Renewable Certificates Uncertainty as Markets Grow: New Risk Management Efficiencies brought by Molecule

Molecule Software, provider of the most modern ETRM software, has released enhancements to Hive, its add-on for renewables. These enhancements simplify managing the lifecycle of production-linked certificates and obligations.

HOUSTON, TX – 29 October 2024 – Molecule Software, provider of the most modern energy trading risk management (ETRM) software, is today announcing enhancements to Hive, its specialized module for renewable certificates. The enhancements will simplify the process of managing and allocating renewable energy certificates to meet demand obligations – helping renewable energy market participants gain efficiencies and reduce expensive errors typically associated with manual data input. Hive’s capabilities will further support the continued growth of clients’ businesses by enabling them to manage the complexities of their energy portfolio and renewable credits together in one scalable platform.

Companies trading renewable certificates and allowances face the challenge of multiple regulatory regimes and increasing volumes. This market-driven product enhancement will allow companies to manage certificates in bulk and individual serial numbers, in turn reducing manual workload and minimizing the risk of expensive errors in managing certificates. One client is already managing its solar generation profile and renewable energy credit inventory — comprising 750 million rows of data per day — all within Molecule's platform, identified as the only one able to handle this level of scale and complexity.

According to Sameer Soleja, Founder and CEO of Molecule, energy trading organizations are faced with several challenges related to renewables. “Renewables are still a new frontier, and one of the biggest challenges we’ve seen is modeling all their nuances in a way that makes sense for informing retirement and predicting the market,” he says. “Another major challenge is the sheer volume of data associated with modeling certificates and their individual serial numbers.”

Hive, first introduced as an add-on to Molecule’s core ETRM platform in 2022, provides a set of renewables-focused features that allow companies to manage the complete lifecycle of their production-linked renewable certificates – including trading, forecasting, minting, matching, allocation, and traceback. It simplifies the management of renewable certificate inventory and streamlines the allocation process to meet carbon offset obligations.

The key benefits of the enhancements to Hive include:

• Granular visibility and accuracy across a certificate's entire lifecycle down to the serial number level.
• Automatic matching and optimization of forecasted and available certificates to meet demand obligations
• The ability to easily identify and navigate inventory allocation gaps, ensuring certificates are properly aligned with demand requirements.
• A clear audit trail from initial proposals to final fulfillment to ensure regulatory compliance.

“Renewable certificates are becoming de rigueur in the market as energy companies’ businesses grow and they open new trading desks for them. Molecule offers what we see as the most mature solution in the market for handling renewable instruments, reliably and at scale,” says Soleja. “We’re continuing to build more within Molecule to make that functionality even more valuable for our customers.”

Molecule is modern, reliable energy and commodities trading risk management software - built in the cloud with an intuitive, easy-to-use experience at its core. Molecule’s ETRM/CTRM platform is built for energy and commodity traders, risk managers, and operations teams at hedge funds, IPPs, producers, and world-scale energy and PE firms – in power, gas, crude, refined products, renewables, chemicals, agricultural products, fuel, and cryptocurrencies. Molecule automates routine tasks and complex position, P&L, and risk calculations - getting your ETRM/CTRM out of your way so you can focus on more important things. Learn more about Molecule at molecule.io.