TEPCO, Japan’s largest electric utility, explores Bitcoin mining with surplus renewable energy: a $2.5 billion opportunity.
According to a report by the Asahi Shimbun, Agile Energy X, a subsidiary of Tokyo Electric Power Co. (TEPCO), is conducting tests to harness unused solar energy to power Bitcoin mining machines.
According to President Kenji Tateiwa, the success of the initiative could potentially encourage an increase in the availability of green energy. Tateiwa stated:
“If bitcoins were to provide a new source of income for similar power producers, who are being exposed to overinvestments, that would prompt more green energy to be introduced.”
Energy balancing with renewable sources
In Japan, renewable energy production is often intentionally reduced to balance supply and demand or to adapt to transmission limitations. To make use of potentially excess energy, Agile Energy X has installed Bitcoin mining machines near photovoltaic plants in Gunma and Tochigi prefectures, close to Tokyo.
In 2023, around 1,920 gigawatt-hours of energy were subject to output reductions in Japan. According to Agile Energy X, if renewable energy were to cover 50% of Japan’s energy needs, up to 240,000 gigawatt-hours could be wasted annually. Utilizing even 10% of this energy for Bitcoin mining could generate up to $2.5 billion (360 billion yen) per year.
