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❶ Energy Blockchain Research | Blockchain Use Cases in the Energy Industry

If implemented properly, blockchain technology has the potential to revolutionize every aspect of the energy industry.

As the energy industry becomes increasingly decentralized, blockchain technology is ideally positioned as a major disruptive force. In fact, companies around the world are already developing blockchain applications to create direct connections between energy producers and consumers.

Blockchain is a virtual public ledger that records transactions in a secure and transparent manner without the need for third parties such as banks, public institutions or electricity providers to act as intermediaries. But how exactly can blockchain be used to improve operations in this area? Let’s explore some of the most exciting applications of this promising technology in the energy sector.

Energy Sector

◆Facilitates peer-to-peer energy trading◆

Traditional energy delivery models rely on centralized power plants millions of miles away, which are located Electricity is transported on transmission and distribution lines, commonly known as the "grid". The less discussed “microgrids” are local grids that can connect and disconnect from the traditional grid when necessary. Microgrids use local energy sources such as wind and solar power to power local loads together.

Microgrids enable consumers to both produce and consume energy, giving them the opportunity to become "product consumers." As producers, they are able to sell any surplus energy they may have on a pay-per-use basis to peers connected to the same microgrid. Blockchain technology facilitates this peer-to-peer energy trading by providing microgrid members with a secure and transparent distributed ledger. This provides a highly reliable and cost-effective way to create, verify, record and coordinate peer-to-peer energy transactions in real time.

Energy Sector

◆Let electric vehicles continue to drive◆

According to data from BloombergNEF, global electric vehicle sales exceeded 2 million units in 2018, more than at the beginning of this century There is a significant increase in the number of thousands of vehicles a year. Additionally, Bloomberg expects this number to increase to 10 million by 2025 and 56 million by 2040.

With more and more electric vehicles on the road, private charging stations are likely to become valuable assets, requiring an efficient system to coordinate energy transactions between drivers. Blockchain technology can be used to create a system that can monitor electricity prices, make pricing decisions in specific markets, and enable charging station owners to conduct secure transactions.

Energy Sector

◆Simplify regulatory procedures ◆

Energy companies need to submit large amounts of data to regulators to prove their compliance with various regulations. Collecting and cleaning all this data using current technology is not only tediousodor and can create serious problems related to incorrect data access. The more data you process, the more people you need to be involved, and the greater the chance of accidental exposure of sensitive company information.

Because blockchain ledgers are both immutable and completely transparent, introducing them into energy companies’ operations will give regulators the greatest confidence that the data they receive is unedited. The introduction of blockchain will also give energy companies unparalleled control over what information is shared with whom, all but eliminating the possibility of sensitive data falling into the wrong hands. To boot, blockchain technology introduces the ability to standardize data collection and transmission formats.

Energy Sector

◆ Expanding energy access ◆

Many communities around the world are not connected to the grid. Energy in these communities often comes from local solar panel projects, many of which do not receive adequate funding.

Crowdfunding can help close this financing gap. The idea here is for individuals or other small investors to pool their resources to purchase enough photovoltaic cells to build the necessary number of solar panels for a given community without electricity. These micro-investors retain partial ownership of the solar panels and earn income, with the community paying a marginal amount each month for the electricity generated by the solar panels.

Introducing blockchain technology into this process will alleviate many of the problems that plague traditional crowdfunding. First, blockchain-based crowdfunding will enable anyone with an internet connection to donate to a campaign, which is simply not the case with traditional crowdfunding platforms. Additionally, just like peer-to-peer energy trading within microgrids, blockchain technology can reduce the overall cost of monthly transactions between solar panel owners and the community powered by the panels. Finally, because blockchain is completely secure and transparent, blockchain greatly reduces the chance of crowdfunding fraud. On the contrary, it is difficult for traditional crowdfunding platforms to eradicate this kind of fraud.

Energy Sector

◆ The bright future of blockchain◆

These use cases show that blockchain applications have the potential to revolutionize our energy consumption, transactions, Regulation and financing methods. Once key stakeholders in the energy industry get involved, blockchain may well become the key to keeping the lights on for millions of people around the world.

National Energy Information Platform contact number: 010-65367702, email: [email protected], address: People’s Daily, No. 2 Jintai West Road, Chaoyang District, Beijing

❷ Block How does the chain transmit data?

Blockchain is a chain data structure that combines data blocks in chronological order and is cryptographically guaranteed. An untamperable and unforgeable distributed ledger. Broadly speaking, blockchain technology uses a blockchain data structure to verifyA new distributed method that stores data, uses distributed node consensus algorithms to generate and update data, uses cryptography to ensure the security of data transmission and access, and uses smart contracts composed of automated script codes to program and operate data. Infrastructure and computing paradigms.