Energy Utilities Blockchain to Grow by 60% by 2024
According to a report published by Infoholic Research LLP on February 15, the growth of global Blockchain use in the energy utilities sector is expected to go up by 60% by the year 2024.
Growth of Blockchain in Energy Utilities
Infoholic Research analyzed how Blockchain technology had been deployed in the energy utilities sector across the globe. The firm analyzed factors such as application, services, components and regions.
Based on this report, it was found that Blockchain technology currently supported trading across a range of commodities markets that include electric power, crude oil, natural gas as well as refined products.
The report also stated that Blockchain usage in the global energy utilities market was $210.4 million in 2018. This figure is expected to grow to $3.4 billion by the year 2024. Blockchain growth in this sector is also predicted to be at a CAGR (compound annual growth rate) of 59.4% between 2018 and 2024.
Infoholic Research’s report also stated that the key drivers for growth in this time period will be the sales of peer-to-peer electricity as well as distributed energy.
Uses of Blockchain Technology in Energy Utilities
The report also outlined possible use cases for the technology. Blockchain solutions could be used to streamline information related to position management, logistics, pricing and even risk management.
Additionally, Blockchain could also help in the optimization of the generation, distribution as well as consumption of electric energy. Specially designed Blockchain based solutions for power grids and for new alternative energy entrants could generate reams of data that could be used to improve the energy industry.
With newer forms of automation such as electric cars, smart homes and devices and so on entering the market, a massive amount of data is being generated that can be used by the energy utilities companies to achieve higher levels of efficiency, flexibility as well as reliability.
Some of these applications are already seeing light of day. In January this year, Spanish energy major Iberdrola started using Blockchain tech to start tracking renewable energy generated by two wind farms as well as a power plant, which were supplied to banks in Cordoba and the Basque region. The pilot was a success.
Danish government owned Energinet also announced that the same time that it would be using IOTA’s Tangle technology in the IoT (Internet of Things) and energy sectors. The state-owned energy giant is reportedly looking at creating new solutions for electric vehicles and green energy using this technology.