IMO, its kind of like a "Chicken and Egg" story.
I think certifications are necessary and would be helpful. It broadens ones knowledge as well as it gives you the extra "edge" when it come to the employer making a selection for a candidate. Then again, its also hard to imagine someone with a certification, but has not enough experience. I think, in order to fully utilise a certification, there should be a stringent qualification process prior to taking the actual courses. This will ensure that the person taking the certification has enough experience and knowledge before taking it. This will in turn, make the certification more creditable, prestige and valuable.