[ad_1]
Blockchain may be the 'missing link' that could transform the electric power industry into the dust.
Globalization, which says that blockchain technology is a way to create a paradigm shift towards a decentralized and transactional environment.
Currently, we use face challenges including high operational costs, aging grids, security, regulatory compliance, and personalized customer service.
GlobalData says that blockchain has potential to address many of these challenges, which is why many providers are experimenting with the technology.
"Blockchain could be the leading enabler of decentralization, democratization, and liberalization in the power industry," says GlobalData disruptive tech analyst Archi Dasgupta.
"Using smart contracts, the technology can empower real-time bilateral settlements by eliminating mid-point delays to a significant reduction in the operational costs of utilities."
Already, businesses in the world are using blockchain in 'interesting ways, according to GlobalData's Disruptor Tech Database.
One business is an Australian-based crypto-startup Power Ledger, which develops decentralized energy trading platforms on blockchain. The company launched its first commercial deployment in the United States. Its distributed P2P blockchain network allows consumers and businesses to sell their surplus solar power in their neighborhood without a middleman.
GlobalData adds that "smart meters" have also been a "buzz" in the power industry because of its benefits to consumers. This is a decentralized network like blockchain.
Lithuanian startup, WePower, has been working around the same in partnership with Estonia's transmission system operator Elering. WePower uploaded 26,000 hours and 24 hours of energy production and consumption from the smart ethernet blockchain, which led to the creation of 39 billion smart energy tokens that are tradable.
GlobalData says P2P energy networks also capitalizes on blockchain's potential by creating a decentralized marketplace. That marketplace connects owners of electric vehicles and owners of charging stations for 'mutual benefits'.
German startup Motionwerk has launched a blockchain-based P2P energy sharing project Share & Charge, which enables users to share their private electric charging stations for money.
"Although blockchain technology started scaling from its incumbent phase into the power industry," says Gupta.
Gupta believes mass-scale commercial adoption is still three-to-five years away.
"There are several challenges to be addressed, the requirement for power to run the setup, and the need to develop common standards and regulations. Are used to provide an ideal set up for the implementation of transformative technologies such as blockchain. "
