Blockchain and Energy Industry
When blockchain technology first hit the market through BitCoin, it came bundled with many apprehensions and myths. The blockchain is a path-breaking technology that’s intended to derail the hidden agendas, secret transactions, and monopoly with the help of a public ledger. While the transaction details and party names would be available, the complete information would, however, be encrypted in blocks. Many blocks together form a blockchain.
Despite so many rumors in the air, blockchain placed its feet firmly on the business landscape with enterprises such as IBM offering blockchain services to the prospective ones worldwide. Today, almost all major sectors are leveraging this canny technology. The main merit of blockchain is that the information once stored on a block cannot be altered, leaving zero-scope for anyone to manipulate the critical data.
In Energy Landscape
Of late, blockchain has proven beneficial for the energy sector more than any other industry. The technology has provided efficient processes and effective pricing alternatives. So far energy industry, which constitutes gas, electricity, etc., has had centralized agencies that would decide the price per unit. This has increased costs to the consumer, who pays a higher end price. Some enterprises took the initiative of introducing the blockchain of energy and the results leave you awestruck.
According to the report by Blockchain in Energy, 2018, at least 59% of enterprises in the energy industry have plans to introduce blockchain in energy. They were said to be planning for implementing a peer-to-peer grid network. This is predominant to help individuals save the extra amount that they spend annually. In fact, the report even mentioned that at least $42 trillion would be spent every year by the global population towards the energy. When the blockchain enters the energy space, the price of electricity, gas, etc., would be decided based on the market price as Blockchain would decentralize the industry.
Also, instead of accepting only one electricity service provider, consumers will have options to switch between multiple operators depending on their convenience and intuitions. The economic potential would soar when electricity enters the peer-to-peer market. Upon observing the same, UK based company, Electron is planning for implementing the similar module. The newspaper reports said that even Australian based Power Ledger is also in the race to embrace blockchain to help their customers save the unwanted expenditure on the energy.
We have a shining example to establish the fact that expenditures are dipped. A report published on Consensys revealed that an energy-based company Grid+ implemented blockchain, and consumers saved at least 40% amount on their electricity bills. BTL group is yet another enterprise that implemented blockchain and witnessed higher gas consumption at lower costs.
Conclusion: Blockchain is not only embraced by two companies but almost every other enterprise in the energy sector to decentralize the monopoly of certain centralized agencies. Conjoule is set to build a platform where energy can be purchased from peers from market price and then sold for a competitive price. In fact, the company even bagged $5.3Mn funding from Tokyo Electric Power for support peer trading. If you also want to leverage blockchain technology for your enterprise to yield higher benefits and established a better transparency, Techwave is here to help you out. We partnered with IBM in offering best-in-class blockchain solutions. For further information, email us at email@example.com.