Greenhouse gas emissions have remained a threat to the sustainability of the non-renewable sources of energy currently in use and have become a great concern globally. While many appreciate the role of fossil fuel as a source of energy in global warming, the rate of development and adoption of new more sustainable solutions has been slow. The Zero Carbon project was created with the aim of using blockchain technology to fight emission of greenhouse gases.
Zero Carbon Project
The project aims at creating a market that is more cost effective compared to traditional non-renewable energy sources. Through its platform, the project looks to fasten the pace in reducing global warming while rewarding its users for their contributions towards this goal.
The project is led by Derek Myers who has been working in the energy and financial sectors for over 25 years. His inspiration to use blockchain in designing solutions to lessen carbon emissions came from the transparency and the irreversibility of smart contracts and their potential in holding and transferring value. Current renewable sources of energy such as wind have also been expensive discouraging some from switching from traditional fossil fuels.
The zero carbon project offers reduced prices for switching to more environmentally friendly power sources by taking advantage of international carbon credits and intensely competitive market undercurrents. The project further enhances the cost savings associated with switching to green solutions through Energis tokens which it uses to reward its customers. These tokens are designed to be the main medium for users to transact on the platform. As the number of users on the platform increases, the demand for the Energis tokens in expected to increase therefore increasing its value and reducing the costs for zero carbon energy solutions purchased through the platform.
This market is designed as a hybrid system with some elements of the platform operating off the blockchain with transactions involving Energis tokens settled through the Ethereum blockchain. The market operating off the blockchain has already been built and is set for launch in the UK in October. The platform is also looking to implement raiden and plasma solutions to enable for scaling in processing energies tokens.
Problems Solved by Zero Carbon
Various measures and technologies have been developed in line with the goals set out in the UN Paris Agreement that envisions a society with net-zero greenhouse gas emissions within the first half of this century. These technologies have come a long way in moving towards this goal with people using renewable energy more and more. However, progress has been slow due to the high costs associated with adoption of renewable solutions. The costs have come done with time. The zero carbon project is, however, not a substitute for the existing renewable energy options but a solution leveraging blockchain technology to accelerate the pace with which these sustainable energy solutions are adopted.
The cost of green power is expected to remain higher than the alternative sources at least for the next few years. The role of this project is well defined in bridging this gap. However, the rate of development and innovation in the Renewable energy sector has consistently resulted in the reduction of these costs. It’s anticipated that in the not so distant future, green energy solutions will become cheaper than the non-renewable solutions. The project anticipates that at that point, green solutions will begin to compete against themselves with solutions that offer better value to consumers performing better on the platform.
Besides a market where businesses can list their products, clients will be able to give tenders and have suppliers bid to supply the solutions required by the buyer. This further enhances competitiveness in green energy supply which in turn leads to lower prices. The competitiveness created is also likely to increase the rate of innovation in the green energy solutions as different providers seek to improve their products to get an edge over other providers. Green power providers are offered an opportunity to win more clients with lower acquisition costs.
Many countries depend on the government for the supply of electricity through a centralized grid, taking advantage of the economies of scale. While the project is currently focused on household consumers, it is interesting to look at the impact the zero carbon project may have in large-scale energy production both for industrial and multiple household uses.
Energis Tokens in Zero Carbon
Energis token sales are expected to raise USD 20 million in its coin offering to be used to facilitate marketing and further development of the platform. The tokens will be issued in stages with USD 3 million from private investors, USD 5 million from the public presale and the remaining USD 12 million during the main offering. Apart from purchasing the tokens during the ICO, users will also have the ability to earn energies for using zero carbon and other rewards.
Zero carbon also announced the launch of a bounty program through which 2.4 million Energis tokens will be distributed. Users have the option to participate in the bounty program on different social media and discussion forums where the stake earned will depend on the number of followers a participant has, the frequency and relevance of the items shared on the platforms among other pre-specified factors. The value of the tokens has been designed to be dependent on the future use cases.
By limiting supply and requiring all transactions on the platform to be based on energis, an environment has been created where there will be a constant demand for the tokens giving them value. The project is working toward a listing of the tokens in exchange platforms to improve flexibility for users holding energis and creating an opportunity for them to benefit economically from the value accumulated through the token.