August 25, 2023

Blockchain in energy: A look at future grid

This article explores the challenges of integrating renewable energy into existing grids, particularly addressing intermittency and centralization issues. We have launched a new public blockchain to address the challenges of integrating renewable energy into the grids.

In an era where the pursuit of sustainability has become paramount, the spotlight is firmly on renewable energy sources. However, the integration of these resources into existing energy grids is not without challenges. Our new public blockchain, Powerledger Chain, is designed to build innovative solutions in the energy sector, addressing issues such as intermittency and grid congestion to create a sustainable energy future. 

Redefining Energy Grids: The Challenge of Intermittency

Renewable energy sources, while eco-friendly, come with a fundamental challenge: intermittency. Solar panels only generate electricity when the sun is shining, and wind turbines are at the mercy of the breeze. This results in fluctuations in energy supply that need to be addressed in order to ensure a stable power grid.

The Time and Place Problem: Integration of Renewables

Indiscriminate VRE expansion due to subsidies and high feed-in tariffs, often distant from load centres, showcases a centralised approach's unintended consequences. Turbines in remote areas, like the Midwest, can turn into stranded assets without proper infrastructure. This issue illustrates why electricity prices can rise, not decrease, with increased renewable energy. Similar challenges arise when injecting excessive power at the wrong time, highlighting the complexities of grid integration.

Centralisation vs. Decentralisation: A Paradigm Shift

In the energy sector, there is an ongoing debate about finding the right balance between centralisation and decentralisation. Historically, centralised grid management has been the norm, with power decisions resting in the hands of a few. However, as renewable sources give rise to a more distributed energy landscape, the role of centralisation is being questioned.

With decentralisation at its core, our public blockchain’s role in energy does not necessarily dismiss centralisation, but offers the importance of a balanced approach with the power of highly scalable blockchain-based solutions. The responsibility for grid management can be negotiated among stakeholders using a decentralised paradigm that uses smart contracts on our new public blockchain. Powerledger Chain aims to bring revolutionary changes to the energy landscape by fostering transparency, accountability, and adaptability to reshape the future of the energy grid.

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