Sandton, South Africa, May 17, 2022 (GLOBE NEWSWIRE) -- A day before its anticipated listing on the P2PB2B global crypto exchange on Tuesday 17 May, Sinan Energy has concluded an agreement to supply renewable energy to one of the largest Chlor-Alkali manufacturing plants in the Southern hemisphere. The deal will see Sinan provide over 1.24 billion kWh of tokenized energy over a twenty-year period through its blockchain platform. The energy will be sourced from its own renewable energy plants which are planned to start construction in Q3 2022.
The energy, to be produced from decentralized renewable sources including solar and wind, will displace dirty fossil-fired power that is produced by the national centralized utility from old coal-fired power plants. The carbon emission reduction is therefore maximized, and it is anticipated that Sinan Energy will prevent over one million tons of harmful CO2 from being emitted into the atmosphere.
Sinan Energy’s blockchain platform enables it to tokenize, record, and verify carbon credits generated from its plants. This allows it to achieve international certification and trade carbon credits on the global carbon market. By integrating renewable energy and blockchain architecture, Sinan Energy has created twin revenue streams through the sale of energy and tokenized carbon credits.
The need for carbon credits arises because more and more companies have adopted a net-zero emission target, which has led to an exponential increase in their demand and prices.
Carbon credits are expected to increase 15-fold in value in the run-up to 2030. This is because most of the world’s governments and top 5000 global corporations have set Net-zero emission reduction targets for 2050 with the first major milestone in emission reductions having to be met by 2030.
Unlike mining infrastructure where the commodity mined is typically priced in dollars, renewable energy plants have struggled to attract cheap international funding since the power output from the power plants can only be sold within the country in which the plant is built and is priced in the local currency. International investors had to factor in foreign exchange risk making the cost of capital for energy projects higher because of the additional risk.
Funding renewable energy projects through carbon credits creates a new and more efficient mechanism for rolling out energy infrastructure in the developing world since carbon credits are priced in dollars or euros and hence foreign exchange risk is avoided when raising equity in these currencies.
Experts believe new-age renewable energy plants are the gold mines of the 21 century. These offer environmental benefits, low investment risk, consistent cash flows, explosive demand, and reduced operating costs. All these factors clubbed together make renewable energy plants the future of the industry. When someone adds carbon credits to the picture, it becomes one of the most lucrative investment options.
The twin revenue streams allow Sinan Energy to accelerate the commercial deployment of new renewable energy technologies by integrating these into its blockchain-enabled tokenization platform. Doing so allows it to build and deploy innovative plants ahead of the curve, thereby extracting maximum value.
A major advantage of the carbon credits created from renewable energy projects compared to other initiatives like reforestation lies in the fact that the plants have a real utility in providing renewable energy and thus are self-sustaining. This makes the generation of carbon credits more sustainable and hence more attractive to corporate buyers and investors alike. Of course, this does not imply other initiatives are not required, it simply means renewable energy projects are some of the most efficient at displacing emissions sustainably.
Sinan Energy tokens will be traded on the P2PB2B crypto exchange from 09H00 UTC on 17 May 2022.
For more info visit: https://www.sinanenergy.com
Twitter: https://twitter.com/SinanEnergy
Telegram: https://t.me/SinanEnergy
Medium: https://medium.com/@SinanEnergy
Youtube: https://www.youtube.com/channel/UCJ8jblaKoOeei3KfGO7W4Qg
Disclaimer : There is no offer to sell, no solicitation of an offer to buy, and no recommendation of any security or any other product or service in this article. This is not an investment advice. Readers are encouraged to do there own research.
Media Contact:
Contact Person: M Madhi
Company: Sinan Energy
Email: info@sinan.co.za
City: Sandton
Country: South Africa
Website: https://www.sinanenergy.com/
