By: Rubina Obaid
Peer-to-peer technology broadened the array of energy trading between the participants and established a reliable mechanism of sharing energy through a platform known as “Blockchain”. This mechanism ensures safe and secure trading of energy.
India is one of the third largest carbon-emitting countries in the world and Uttar Pradesh is the most populous state. It is also known as the most populous subdivision in the world which is responsible to cause large amount of greenhouse gas emission. So the state-owned energy companies are stepping ahead to take prompt measures and striving for making the environment more carbon neutral. Reducing the reliance on carbon-based fuels and switching towards sustainable renewable energy sources, is the only way out to overcome the climate emergency. In order to reach carbon emission targets countries are inculcating numerous alternative sources of renewable energy such as biomass, bio-based fuels, wind, and solar energy technology.
Solar power technology is considered as one of the most viable sources of obtaining power at Uttar Pradesh due to which the state has approved setting up four solar parks worth the capacity of 440 MW. The solar parks are being set up by Lucknow Solar Park Development Corporation (LSPDC) in collaboration with Solar Energy Corporation of India (SECI) and Non-conventional Energy Development Agency under UP Government. With the rising trend of solar and battery technology, it gave boom to the novel concept of peer-to-peer (P2P) energy trading. It is a unique energy management technology in which surplus energy which is obtained through various renewable sources such as solar power is stored in batteries and then can be shared locally through buying and selling between two or more grid connecting parties.
Peer-to-peer technology broadened the array of energy trading between the participants and established a reliable mechanism of sharing energy through a platform known as “Blockchain”. This mechanism ensures safe and secure trading of energy. Blockchain allows buyers and sellers to be at one place to bid for the most competitive rates and buy from the seller of their own choice. Execution of the deal through this system does not require any central utility or authority. The adoption of blockchain technology simplifies the trading model of energy.
state-owned energy companies in Uttar Pradesh are ambitious to run the pilot project of energy generation through solar panels on the top of government buildings. For the project, they have partnered with India Smart Grid Forum, which is a public /private partnership run by India’s Ministry for Power and Australian tech company Power Ledger for the project. The first phase of the pilot project was successfully completed in March. The concept of P2P through blockchain is capable of inculcation innovation in the process of energy trading. This enables even individuals supplying a small amount of energy to trade and keep track of the safe transaction in real-time through smart contracts executed through blockchain. The population of Uttar Pradesh is more than 200 million so the potential for this initiative will empower the population and promote green energy without costing causing the burden for every individual of installing the whole system of a solar panel. The system has greatly revolutionized the approach of accessing renewable energy in the most dynamic way.