TEPCO Subsidiary Taps Bitcoin Mining to Harness Excess Renewable Energy

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TEPCO Subsidiary Taps Bitcoin Mining to Harness Excess Renewable Energy

Tokyo Electric Power Co.’s (TEPCO) subsidiary, Agile Energy X Inc., is pioneering a new approach to reduce renewable energy wastage. The company is testing Bitcoin mining powered by excess renewable energy, such as solar and wind. This solution targets one of the critical challenges in renewable energy—the oversupply of electricity during periods of low demand.

President Kenji Tateiwa, formerly of TEPCO’s nuclear division, initiated the project after recognizing the potential to combine renewable energy with Bitcoin mining. His idea emerged after Kyushu Electric Power Co. faced issues in 2018 when renewable producers had to cap or halt operations to avoid power oversupply, leading to wasted energy.

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Agile Energy X Channels Excess Power into Bitcoin Mining

Agile Energy X has placed Bitcoin mining machines in Gunma and Tochigi prefectures, including near solar farms. The company is currently testing the process of mining Bitcoin during times of renewable energy overproduction. This prevents the waste of surplus power and creates revenue-generation opportunities.

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In Japan, nine regional utilities have adopted output restrictions for renewable energy. In 2023, 1,920 gigawatt-hours of power were subject to these controls, equal to the annual consumption of 450,000 households. Agile Energy X’s simulations show that if renewable energy makes up 50 percent of Japan’s power supply, 240,000 gigawatt-hours of energy could be wasted yearly. Using just 10 percent of this surplus for Bitcoin mining could generate $2.5 billion annually.

Tateiwa believes that this approach will help utilize excess energy and stabilize corporate earnings. He hopes this model will encourage further investment in renewable energy across Japan. A similar practice has already gained momentum in the United States, with Texas becoming a leader in mining Bitcoin using renewable power.

Also Read: Michael Saylor Urges Investors to Hold Bitcoin Amid Market Decline

Maxwell is a crypto-economic analyst and Blockchain enthusiast, passionate about helping people understand the potential of decentralized technology. He writes extensively on topics such as blockchain, cryptocurrency, tokens, and more for top publications such as Coingape, Coin Edition, and The Coin Republic. His goal is to spread knowledge about this revolutionary technology and its implications for economic freedom and social good.