Japan’s Fujitsu Completes Blockchain-Powered Electricity Test with ENERES to Improve Demand Response
Fujitsu, the Japanese IT firm recently completed a trial of a solution powered by blockchain tech that seeks to address issues with management of surplus power. The firm partnered with ENERES, a local power distributor to use the blockchain for better power-sharing. This is usually administered via the Demand Response process.
The agreement between consumers and companies called DR tries to anticipate periods of peak demand to ensure surplus power reaches those that need it. According to Fujitsu, the current technology used in DR is quite inefficient. However, by using the blockchain, Fujitsu has been able to demonstrate that they can improve efficiency.
What Fujitsu Claims
Fujitsu claimed that it devised a system where consumers are able to exchange power amongst themselves the power they produce through power savings or electricity generation. They claim to have achieved 40% improvement in the success of DR. The company hopes that this will get more people to sign up for the DR program.
The company also added that the technology was patent pending. The current system involves power aggregators working with consumers as individuals to get to power saving targets.
However, the Fujitsu system is able to quickly calculate how much power is on offer from sellers and match it with buy orders. This way, there is a faster response during peak usage hours. Besides that, the company has technology that will fulfill orders while eliminating wastage of power.
The company has come up with various blockchain-powered tools in the recent past. In October, the company developed an inter-bank system for settlements using the blockchain to try to lower transaction costs for small transactions.
In June 2018, the company launched a data storage system powered by the blockchain. Merchants can use the system to tokenize various promotion tools such as reward points and coupons.
Blockchain Tech In The Power Industry
In most cases, blockchain tech is usually accused of being wasteful due to its huge power consumption. However, the blockchain is now being used positively in the energy industry.
This is especially so for microgrids. Micro suppliers are able to receive payments quick and with ease. It ensures that the energy sector is more decentralized. As a result, this could help to lower the cost of power in the future.
This will hopefully be the same when energy companies are able to trade power with each other using blockchain tech. With better efficiency and security, it may help them to pass the benefits to consumers as lower prices for power. However, there is always a risk that energy companies will just decide to keep the profits.
While microgrids are projected to grow to be worth $30 billion by 2039, the growth has stalled. However, the blockchain could help increase spending on microgrids due to the various advantages it brings to the table. For one, it ensures better interoperability between various sources of power in the microgrid. It is worth noting that energy-related platforms are avoiding the PoW mechanism that is quite wasteful.