How Blockchain Technology is Transforming the Distributed Energy World
Blockchain promises great things for power and utility (P&U) companies. When factories and businesses start selling their excess capacity to fellow consumers, the data that will fly around the ether is immense, as is the scope for fraud. Blockchain can fix all that with open, transparent and timely exchange of energy for value, which will, in turn, restore trust between consumers and suppliers, increase competition and drive down transaction costs.
Blockchain’s arrival coincides with massive industry upheaval
To understand what role blockchain plays in our future, we have to look at the big picture. The P&U industry is hurtling toward three critical tipping points which will herald a new and very different era for energy:
- Off-grid energy will reach cost and performance parity with grid-delivered energy — from 2021.
- Electric vehicles will reach cost and performance parity with combustion engine vehicles — from 2025.
- The cost of distributing energy will exceed the cost of generating and storing it locally — from 2039.
As these tipping points approach, challenges will increase and revenues will be stretched. Empowered prosumers will require flexible monitoring and control systems that are relevant to their individual levels of engagement. Transaction complexities and risks will rise as the number of participants in the distributed energy systems increases. Security of supply will depend, increasingly, on seamless interaction between central and distributed energy sources, necessitating open standards and interoperability between networks. The need to optimize cost efficiencies and maximize output will put pressure on balancing supply in real time.
Building blocks in energy markets
Though it is still early days for blockchain, there is a growing realization that the underlying technology could be used in other transactional industries too, to transformative and disruptive effect. The power and utility industry is one of them. It is, essentially, an ecosystem of multiple parties, all transacting with one another.
The possibilities are numerous. Blockchain could deliver a payment mechanism for charging EV batteries; it could enable EVs and other devices to provide stored energy back to the grid to balance demand; or allow energy users to switch suppliers in real time to take advantage of fluctuating rates. On a network level, it could help to diagnose and remedy disruption in supply and, on a trading level, make energy commodity transactions unchallengeable and transparent.
Karvuon is striving to become a global energy leader by building wind farms, solar farms, power plants, and a blockchain data center. By producing energy on a large scale, we envision supporting an industrial park to house processing and data centers as well as crypto mining farms to establish a highly profitable company for our shareholders/token holders.
TWITTER: #Karvuon is striving to become a #global #energy leader by building wind and solar farms, power plants, and a #blockchain data center. By producing energy on a large scale, we envision supporting an industrial park to house processing and data centers and #crypto #mining farms.
