Sberbank, KuibyshevAzot and Solar Systems closed the first for the green energy deal using bank's blockchain platform

The first green energy deal in Russia has been closed made on Sberbanks's cloud-based blockchain platform for Renewable Energy Certificates (REC). The key partners of the bank - Solar Systems Group of Companies and KuibyshevAzot PJSC – became participants in the transaction. The planned value of the deal is 4,998 certificates of 1 MWh each.

A new market for green technologies is starting to develop in Russia, and the solution developed by the Sberbank Blockchain Laboratory will become a convenient platform for all its participants. Green certificates confirm the origin of energy from renewable sources. Power generation companies will be able to sell such energy with or separately from physical supplies. Sales companies will be able to buy and redeem such certificates to meet the requirements of key international sustainability standards. Such a tool will increase the transparency of renewable energy consumption.

 Alexander Vedyakhin, First Deputy Chairman of the Management Board, Sberbank:

“It is difficult to overestimate the significance of the agreement signed today. It is essential that now we can see what kind of energy is used to manufacture products. And products that are manufactured using green energy will have their own certificates. This is the first blockchain platform of this kind in Russia, but it has incorporated the best practices that exist in Europe and in the world. Today's deal is a big step into the future, and I thank our esteemed clients and partners for taking this step together.”

 Aleksandr Gerasimenko, General Director, KuibyshevAzot PJSC:

“KuibyshevAzot consistently adheres to the principles of sustainable development and reduction of environmental impact. We pay special attention to reducing emissions, including greenhouse gases, both direct and indirect, generated by our suppliers when producing electricity. The use of green energy from renewable sources is in line with the global UN principles to fight against climate change and to protect the environment.”

 Mikhail Lisyansky, Chairman of the Board of Directors, Solar Systems Group of Companies:

“We are heavily engaged in not only the production of green electricity, but also its promotion and popularization, and Sberbank systematically supports our efforts. Today's signing is a landmark event that proves that there is a pool of companies in Russia committed to the sustainable development principles, with a focus on reducing greenhouse gas emissions, as well as the demand for green energy certificates. It is symbolic that the first exchange of certificates is taking place within one region of the Russian Federation - the Samara region. We will continue to move in this direction, using all our capabilities, as well as the resources and technological platforms of our strategic partner – Sberbank.”

Alexander Anaschenko, Chairman, of the Povolzhsky Bank of Sberbank:

“Our companies have made the preservation of natural wealth a priority. It is highly important. ESG transformation is a conscious choice for a mature and successful business. And I am very delighted that our cooperation is developing into such projects. I would also like to thank KuibyshevAzot for the fact that by virtue of our joint efforts, the Samara Region sets such a high level of work with green projects.”

In Russia, the expected consumption of green certificates is approximately 120 million units, the potential production volume of 1 MWh certificates is 400 million. Annual production of green electricity in Russia in million MWh as of January 1, 2020: NPP - 208.8; HPP - 190.3; SPP - 1.3; WPP - 0.32. According to the world practice, prices for certificates are not regulated, but, judging by the experience of Europe, they can range from 0.5 to 2 euros per 1 MWh.