12
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06
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2024

Bringing a Second Wind to Renewable Energy with Bitcoin Mining

MARA is monetizing energy that would otherwise be curtailed or priced negatively, enabling broader renewable development while building local power demand. 

Note: This blog post was originally shared as a thread on X. You can find the original thread MARA's official account using this link.

This week, we announced the acquisition of a wind farm in Hansford County, Texas. Like many renewables around the globe, this site faced growing curtailment rates (the intentional reduction of electricity output), a challenge that MARA is stepping in to solve.

In many regions, renewable energy buildout has outpaced grid upgrades, causing congestion and forcing wind and solar farms to idle. This issue is increasingly prevalent, with several countries experiencing curtailment rates above 10% of potential renewable energy generation.

Recently, The Telegraph reported that UK bill payers spent £1B in 2024 curtailing wind farms to avoid overloading the grid.  From Jan-Nov, 6.6 TWh of wind power was curtailed—up from 3.8 TWh in all of 2023.

Negative power prices—when energy producers effectively pay customers to take the excess energy they generate—have also become increasingly common in regions with high wind and solar penetration. For instance, the EU, where wind and solar have surpassed fossil fuels as the primary source of power production, experienced nearly 6,500 negative price occurrences, a twelvefold increase YoY.

With global wind and solar expected to account for 95% of all renewable capacity additions through 2030, scalable solutions are required to rectify growing rates of negative power prices and curtailment.

Enter Bitcoin mining: A flexible, scalable way to tackle the challenges facing renewables. Unlike other data centers, Bitcoin mining centers don’t need fiber or grid connectivity. This means mining operations can operate behind the meter with simply a satellite connection. A recent peer-reviewed study posted in Heliyon found that a solar farm utilizing Bitcoin mining achieves ROI twice as fast as one without.

- Without Bitcoin mining: 8.1 years to ROI

- With Bitcoin mining: 3.5 years to ROI

By operating behind the meter, MARA monetizes energy that would otherwise be curtailed or priced negatively, enabling broader renewable development while building local power demand. Furthermore, by owning this wind farm, MARA can fully integrate with the site, allowing for greater operational flexibility and the ability to mine bitcoin with zero-marginal energy costs.

We are excited to give renewable generation a second wind! 💨⚡️

Learn more: https://www.mara.com/posts/mara-acquires-wind-farm 

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