.
- Monitoring: keeping exportable monthly generation records from day one.
- Documents: single-line diagram, equipment list and commissioning records in one file.
A detailed quotation that lists brand, model, quantity and specification for each item, as described in our guide to comparing solar quotations, gives you most of the equipment details a registration form asks for.
Solar Works Pakistan designs industrial and commercial plants in-house, from rooftop systems to ground-mounted plants, installs them with its own teams, and builds new systems with monitoring capability. We work with factories across Punjab, including Faisalabad's industrial estates and textile and dyeing units, and have served 50+ industrial clients. See our industrial and commercial solar page.
Get today's price or a free site survey
Tell us your load, your buyers' reporting needs and your roof or land. Our engineers will design a plant around both your bill and your compliance needs.
- WhatsApp or call: 0336 666 4321
- Email: info@solarworks.pk
- Head office: Main Boulevard, Sargodha Rd, Block F FDA City, Faisalabad
- Lahore branch: 2nd Floor, Jeff Heights, Gulberg, Lahore
- Hours: 9:00 AM to 6:00 PM, daily
- Service area: all of Punjab. See our Faisalabad and Lahore pages, or contact us.
Site surveys are normally free. Founded in 2021, Solar Works Pakistan has served 300+ customers, including 50+ industrial clients.
Frequently asked questions
What is an I-REC?
An international certificate proving that 1 MWh (1,000 units) of electricity came from a renewable source. The holder can redeem it to claim renewable electricity use, or sell it to another company. Each certificate can be claimed only once.
Who issues I-RECs in Pakistan?
The Pakistan Environment Trust, approved as Pakistan's I-REC electricity issuer in 2022. It registers production devices, checks generation data and issues certificates.
Can a rooftop factory solar system get I-RECs?
Rooftop solar devices were among the first registered in Pakistan, and the 2026 fee schedule includes a self-consumption issuance fee. Confirm current eligibility and documents with PET before you apply.
Are I-RECs worth it for a home solar system?
Usually not. A home system produces only a few dozen certificates at most each year, while registration involves fees and paperwork. I-RECs make sense mainly for larger commercial and industrial plants.
Is an I-REC the same as a carbon credit?
No. A carbon credit represents a tonne of emissions reduced or avoided. An I-REC represents a unit of renewable electricity and is used for electricity-related (Scope 2) reporting.
Can I sell I-RECs and still say my factory uses solar?
You can still say you have solar on site, but if you sell the certificates you give up the right to claim that renewable electricity in your emissions reporting. The buyer makes that claim instead.
Sources
- I-TRACK Foundation, "Pakistan approved for I-REC(E) issuance" (28 Apr 2022)
- I-TRACK Foundation, "First devices registered in Pakistan" (19 Dec 2022)
- Pakistan Environment Trust, "Renewable Energy Certificates"
- I-TRACK Foundation, "I-REC Guide: Register production and issue I-RECs": https://www.trackingstandard.org/wp-content/uploads/I-REC-Guide_Register-Production-and-Issue-I-RECs-_315.pdf
- I-TRACK Foundation, fee structure 2026 (v2)
- Shams Power, "Shams Power registers Pakistan's first project with I-REC"