Introduction to Power Ledger

Power Ledger is a blockchain-based platform that seeks to revolutionize energy creation and distribution by enabling local communities to distribute and sell excess electricity without interference from traditional power players. The platform aims to address various issues in the energy market, such as the need for decentralization, outdated distribution and management mechanisms, rising energy prices, and promoting co-creation of energy and self-supply.

How Power Ledger’s Platform Works

The Power Ledger platform operates on two blockchains:

• The Ethereum blockchain: A public layer that supports the use of Power Ledger (POWR) tokens, which can be bought, sold, and traded globally.
• The EcoChain: A private consortium blockchain that runs the platform’s second token, Sparkz. This chain can be customized to work with local regulations and existing levels of supply in a specific area.

Unique Features of Power Ledger

Power Ledger’s ecosystem is fueled by two tokens, POWR and Sparkz, which interact through Ethereum-based smart contracts. The platform establishes communication with the power grid via devices called smart meters, which track electricity consumption and relay information to energy producers for billing purposes.

POWR tokens are utility tokens that serve several roles:

• Facilitating access to the platform for application hosts and users
• Providing loyalty rewards to participants in the network through the Green Energy Loyalty Rewards program
• Fostering relationships between renewable energy charities and providing access to Asset Germination Events, which deal with crowd-funded renewable energy assets
• Serving as bond backing on the Power Ledger platform through Smart Bond technology

Sparkz tokens, on the other hand, are electricity credits pegged to local fiat currencies and are used to pay for services provided by application hosts. Sparkz tokens are created when needed, used, and destroyed after redemption, ensuring a stable exchange rate and a seamless energy trading experience.

Real-world Use Cases of Power Ledger in the Context of Blockchain-based Energy Trading

• xGrid: Enables energy producers with excess power to sell it to customers on a regulated electricity grid. The platform’s blockchain mechanism manages transaction settlements instantly, transparently, and at a low cost. xGrid appeals to households, businesses, renewable energy producers, and electricity sellers, ultimately aiming to reduce power bills and increase the value of renewable energy investments.

• uGrid: Focuses on more affordable electricity metering in real-time, big data collection, microgrid management, and micro-transaction processing. uGrid targets customer communities connected via networked grids, such as shopping malls, parks, and apartment complexes, to help them track and manage their collective energy use more effectively.

• Power Port: Designed for electric vehicles and their charging stations, offering secure metering, transparent settlement mechanisms, low-cost payment, user IDs, and integration with existing systems such as Open Charge Point Protocol (OCPP). Power Port aims to streamline the electric vehicle charging process and enhance the overall user experience.

Introduction to Energy Web Token

Energy Web Token (EWT) is the native cryptocurrency of the Energy Web Chain, an open-source platform designed to support the development of energy sector applications. It aims to create a more traceable, democratized, and decarbonized energy system by connecting grid operators, customers, and physical assets like solar panels, thermostats, and electric vehicles. The Energy Web Foundation (EWF) was founded in 2017 by Rocky Mountain Institute, Grid Singularity, and ten other affiliates. EWT plays a crucial role in maintaining and operating the Energy Web network and has numerous real-world applications.

How Energy Web Token’s Platform Works

The Energy Web Chain is built using features common to many cryptocurrencies, such as shared infrastructure, an incentive scheme, and a traceable log of information. It derives its blockchain code from Ethereum, focusing on functionalities that impact the energy sector rather than recreating an entire infrastructure. The platform integrates middleware technology like oracles, bridges, and a digital identity system to connect real-world data to Energy Web applications.

The Energy Web Chain employs a Proof of Authority (PoA) consensus mechanism to keep its distributed network in sync. In PoA, only a certain number of nodes (validator nodes) meeting specific eligibility criteria can validate transactions and create blocks. Validators are compensated with EWT for their efforts in maintaining the network.

Unique Features of Energy Web Token

• Energy Web Decentralized Operating System (EW-DOS): An open-source stack of software and standards designed to serve as global digital infrastructure for the energy sector.
• Middleware technologies: The platform integrates oracles, bridges, and a digital identity system to provide a seamless and connected experience for Energy Web applications.
• Proof of Authority (PoA) consensus mechanism: A variation of Proof of Work (PoW) that only allows certain nodes (validator nodes) to validate transactions and create blocks. Validator nodes must meet specific eligibility criteria and are compensated with EWT.

Real-world Use Cases of Energy Web Token in the Context of Blockchain-based Energy Trading

1. Transaction payments: EWT can be used for transaction payments, primarily for gas consumption on the EW Chain and services like Bridges and Oracles, on a pay-as-you-go basis.
2. Bundled utility layer service payments: Enterprises can pre-pay for Decentralized Identifiers (DIDs) to access utility services over a pre-determined period of time, streamlining procurement of decentralized applications and delivering a seamless user experience.
3. Incentivizing validators: Energy Web rewards validators with EWT based on programmatic rewards and fees attached to each transaction included in a block. This helps maintain the network and ensures validators act honestly.

Energy Web Token has grown to over 100 partnerships, including industry giants like Tepco, Siemens, Shell, and Exelon. Its wide range of applications and real-world use cases demonstrate its potential to revolutionize the energy sector through blockchain-based energy trading.

Introduction to Efforce

Efforce is the first blockchain-based platform designed to connect the demand and supply of energy efficiency investments, making it accessible to a wide range of contributors. The platform enables businesses seeking to improve their energy efficiency to attract investments for these improvements by registering their requests on the platform. The Efforce team validates the request and collaborates with the company to develop an energy efficiency improvement project. They evaluate the necessary investment, the annual internal rate of return (IRR), and conclude an Energy Performance Contract (EPC). This innovative approach allows contributors to invest in these projects and be repaid with tokens representing the energy savings achieved, ultimately simplifying and democratizing the energy efficiency market.

How Efforce’s Platform Works

Efforce’s platform enables companies to find necessary crowdfunding for their energy redevelopment projects by sharing the generated savings with contributors. Economic entities can negotiate their energy savings directly with consumers or contributors through the tokenization of saved energy, guaranteeing liquidity and extending access to capital investment. The platform operates using a model similar to Energy Service Companies (E.S.Co), which employ Energy Performance Contracts (EPC) to generate positive economic returns from energy efficiency projects.

EPCs facilitate the channeling of financial investments into projects for the redevelopment and performance improvement of third-party energy systems, such as industrial plants or buildings. The value of the energy savings derived from these interventions is shared between the E.S.Co, which made the investment and implemented the redevelopment process, and the beneficiary. The E.S.Co uses its share of the energy savings to make a return on investment, while the beneficiary experiences a decrease in their energy expenses. The secure and decentralized blockchain-based system guarantees the integrity and uniqueness of the energy-saving data, with the data being validated and certified by the blockchain itself.

Unique Features of Efforce

Efforce offers a unique approach to the energy efficiency market by tokenizing energy savings, creating a liquid, transparent, and accessible market guaranteed by the blockchain. This tokenization represents a contractual mechanism between companies seeking to improve the efficiency of their processes and the community. The European regulator has classified this innovative tokenization model as reward-based crowdfunding, where contributors are rewarded with free energy savings that they can keep, sell, or use to offset their energy consumption.

By addressing challenges that have traditionally hindered access to the energy efficiency market, such as high initial costs, the need for technical knowledge, lack of trust and meeting place between investors and project owners, difficulty in evaluating potential savings, limited technical knowledge of financial institutions, and uncertainty regarding the payback period of the investment, Efforce leverages blockchain technology to make the energy efficiency market simple, accessible, and transparent. In doing so, it supports the World Bank’s goal of doubling the overall rate of energy efficiency improvement by 2030.

Real-world Use Cases of Efforce in the Context of Blockchain-based Energy Trading

Efforce has been successfully applied in various industries, enabling businesses to finance energy efficiency improvements in their buildings or industrial processes without using equity. Contributors can invest in Energy Performance Smart Contracts and accumulate savings obtained from efficiency improvement projects. These savings can be used to reduce consumption, sell to other consumers, or offset energy costs, creating a sustainable and efficient energy market.

One notable example is AitherCO2, which funded the installation of blended winglets on twenty aircraft in the fleet of an Italian charter operator using an EPC. The winglets improved aircraft performance by reducing induced drag and fuel consumption, resulting in an 8% reduction in Jet A1 Fuel consumption compared to aircraft without winglets. This energy efficiency project generated significant savings, amounting to USD 220 million in the first two years of the EPC contract, while also saving the environment 2.3 million tons of CO2.

Efforce token holders can access energy savings projects listed on the platform, contributing to the spread of energy efficiency on a global scale. Energy savings generated become a tangible asset in the hands of token holders, who may decide to sell them or use them to reduce their electricity bills. Furthermore, 1% of the energy savings obtained and certified by the Energy Performance Smart Contract are donated and distributed among all Efforce contributors, increasing the value of their tokens.

Efforce’s platform demonstrates the potential of blockchain technology in revolutionizing the energy efficiency market by connecting businesses, investors, and consumers in a transparent and accessible manner. Its unique features and real-world use cases exemplify the benefits of blockchain-based energy trading and its potential in driving sustainable development and improving global energy efficiency.

Introduction to SunContract

SunContract is an innovative project that brings together the immense potential of three crucial domains: electricity, blockchain technology, and people. Its aim is to develop a groundbreaking model of energy trading that not only transforms the way we produce and consume power but also fosters a cleaner, more sustainable future for our planet. By supporting SunContract, you contribute to a sustainable vision that unites energy producers and consumers with shared objectives: reducing costs and establishing a decentralized, intelligent, and environmentally friendly energy landscape.

How SunContract’s Platform Works

SunContract Features

SunContract combines the power of blockchain technology and renewable energy to create a unique, disruptive model for energy trading. The platform’s features can be summarized into five T’s and five D’s:

• Trust: SunContract’s blockchain technology eliminates the need for a third party to oversee energy transactions. The use of smart contracts allows all participants to trust the technology, ensuring secure and reliable transactions.
• Transparency: All transactions on the platform are public and unalterable, promoting a healthy business environment for energy producers and consumers.
• Traceability: Every transaction on the blockchain can be traced back to the originating address, ensuring user privacy and security.
• Time Stamp: Each transaction includes a time stamp, allowing users to verify the exact moment of execution.
• Transaction: Blockchain-based transactions are trustworthy, transparent, traceable, and time-stamped, making them more efficient and cost-effective than traditional methods.

The five D’s represent the benefits of renewable solar energy achieved through blockchain technology:

• Digitalization: SunContract’s digitalization of electricity trading makes it more flexible, transparent, and traceable.
• Decarbonization: The platform accelerates the transition to renewable energy sources, helping to achieve greenhouse gas emissions targets.
• Deregulation: SunContract promotes a level playing field in the energy industry by encouraging government policies that support renewable energy and self-sustainability.
• Decentralization: The platform redistributes power away from central authorities, empowering individuals to make a change for themselves and their communities.
• Democratization: SunContract facilitates access to power and allows users to choose their preferred source of energy, promoting distributed generation of electrical energy across markets.

SunContract’s innovative model unites the best features of blockchain technology and renewable energy, creating a revolutionary service that aims to transform the energy market. The platform’s primary focus is the SunContract Energy Pool, which is the first and most crucial step towards their long-term goal of peer-to-peer energy trading. Independent solar power producers can join the SunContract Energy Pool, providing clean energy to connected consumers.

Real-world Use Cases of SunContract in the Context of Blockchain-based Energy Trading

SunContract’s innovative platform leverages blockchain technology and renewable energy to facilitate a seamless energy trading experience for both producers and consumers. Here’s a step-by-step breakdown of how the platform functions:

• Joining the Platform: Producers of renewable energy, specifically solar power, and consumers interested in using clean energy can join the SunContract Energy Pool. By participating in the pool, independent solar power producers can provide clean energy to connected power consumers.
• Smart Contracts: SunContract utilizes smart contracts to enable secure and reliable energy transactions between producers and consumers. These contracts automate the process, ensuring transparency and eliminating the need for third-party oversight.
• Transparent Transactions: All energy transactions on the platform are recorded on the blockchain, providing complete transparency for all parties involved. This public ledger ensures that transactions are unalterable and traceable, fostering a healthy and fair business environment.
• P2P Energy Trading: SunContract’s long-term goal is to establish a peer-to-peer (P2P) energy trading platform. The SunContract Energy Pool serves as the foundation for this vision, allowing energy producers and consumers to trade energy directly without intermediaries.
• Empowering Users: The platform promotes decentralization by redistributing power away from central authorities and giving control back to individuals. This allows users to make more informed decisions about their energy consumption and production, driving the democratization of energy supply.
• Government Policies and Regulation: SunContract actively supports and encourages government policies that foster innovation and investment in renewable energy. By promoting a level playing field in the energy industry, the platform helps to realize the potential of solar and other renewables.
• Environmentally Sustainable: Through the promotion of renewable energy sources and the acceleration of decarbonization, SunContract’s platform contributes to achieving global greenhouse gas emission targets, ultimately promoting a cleaner and more sustainable future.

SunContract’s platform combines the power of blockchain technology and renewable energy to create a unique and disruptive model for energy trading. By focusing on the SunContract Energy Pool and working towards a P2P energy trading platform, the company aims to revolutionize the energy market and empower individuals to take control of their energy needs.

Conclusion

Based on the lessons covered in this course, it is evident that blockchain technology has the potential to revolutionize the energy trading sector by enhancing efficiency, transparency, and security. In Lesson 1, we examined the obstacles faced by traditional energy trading systems and how blockchain technology offers a decentralized solution. Lesson 2 explored various use cases of blockchain-based energy trading, including peer-to-peer and community trading, along with real-world examples of successful projects. Lastly, Lesson 3 delved into the specific platforms of Power Ledger, Energy Web Token, Efforce, and SunContract, exploring their distinctive features and practical applications.

Blockchain-based energy trading has the power to transform the way we produce and consume energy, empowering consumers with greater control and choices while promoting renewable energy generation. Although challenges such as performance and scalability remain, the future looks promising for blockchain technology in the energy sector. As the industry continues to evolve, it will be fascinating to witness the emergence of new innovations and developments in the realm of blockchain-based energy trading.