Blockchain Technology to Revolutionize the $1.35t Clean Energy Sector
Governments and organizations are starting to embrace environmentally-friendly energy policies and are actively investing in Research and Development (R&D) that will lead to the creation of clean and renewable types of energy. Statistics reveal that the U.S. Clean Energy market cap was $200B for 2017, while the corresponding global market reached $1.35T, exhibiting an exponential growth over the years that signifies a marked advancement in this sector.
Blockchain technology is a distributed ledger with many desirable properties: it is transparent, immutable, secure, with no-need of third party intermediary acting as a trusted authority. Blockchain enables consumers to directly trade the energy they produce with other consumers in a peer-to-peer network with all the data and transactions being automatically available and guaranteed by smart-contracts. Also, this technology can make the distribution and transport of energy of current systems more efficient. By utilising the algorithms of artificial intelligence and machine learning, millions in savings can be generated in the maintenance of networks, such as the use of fossil energies.
The mounds of data generated by these transactions, if leveraged correctly through analytics, can lead to great improvements in efficiency and cost. Furthermore, the application of blockchain to the energy sector can guarantee the energy origin, can certify that the energy produced is indeed renewable, can keep historical records of ownership and state of energy assets, can certify emission allowances, as well as, monitor the metering and billing of electricity consumption.
Thus, such a blockchain infrastructure can create a system that would reward users based on a proof-of-green scheme that has the potential to shape better, eco-friendly communities. These properties and capabilities described above coupled with the fact that blockchain can act as a common framework that solves interoperability issues, sets up blockchain as a valuable tool for the green energy sector. Greeneum, an Israeli start-up is working towards generating a new gateway for green energy, utilizing the decentralized architecture of blockchain technology.
Greeneum offers a system of incentives to renewable energy projects creating a voluntary carbon market. Where projects can get a Green Certified Greeneum, and polluters can have Greeneum Carbon Certificates. Unlike the faults of the traditional carbon market, the technology offered by Greeneum lowers transaction costs by having greater protocols that guarantee security and accuracy of GCGs and GCCs. The protocols promoted by Kyoto are very costly and depend on the human variable, while in the Greeneum market the human factor is eliminated.
Prediction algorithms are the most advanced in the market. They have been tested in a pilot in an Israeli micro-grid and in a distribution network in Cyprus. Both cases gave important results. Regarding solar generation, they presented an efficiency of 95%, being the best in the market. Also, through the GREEN utility token, a series of services can be obtained that will improve the yields of renewable energy projects, as well as systems that will improve the solar roofs of industries and homes.
GREEN utility token is the entry door for a marketplace that can be obtained different products of the green economy and solidarity, as organic or agroecological products. As also any type of eco gadget will be easy access for users of the community.
GREEN token is not a tool to create profits nor dividends but a network smart contract ERC20 utility token with limited supply aimed to give exclusive access to the Greeneum Platform, data validation, network predictions and as a GREEN reward for GREEN behaviour.
Data is “the oil of the 21st century” and the members of the Greeneum team have demonstrated they fully embrace this notion by building into the platform tools that allow optimized energy distribution. Artificial Intelligence and machine learning algorithms can help the network managers gain a deeper knowledge of the entire clean energy life cycle. These tools will provide insights into real-time energy trading and projected production/consumption. Consequently, producers, consumers, businesses and organizations will be in a better position to trade products and services globally and locally on the Green Market Place.
The Greeneum platform is the first solution that addresses all challenges faced by the energy sector, such as lack of efficiency, energy type interoperability, lack of incentives to go green, lack of proper network infrastructure and lack of data-driven strategy. The combination of blockchain technology with advanced analytics are the future of the clean energy sector and Greeneum is poised to deliver both.