ACWA Power has announced that it has adopted the global reward programme SolarCoin, a cryptocurrency launched in 2014 and implemented to incentivise global solar electricity generation.
The company has become the first utility-scale generator to join the SolarCoin ecosystem.
SolarCoin adoption will provide digital tokens to ACWA Power for every MWh of solar energy produced and will provide a supplementary means of payment for goods and services than conventional currency.
SolarCoin is a blockchain-based digital asset and currency designed to accelerate the transition to clean energy technology. The energy-referenced crypto currency aims to incentivise global solar energy production by disbursing digital coins to verifiably produced solar energy, rewarding energy producers with digital tokens at the rate of 1 SolarCoin (SLR) per 1MWh of solar energy produced.
SolarCoin is global, decentralised and independent of any government. By leveraging SolarCoin, ACWA Power will be rewarded for helping build a more sustainable future. SolarCoin is a cryptocurrency, like Bitcoin, which in this case specifically links the disbursement of digital coins to solar energy produced and therefore, uniquely, has a positive actionable impact on environmental sustainability.
SolarCoin uses an ultra-low carbon blockchain technology called proof of stake time to maintain the open source ledger system. The proof of stake algorithm is significantly less energy intensive than methods used by other cryptocurrencies, such as proof-of-work.
As the price of solar coins appreciate, through more users agreeing to accept SolarCoin for value representation and transactions, claiming SolarCoins can become an additional and relevant revenue stream for solar power producers, resulting in an incentive for solar energy investors to install more generation capacity.
“We are always looking for ways to adopt new technologies to add value and reduce cost in all that we do and blockchain technology in our view offers a yet untapped opportunity for the power generation sector,” said Paddy Padmanathan, president and CEO of ACWA Power.
“Now through SolarCoin, we are able to utilize blockchain technology in one way to create value to renewable energy generation. Being early utility-scale adopters of SolarCoin, ACWA Power is proud to leverage our rapidly growing solar energy generation capacity to accelerate the utilization of SolarCoins to in time further reduce the cost of solar energy through the supplementary value being created.”
Nicholas Gogerty, founder of SolarCoin Foundation said, “Awarding coins to solar energy producers such as ACWA Power provides an incentive to continue to invest in solar capacity. We hope to see further adoption of SolarCoin in the region, with the aim of building a strong community and spurring a global market for renewable energy investment.”
ACWA Power operates in ten countries and has deployed a variety of technology solutions to support governments in reliably supplying desalinated water and power at the lowest possible cost. The 50MW Bokpoort CSP project in South Africa and the 50MW Karadzhalovo PV plant in Bulgaria are already generating SolarCoins, while other projects, will in time also benefit from the SolarCoin incentive programme.
ACWA Power will host a workshop led by SolarCoin Foundation during Abu Dhabi Sustainability Week (ADSW) on January 16, 2018 at 14.00 to 16.00 hrs at the Energy Efficiency Theatre at ADNEC to introduce blockchain technology, how SolarCoin is mined and how the SolarCoin wallet works. ADSW is set to take place from January 13-20, 2018.