Japan-based Marubeni Agrees to Back Blockchain Power Purchasing Platform

Asia Blockchain Review
August 2, 2019

Japanese trading house Marubeni Corp has agreed to back WePower, a Lithuania-based blockchain power purchasing platform that aims to establish itself in Australia and tap rapid growth in solar and wind power.

As reported by Reuters, Marubeni has issued an unspecified loan to WePower, convertible into shares, though the size of the stake for Marubeni after converting the loan has not yet been determined.

Streamlining Power Purchases Using Blockchain

According to WePower, the blockchain platform was designed to make it easy for small and medium-sized businesses to buy power from wind and solar project developers. The platform also purportedly offers standardized, digital power purchase agreements to help underwrite new projects.

Power purchase agreements (PPAs) are typically negotiated between a developer and an industrial buyer, but negotiations tend to be lengthy and complex while requiring contractual commitments of at least 5-10 years.

WePower Offers Shorter Timeframes and Flexibility

Although Australia is currently running out of major power consumers to commit to large supplies of power from new projects, tens of billions of dollars worth of power generation projects are being planned. Lining up enough PPAs to back a project therefore requires turning to smaller commercial and industrial businesses. 

To that end, WePower offers a standard contract, shorter timeframes and flexibility for buyers to on-sell their offtake agreements should the power no longer be necessary. In a single day, the company raised US$40 million in February 2018 in an initial coin offering (ICO).

As such, the only remaining discussion point through the platform was the price, according to Nikolaj Martynuk, chief executive and co-founder of WePower. 

Source: https://www.reuters.com

About Asia Blockchain Review

Asia Blockchain Review is the largest initiative for media and community building in Asia for blockchain technology. It aims to connect all blockchain enthusiasts on a regional scale and facilitate the technological foundation of blockchain through a range of group discussions, technical workshops, conferences, and consulting programs.

Our goal is to cultivate and encourage a collaborative community for our members to gather, share their experiences and endeavors in the blockchain space, and brainstorm the potential uses of blockchain technology.

Follow Asia Blockchain Review on:

    Related Article
    2020: Managing the Expectations of Blockchain Related Hype
    As blockchain technology evolves, the ecosystem for a lot of things is advancing as time goes by. So...

    February 22, 2020

    Is Blockchain the Saviour that Healthcare Needs?
    2019 saw almost USD$4 billion worth of healthcare data breaches, but it's not all doom and gloom, as...

    February 19, 2020

    MESTECC Launches 130 Technology Initiatives for 2020
    In line with the “Own It. Do It. Ace It.” campaign, the Ministry of Energy, Science, Technology, Env...

    February 17, 2020

    Australian Government Unveils National Blockchain Roadmap
    The national blockchain roadmap is all about progressing the country towards a blockchain-empowered ...

    February 17, 2020

    We provide information about Asia Blockchain Review latest activities as well as global blockchain news and research. Subscribe to our Newsletter now or Contact us