Blockchain technology

Implementation of blockchain technology in the energy sector

Implementation in the energy sector


Implementation in the energy sector Blockchain

Blockchain technology offers an effective solution to most problems in various energy sectors, including electricity, gas, oil and other renewable resources. This will lead to the global blockchain market in the energy sector reaching $1,564 by 2026, with an average annual growth of 37.6%.

At least this is the opinion of experts from Fortune Business Insights.

In this article, we will explain what makes the blockchain such a valuable tool in the energy sector and what tasks it can solve.

Benefits of using blockchain in the energy sector

Benefits of Technology

Benefits of using blockchain in the energy sector Benefits of Technology

Blockchain is essentially a kind of database that consists of a chain of consecutive digital blocks distributed among various nodes on the Internet. The main task of this technology is to ensure reliable storage of data and prevent their modification, hacking or compromise. If we talk about the energy sector, here the blockchain provides several critical advantages:

  • Decentralization. Blockchain assumes a decentralized approach. In practice, this means that all market participants within the network can operate without the need for control by a central authority. In addition, financial transactions between them can be carried out using smart contracts – programmable and cryptographically protected software scripts, which completely get rid of corruption.
  • Process optimization. The energy industry is made up of many complex networks and supply chains, from exploration and resource extraction to processing and transportation. Blockchain, due to its immutability, is able to provide a trustful and reliable connection between all network participants, which will speed up processes and increase the efficiency of the entire sector.
  • Transparency. Blockchain is able to provide maximum transparency among all network participants. This is achieved due to the fact that any information stored in the chain can be easily verified by any network member. At the same time, the immutability of the blockchain ensures that the data recorded in the ledger has not been changed.
  • Single data source. In the current energy market conditions, the end user has practically no tools to check the quality of resources before purchasing them. For example, when refueling a car, the driver cannot check the class of gasoline he buys. Blockchain easily solves this problem with a consensus mechanism that thwarts any attempts to enter data from unauthorized sources into the registry, and also protects them from being changed or deleted. As a result, the consumer can be sure that he is not paying for counterfeit products.
Implementation of blockchain technology in the energy sector

How blockchain can be used in the energy market

Practical application

How blockchain can be used in the energy market Practical application

The energy sector is traditionally considered conservative, however, many companies from this industry have already begun to test and implement their own decentralized solutions. In the short term, this may lead to the formation of new, more efficient energy markets.

Therefore, we propose to consider the most common options for using blockchain technology in this direction.

Wholesale of energy resources

Wholesale of energy resources

Blockchain can completely change the way energy resources are delivered to end consumers. The fact is that decentralized systems do not need intermediaries, which means that there is no need for retailers.

For example, in the electricity sector, this will allow subscribers to connect directly to the main grid and receive electricity at wholesale prices. As a result, utility bills will be reduced significantly.

Peer-to-Peer Electricity Trading

Peer-to-Peer Electricity Trading

Today, companies and households already have the ability to generate their own electricity and sell their surplus. The introduction of the blockchain will further develop this concept and create conditions in which producers and buyers of electricity can interact directly, without the participation of centralized suppliers.

By controlling all the flows of electricity that are intended for sale and storage, the blockchain will be able to balance supply and demand, and smart contracts will easily provide the entire economic side in such a model.

Implementation of blockchain technology in the energy sector

Expanding Smart Grid Capabilities

Expanding Smart Grid Capabilities

Smart Grid, or intelligent networks, are modernized power supply networks that allow you to optimize energy consumption. They may consist of devices such as smart meters, electricity consumption controllers, smart home energy management systems, and more.

In such networks, blockchain can be used to combine all smart devices into a single network, where they can communicate with each other and exchange data. As a result, this will make energy consumption even more economical, as well as provide the user with additional options for automation and situation management.

Ensuring data security

Ensuring data security

Blockchain was originally developed to provide financial transactions in the cryptocurrency market, therefore, along with publicity, it guarantees a high degree of privacy and data security. For example, the SHA-256 protocol, which is used in the Bitcoin blockchain, the most popular digital currency, has not yet been hacked.

Accordingly, the use of blockchain and its hashing mechanisms in the energy market guarantees complete security of confidential data for all network participants.

Implementation of blockchain technology in the energy sector

Energy tokenization and financing

Energy tokenization and financing

As you know, many innovative ideas never enter the market due to lack of funding. Blockchain will help solve this problem. It will allow companies and start-ups to receive investments for the implementation of projects in the energy sector not only from large venture capital funds, but also through crowdfunding.

As a result, the energy sector will begin to develop much faster and more technological tools will appear in it.

What team will be required to develop blockchain solutions

Team and Technology

What team will be required to develop blockchain solutions Team and Technology

Blockchain is a complex and niche technology, and it will take a whole team of qualified specialists to bring an effective product to the energy market:

  • Project Manager – a project manager who organizes the development process, manages deadlines, budgets, and the team.
  • UI/UX designers – design attractive and functional user interfaces.
  • Frontend developers are responsible for implementing the client side of the application with which users interact. Layout, creation of animations, event handlers, and so on – all this is part of the tasks of the front-ender. The stack of such developers can consist of static technologies such as HTML/CSS/JavaScript or reactive technologies such as Vue.js/React.js.
  • Backend developers – create the server side of the software that stores and processes data. The backender technology stack can include Java, Python, PHP, Node.js programming languages and Django/Flask/Yii2/Laravel frameworks.
  • Mobile developers are involved in the implementation of mobile applications. In their work, they can use native technologies: Kotlin for Android and Swift for IOS, as well as cross-platform ones, such as the Flutter framework and the Dart programming language.
  • Blockchain developers create decentralized software that will be hosted on a decentralized blockchain network.
  • QA-engineers – they test the software product and monitor its quality at all stages of development.

If we talk about the technology stack, then for each project it is selected individually. It all depends on the technical features of a particular project and the platform on which it will work – desktop, web interfaces or smartphones.

Development of blockchain applications for the energy sector in AVADA MEDIA

Development of blockchain applications for the energy sector in AVADA MEDIA

According to experts, in the near future, blockchain technology can significantly transform the energy industry and increase its efficiency. Already, companies and startups are working on the introduction of innovative decentralized solutions in this area, but given the volume of the energy market, they are still not enough. Therefore, investments in this direction look quite reasonable and attractive.

Our team has extensive experience in developing complex blockchain solutions. Using our knowledge, we will help to test the viability of your ideas, find the optimal business model and bring to the market an effective product that will be in demand and bring the expected economic results.

Fresh works

We create space projects

Fresh works

The best confirmation of our qualifications and professionalism are the stories of the success of our clients and the differences in their business before and after working with us.

Our clients

What they say about us

Our clients What they say about us

Successful projects are created only by the team

Our team

Successful projects
are created only by the team Our team

(Ru) Photo 11
(Ru) Photo 10
Photo 9
Photo 8
Photo 7
Photo 6
Photo 5
Photo 4
Photo 3
Photo 2
Photo 1
(Ru) Photo 12

Contact the experts

Have a question?

Contact the experts Have a question?

I accept User agreement and I give my consent to processing of my personal data
Personal data processing agreement

The user, filling out an application on the website (hereinafter referred to as the Site), agrees to the terms of this Consent for the processing of personal data (hereinafter referred to as the Consent) in accordance with the Law of Ukraine “On the collection of personal data”. Acceptance of the offer of the Consent is the sending of an application from the Site or an order from the Operator by telephone of the Site.

The user gives his consent to the processing of his personal data with the following conditions:

1. This Consent is given to the processing of personal data both without and using automation tools.
2. Consent applies to the following information: name, phone, email.

3. Consent to the processing of personal data is given in order to provide the User with an answer to the application, further conclude and fulfill obligations under the contracts, provide customer support, inform about services that, in the opinion of the Operator, may be of interest to the User, conduct surveys and market research.

4. The User grants the Operator the right to carry out the following actions (operations) with personal data: collection, recording, systematization, accumulation, storage, clarification (updating, changing), use, depersonalization, blocking, deletion and destruction, transfer to third parties, with the consent of the subject of personal data and compliance with measures to protect personal data from unauthorized access.

5. Personal data is processed by the Operator until all necessary procedures are completed. Also, processing can be stopped at the request of the User by e-mail:

6. The User confirms that by giving Consent, he acts freely, by his will and in his interest.

7. This Consent is valid indefinitely until the termination of the processing of personal data for the reasons specified in clause 5 of this document.

Join Us

Send CV

I accept User agreement and I give my consent to processing of my personal data
Please allow cookies to be more efficient with your site.