Remixpoint, Inc. (TYO: 3825), which owns the BITPoint cryptocurrency exchange, announced on November 15 that it has started formulating plans for a new energy management service that aggregates and utilizes mass amounts of surplus power, in light of the upcoming contract expiration for feed-in tariffs (FIT) for renewable energy in residential housing.
As an aggregator, Remixpoint is looking to become an intermediary between power companies and consumers, managing energy demands from consumers while controlling the balance between supply and demand for energy.
The purchasing periods for FIT in Japan are expected to end consecutively from November 2019. The period after is known as “post-FIT,” as approximately 1.65 million contracts and 6.7 million kilowatts of energy will be phased out from 2019 to 2023 as the system is revamped. Given these circumstances, Remixpoint is pursuing development of a new energy business, operating as an aggregator to build a virtual power plant (VPP) that uses IoT, as well as an energy consortium that encompasses parties such as regular households and power consumers, solar power generation manufacturers, storage battery manufacturers, and automobile manufacturers.
Remixpoint will also receive assistance from IBM Japan for the development of the new business; IBM has a past track record in supporting the building of power trading platforms that use blockchains in both Australia and Canada.
Remixpoint will also utilize its consulting services that support energy conservation and blockchain technologies related to the operation of the cryptocurrency exchange owned by BITPoint Japan Co., Ltd., the company’s subsidiary. The company also expressed the intention to fortify the expansion of its retail electricity business and energy management support for operators through the new business.
Remixpoint recently announced in its report for the first half of the fiscal year ended March 31, 2019 (April to September 2018) that operating profit grew a multiple of 2.2 times year on year to become 710 million yen, but it fell short of the 840 million yen called for by the corporate plan. The company’s earnings forecast figures remain pending due to a recession in the cryptocurrency market and fluidity in the business environment. Under these circumstances, stocks for Remixpoint sold heavily until they reached a low price level at which they were temporarily suspended on November 15. *This article was written by Fisco