Saudi Arabia-based energy developer, ACWA Power, adopts SolarCoin -the global reward programme for solar electricity generation.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 rather 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 paying 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. Read more...
Paddy Padmanathan, President and CEO of ACWA Power said: “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.
“Now through SolarCoin, we are able to utilise blockchain technology in one way to create value to renewable energy generation.”
How the crypto currency works
Just like the innovative Bitcoin, SolarCoin is a global crypto currency decentralised and independent of any government.
By leveraging the currency, the power firm will be rewarded for helping build a more sustainable future.
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 crypto currencies.
Nicholas Gogerty, founder of SolarCoin Foundation also commented: “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.”
Featured image: ACWA Power