Use Cases and The Future
A wide variety of applications can be crafted on top of the blockchain. Let’s explore these applications one by one.
1. Open market for buying and selling electricity
Today, anyone can produce energy by installing solar panels. Blockchain enables these producers to sell excessive energy produced to their neighbours, friends, or family. This would result into emergence of an open market where an individual with a solar panel can participate in a community-driven market. This is an opportunity for the prosumers to either sell their excessive energy to their neighbours or feed it in the smart grid or store it for later use. These decisions can be governed by smart contracts running on top of any blockchain platform.
2. Recording ownership and a current state of electricity
Till date, the most robust accounting system created is the blockchain system. In the energy sector, electrons are assets and management of these assets can be done on the blockchain.
3. Certification of renewable energy
Presently, renewable energy has to get a certificate before actually be used. This process of getting certified can sometimes take weeks. This time can be cut short to a few minutes if blockchain technology is put into practice.
4. Provenance of electricity
Today, it is hard to say where the electricity is coming from since electrons in the wire look alike regardless of their origin. Using blockchain technology, origin of electricity can be easily tracked. To do this in quickly, blockchain provides with fast swarming algorithms.
5. Metering and billing electricity consumption
Smart meters can be installed to manage electricity consumption end-to-end. The price of electricity fluctuates throughout the day. It is expensive at peak hours and cheap at, say midnight. One can schedule their smart washing machine to run during midnight to save on utility bill. With added functionality, one can even pay for the utility bill in cryptocurrency. Apart from this, an immutable and a comprehensive archive of electricity billing data can be generated over a period of time.
6. Electric mobility
Electric vehicles (EV) will become common only if EVs can access charging stations everywhere. EVs can be equipped with crypto wallets which will enable EVs to communicate with charging station (M2M communication) autonomously using smart contracts.