Leveraging Cardano for Clean Energy Transition

[GENERAL] Name and surname of main applicant

Amar Baatartsogt

[GENERAL] Are you delivering this project as an individual or as an entity (whether formally incorporated or not)

Entity (Incorporated)

[GENERAL] Co-proposers and additional applicants

Unurbat Erdenemunkh, email: uerdenemunkh@ureca.com

Chandmani-Erdene Tsend-Ayush, email: chandmani-erdene@ureca.com

[GENERAL] Please specify how many months you expect your project to last (from 2-12 months)

8

[GENERAL] Please indicate if your proposal has been auto-translated into English from another language

No

[GENERAL] Summarize your solution to the problem (200-character limit including spaces)

We will deploy Cardano-based DMRV systems and apps to transition ger districts from coal to solar, mint carbon credits, and fund clean energy adoption through blockchain technology.

[GENERAL] Does your project have any dependencies on other organizations, technical or otherwise?

No

[GENERAL] If YES, please describe what the dependency is and why you believe it is essential for your project’s delivery. If NO, please write “No dependencies.”

No dependencies.

[GENERAL] Will your project’s output/s be fully open source?

No

[GENERAL] Please provide here more information on the open source status of your project outputs

Open Source Status 

Our project outputs will not be open source. The primary focus of our initiative is not the code itself, but rather the tangible outcomes that benefit people and reduce air pollution. The core value of our project lies in the implementation and impact of the solar energy systems and the associated reduction in carbon emissions, rather than the software or algorithms used. 

Rationale for Non-Open Source Status 

• Outcome-Oriented: The main objective is to deliver real-world benefits, such as improved air quality and reduced carbon emissions, which are achieved through the deployment of our technology rather than the open availability of the code. 
• Proprietary Technology: Certain elements of our system, such as the machine learning algorithms used for carbon credit calculation, are proprietary and integral to our competitive advantage and operational integrity. 

While the project itself is not open source, we are committed to transparency and will share our findings, impact data, and insights with the Cardano community and other stakeholders through reports and collaborative efforts. This approach ensures that the benefits of our project are widely communicated and can inspire similar initiatives, even if the underlying code is not publicly available.

[METADATA] Horizons

Environment

[SOLUTION] Please describe your proposed solution

Problem Perception

The primary issue we are addressing is the environmental and health impact of coal-burning stoves used in traditional gers. These stoves contribute significantly to carbon emissions and air pollution, affecting both the climate and the health of the inhabitants. Our solution aims to replace these stoves with a sustainable energy system that utilizes solar power, thereby reducing carbon emissions and improving air quality.

Approach

Our approach involves developing a comprehensive ecosystem based on the Cardano blockchain to facilitate a carbon credit financing mechanism. This will enable low-income households to transition to solar energy systems without the upfront costs typically associated with such technology.

Develop Cardano-Based DMRV System:

We will develop a Digital Measurement, Reporting, and Verification (DMRV) system on the Cardano blockchain. This system will utilize IoT smart sensors and machine learning to accurately measure and verify emissions reductions at the household level.

Develop User Application for Monitoring:

An application will be developed for users to monitor their energy usage and carbon credit generation. This app will provide real-time data and insights, empowering users to manage their energy consumption effectively.

Modify Existing Carbon Exchange and Marketplace:

We will modify the existing carbon credit exchange and marketplace to operate on the Cardano blockchain. This transition will ensure that every carbon credit generated is minted on Cardano, and all transactions are recorded on the Cardano blockchain, enhancing transparency and security.

Start a Pilot Project: (3 household)

We will initiate a pilot project with 3 households, who will adopt the solar energy systems and utilize the Cardano-based DMRV system. This pilot will validate the infrastructure, demonstrate the system's effectiveness, and provide crucial feedback for refining and scaling the solution. The insights and data from this pilot project will be used to further optimize the technology before scaling it to a larger community.

Engagement

The project will engage local communities living in gers, environmental organizations, and carbon credit markets. By providing a sustainable energy solution, we aim to improve the quality of life for the inhabitants while contributing to global carbon reduction efforts.

Impact Demonstration

We will demonstrate our impact through measurable reductions in carbon emissions and improvements in air quality. The smart meters will provide data on energy usage and carbon credit generation, which will be stored on the Cardano blockchain. This data will serve as proof of our project's effectiveness and transparency.

Uniqueness and Benefits

Our solution is unique in its integration of renewable energy technology with blockchain for carbon credit verification. The beneficiaries include the ger inhabitants, who will experience improved living conditions, and the broader environment, which will benefit from reduced emissions. This project is important to Cardano as it showcases the blockchain's capability to support sustainable and impactful real-world applications.

Transition to Cardano

Currently, our system operates on the Algorand blockchain. However, we are transitioning to Cardano due to its robust ecosystem and commitment to sustainability. By leveraging Cardano's blockchain technology, we aim to enhance the transparency and efficiency of our carbon credit verification process, thereby aligning with Cardano's mission to drive real-world utility and adoption.

By switching to Cardano, we aim to contribute to its ecosystem while achieving our sustainability goals.

[IMPACT] Please define the positive impact your project will have on the wider Cardano community

Value to the Cardano Community 

Our project will enhance the Cardano community by showcasing a real-world application of blockchain technology for environmental sustainability. By transitioning our carbon credit verification system to Cardano, we will demonstrate the platform's capability to support impactful solutions for climate change, thereby strengthening Cardano's reputation in sustainable innovation. 

Measuring Impact 

We will measure impact through: 

• Quantitative Metrics: 
• Carbon Emissions Reduction: Calculated by our machine learning system, which correlates emissions reduction with carbon credits generated. 
• Energy Usage Data: Analyzed from smart meters to assess system efficiency. 

• Qualitative Metrics: 
• Community Feedback: Surveys and interviews to capture social and health impacts. 

Sharing Outputs and Opportunities 

We will share our findings and opportunities with the Cardano community through: 

• Reports and Publications: Detailed reports on emissions reduction and community impact. 
• Workshops and Webinars: Sharing experiences and insights with the Cardano ecosystem. 
• Collaborations: Seeking partnerships within Cardano to expand our solution's impact. 

By measuring and sharing our impact, we aim to contribute to Cardano's growth, fostering innovation and sustainability.

[CAPABILITY & FEASIBILITY] What is your capability to deliver your project with high levels of trust and accountability? How do you intend to validate if your approach is feasible?

Capability to Deliver with Trust and Accountability 

URECA has a strong foundation for delivering our project with high levels of trust and accountability. Our approach is community-based and inclusive, working directly with households to implement our renewable energy system. This iterative process allows us to continuously receive feedback and collaborate with the community on problem-solving, ensuring that the project remains human-centric and delivers tangible benefits. 

We have a proven track record of using advanced technologies such as IoT smart sensors, machine learning, and blockchain to verify emissions reductions at the household level. This empowers low-income families to generate carbon credits, which finance their transition from coal stoves to solar energy. 

Feasibility Validation 

To validate the feasibility of our approach, we have already successfully transitioned from 5 to 81 families, demonstrating scalability and effectiveness. Our project aligns with several United Nations Sustainable Development Goals, which underscores its potential for significant immediate and long-term benefits. 

Existing Capabilities 

Our team is well-equipped with expertise in renewable energy systems, community engagement, and project management. We actively cultivate positive relationships with government entities to support smooth project implementation and are committed to continually assessing and enhancing our technology. 

Additionally, previous phases of our project have involved collaboration with esteemed organizations such as the Asian Development Bank (ADB), United Nations Development Programme (UNDP), and the Ministry of Environment of Mongolia. These partnerships have provided us with valuable insights and support, further enhancing our capability to deliver this project successfully. 

Trust in Fund Management 

We have established processes to ensure proper fund management, including transparent reporting and accountability measures. Our community-based methodology fosters trust and engagement, which is crucial for the successful deployment and scaling of our project. By leveraging our existing capabilities, proven methodologies, and strong partnerships, we are confident in our ability to deliver this project effectively and responsibly.

[PROJECT MILESTONES] What are the key milestones you need to achieve in order to complete your project successfully?

Milestone 1: Development of Cardano-Based DMRV System

• Milestone Outputs: Completion of the Cardano-based Digital Measurement, Reporting, and Verification (DMRV) system.
• Acceptance Criteria: The system is fully functional, capable of measuring and verifying emissions reductions, and integrated with IoT sensors.
• Evidence of Milestone Completion: Demonstration of the DMRV system in a test environment with documented results and system performance reports.

Milestone 2: User Application Development

• Milestone Outputs: Development of a user-friendly application for monitoring energy usage and carbon credit generation.
• Acceptance Criteria: The application is operational on both web and mobile platforms, providing real-time data and insights to users.
• Evidence of Milestone Completion: User testing feedback, app store listings, and screenshots demonstrating app functionality.

Milestone 3: Modification of Carbon Credit Exchange

• Milestone Outputs: Transition of the existing carbon credit exchange to the Cardano blockchain.
• Acceptance Criteria: The exchange is fully operational on Cardano, supporting carbon credit minting and transactions.
• Evidence of Milestone Completion: Transaction records on the Cardano blockchain and user transaction reports.

Milestone 4: Pilot Project Implementation

• Milestone Outputs: Deployment of the solar energy system and DMRV infrastructure in five households.
• Acceptance Criteria: Successful installation and operation of the system, with data collection and carbon credit generation.
• Evidence of Milestone Completion: Installation reports, energy usage data, and carbon credit issuance records.

Milestone 5: Community and Stakeholder Engagement

• Milestone Outputs: Conduct training and capacity-building programs for local communities and stakeholders.
• Acceptance Criteria: Completion of training sessions with documented participation and feedback.
• Evidence of Milestone Completion: Training materials, attendance records, and participant feedback surveys.

Final Milestone: Project Close-Out Report and Video

• Milestone Outputs: Comprehensive project report and a video summarizing the project's achievements and impact.
• Acceptance Criteria: The report and video are completed, reviewed, and approved by stakeholders.
• Evidence of Milestone Completion: Submission of the final report and video, along with stakeholder approval documentation.

[RESOURCES] Who is in the project team and what are their roles?

Enerelbuyan Naran - Renewable Engineer / Project Manager 

Role: Manages day-to-day operations and serves as the main contact point for the project. 

LinkedIn Profile: https://www.linkedin.com/in/enerelbuyan-naran-079b58248/ 

Responsibilities: 

• Oversee daily project activities and ensure smooth execution. 
• Coordinate between different teams and stakeholders. 
• Manage project timelines and deliverables. 

Amar Baatartsogt - Chief Operating Officer (COO) 

Role: Manages the operational aspects of the project, ensuring smooth execution and coordination among teams. 

LinkedIn Profile: https://www.linkedin.com/in/amarbtr/ 

Responsibilities: 

• Oversee project timelines and deliverables. 
• Manage relationships with stakeholders and partners. 
• Ensure compliance with project goals and objectives. 
• Oversee budgeting and financial reporting. 
• Ensure efficient allocation of resources. 

Unurbat Erdenemunkh - Chief Technology Officer (CTO) 

Role: Oversees all technical aspects of the project, including the integration of Cardano blockchain technology. 

LinkedIn Profile: https://www.linkedin.com/in/unurbat-e-53b76974/ 

Responsibilities: 

• Lead the development and implementation of the technical infrastructure. 
• Ensure the scalability and security of the system.

Bat-Edene E. - Environmental Specialist 

Role: Supports environmental assessments and sustainability initiatives. 

LinkedIn Profile: https://www.linkedin.com/in/bat-erdene-erdenebayar-ab958b234/ 

Responsibilities: 

• Assist in data collection and analysis. 
• Support the implementation of environmental strategies. 

Purevdondov E. - Senior Software Engineer 

Role: Leads software development efforts, focusing on application development. 

LinkedIn Profile: https://www.linkedin.com/in/purevdondov/ 

Responsibilities: Develop and maintain the user application. Ensure software quality and performance. 

Chandmani-Erdene Ts. - Senior Backend Engineer 

Role: Manages backend development and integration with blockchain. 

LinkedIn Profile: https://www.linkedin.com/in/erdenemgl/ 

Responsibilities: 

• Develop backend systems and APIs. 
• Integrate Cardona blockchain. 

Taichir P. - Senior Frontend Engineer 

Role: Oversees frontend development for user interfaces. 

LinkedIn Profile: https://www.linkedin.com/in/taichir-punsaldulam-05a013160/ 

Responsibilities: 

• Implement user interfaces. 
• Ensure responsive and user-friendly design. 

Adiyadorj B. - Frontend Engineer 

Role: Supports frontend development efforts. 

LinkedIn Profile: n/a

Responsibilities: 

• Assist in UI/UX design and implementation. 
• Optimize frontend performance. 

Munkhtsetseg B. - Business Development Officer 

Role: Focuses on expanding project reach and partnerships. 

LinkedIn Profile: https://www.linkedin.com/in/munkhtsetseg-battulga-456025257/ 

Responsibilities: 

• Identify and pursue new business opportunities. 
• Develop strategic partnerships. 

Margad-Erdene G. - Graphic Designer 

Role: Creates visual content for project communication. 

LinkedIn Profile: https://www.linkedin.com/in/mmarkadaa/ 

Responsibilities: 

• Design marketing materials and visuals. 
• Ensure brand consistency. 

Ariunaa G. - UX/UI Designer 

Role: Enhances user experience and interface design. 

LinkedIn Profile: n/a

Responsibilities: 

• Conduct user research and testing. 
• Design intuitive user interfaces. 

Khaliut B. - Administration Officer 

Role: Manages administrative tasks and supports project operations. 

LinkedIn Profile: https://www.linkedin.com/in/khaliut-baasansuren/ 

Responsibilities: 

• Handle project documentation and logistics. 
• Support team coordination and communication.

[BUDGET & COSTS] Please provide a cost breakdown of the proposed work and resources

Development of Cardano-Based DMRV System - ₳20,000, that includes:

• Technology Costs: Includes IoT smart sensors, machine learning algorithms, and blockchain integration
• Professional Services: Code auditing and technical consulting to ensure system security and efficiency

User Application Development - ₳25,000, that includes:

• Application Design and Development: Creating user-friendly interfaces for monitoring energy usage and carbon credit generation.
• Testing and Deployment: User testing and deployment on web and mobile platforms. 

Modification of Carbon Credit Exchange - ₳15,000 that includes:

• Blockchain Transition: Transitioning the existing exchange to Cardano, including system redesign and testing.
• Security Enhancements: Implementing additional security measures for the exchange.

Pilot Project Implementation - ₳60,000, that includes:

• Equipment and Installation: Solar panels, batteries, and smart meters for 3 households. 
• Monitoring and Evaluation: Setting up systems to track energy usage and carbon credit generation.

Community and Stakeholder Engagement - ₳15,000, that includes:

• Training Programs: Conducting training sessions for local communities and stakeholders
• Publicity and Marketing: Raising awareness about the project and its benefits

Project Management and Reporting - ₳15,000, that includes:

• Project Management: Overseeing project execution and ensuring milestones are met
• Documentation and Reporting: Preparing reports and updates for stakeholders and the community.

Total Estimated Cost: ₳150,000

[VALUE FOR MONEY] How does the cost of the project represent value for money for the Cardano ecosystem?

The URECA project offers significant value for money by leveraging Cardano's blockchain to address critical environmental and health issues in Ulaanbaatar's ger districts. The costs are strategically allocated to ensure maximum impact and scalability, with each component designed to enhance the Cardano ecosystem's utility and adoption.

• Strategic Investment in Technology: The development of a Cardano-based DMRV system and user applications is a forward-looking investment that not only addresses local pollution but also showcases Cardano's capabilities in real-world applications. This positions Cardano as a leader in sustainable blockchain solutions.
• Cost-Effective Transition: By transitioning the existing carbon credit exchange to Cardano, we enhance security and efficiency, providing a robust platform for carbon credit transactions. This transition is cost-effective compared to building a new system from scratch, ensuring that funds are used efficiently.
• Pilot Project for Scalable Impact: The pilot project, though initially small, is designed to validate the infrastructure and demonstrate the system's effectiveness. This approach minimizes risk and ensures that larger-scale implementations are based on proven success, maximizing the return on investment.
• Community Engagement and Capacity Building: Investing in community training and engagement ensures that the project is sustainable and scalable. By empowering local communities, we create a self-sustaining model that reduces long-term costs and enhances the project's impact.
• Alignment with Local Economic Context: The project costs are aligned with local economic conditions, ensuring that expenditures are proportional to typical industry rates and the average wage in the region. This alignment ensures that the project is both economically viable and socially responsible.

Overall, the URECA project represents a strategic investment in Cardano's ecosystem, driving real-world utility and adoption while addressing pressing environmental challenges.