A software firm is bidding to develop local energy markets utilizing distributed ledger technology that it claims is a series of magnitude faster than blockchain. Power Transition has already struck its Crowdcube target. Its platform, based on Hedera Hashgraph, a proof of stake public network, strives to allow peer-to-peer energy trading and local markets.
It intends to build markets that connect households and businesses with distributed generation, like solar and batteries, the firm claims it can tokenize every kilowatt-hour of energy produced. That allows real-time tracking, optimization, and trading.The platform is already used as part of a proof of concept peer-to-peer residential microgrid in Corby. The project, match backed by Innovate UK, is exhibiting autonomous peer-to-peer renewable energy trading across 47 zero-carbon homes.
CEO Anthony Morgan stated in a statement that its technology works at any scale, from micro-grids to national grids. This means homes are able to buy and sell energy autonomously to get the best price, businesses are able to unlock revenue from on-site renewable power, and network operators are able to optimize capacity on the grid, making energy more reliable, affordable and sustainable for everyone.
The company is now promoting its abilities to commercial estates, local authorities, DNOs, energy aggregators, and distributed generators. Sluggish transaction times have driven some to ask whether flexibility markets based on the blockchain can operate effectively in real-time. Nevertheless, Morgan thinks his platform can sidestep that limit.
While related to blockchain, the software can manage more than 10,000 transactions per second, claims Power Transition. For instance, Bitcoin can only secure about 4.6 transactions per second, while Visa can manage around 1,700. Power Transition states it also utilizes very little energy, 0.001kWh per transaction.
The technology is set to underpin a local energy market in London. The Bank Energi market, centered on Londons South Bank area, will include both commercial and public sector buildings and assets, including the NHS. Part government-funded (Innovate UK) is connected to other flexibility initiatives, like Flex London, which intends to unlock up to a gigawatt of flexibility within the capital.
Announcing an MoU with Power Transition, Bank Energi CEO, Rajvant NIjjhar, said in a statement: The transition to net-zero enables us to think di ...