In August of 2016, I posted a white paper that described in some detail how a private or community currency ought to be issued on the basis of real value, which in this case is the electric energy from renewable sources that a utility company provides to its customers. My fundamental objectives in implementing such a program are:
(1) To incentivize a more rapid shift from fossil fuel energy sources to renewable sources,
(2) To help communities to become more resilient and self-determined, and
(3) To enable the decentralization of economic and political power.
The immediate benefits of this plan are:
- It provides the issuing company with an interest-free source of short-term credit,
- It provides the community with a sound and reliable supplemental means of payment that can:
- Augment the supply of debased and often unavailable official money,
- Circulate throughout the local community connecting the unused capacity of local businesses with the unmet needs of people in the community,
- Remain within the local economy to encourage local spending and local economic development.
Once this basic concept of “monetizing” the value of real goods and services is understood, it can be applied to any goods or services that are in steady demand and are readily available for sale by a trusted issuer(s).
In July of 2021, I was invited to give a presentation on the Solar Dollar currency at a virtual conference that was sponsored by the Zero Carbon Lab at the University of Hertfordshire (UK). That presentation was recorded and can now be viewed on the Zero Carbon Lab website at http://zerocarbonlab.com/rzcc-2021/videos/ThomasGreco.html or here.
The white paper, Solar Dollars-a private currency with multiple benefits, is still available. You are welcome to quote it with proper attribution, or download and distribute it provided it remains unchanged.
This same basic currency model can be used not only to promote the shift to renewable energy but also to promote other desirable economic shifts. The fact is that the value of any product or service that is in everyday demand can be monetized in the form of a private currency. Providers of organically produced food, for example, could issue Organic Dollars or Bio Dollars by using them to pay their contractors, suppliers, and employees, in just the same way as we described for the issuance of Solar Dollars.
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