Thailand state-owned energy company PTT and Energy Web Foundation (EWF), a blockchain energy nonprofit company, have collaborated to develop a blockchain-based renewable energy system.
As per a press release, the two firms plan to create a regional energy solution based on the Energy Web Chain, a new ethereum-based, public, “proof-of-authority” blockchain. The product is also compliant with the International Renewable Energy Certificate (I-REC) Standard, which provides certificates guaranteeing that renewable energy sources are legitimate.
“The marketplace we’re co-developing with PTT will help to connect the supply and demand that we know is there, while doing so with the data transparency, reporting credibility, and ease that is so important to emerging [energy attribute certificate] EAC markets,” Jesse Morris, EWF Chief Commercial Officer, said.
A government- or trade organization-appointed issuer can provide I-REC tracking certificates to energy producers. Cointelegraph noted that after tickets are forwarded to a central registry, energy suppliers and buyers can prove the renewable origin of energy by redeeming the certificates.
“Certificates are the principal way nations certify they are achieving renewable energy targets; how electric utilities certify they are reaching policy and regulatory-mandated renewable energy standards, and how corporations certify they’re meeting sustainability and renewable energy targets in their reporting,” Morris told Decrypt.
Until now, Thailand and its neighbors have been untapped markets for RECs that follow international standards. However, over the past years, the country has been gearing towards greater clean energy consumption. In fact, in 2018, Thailand produced nearly 28 million megawatt-hours in clean electricity, and the number is expected to double by 2037.
The proposed blockchain REC is slated to go live by May 2020.
Last month, the Congressional Research Service released a report that examines the pros and cons of using blockchain in the energy sector. The report noted that launching a blockchain solution can make an energy system more transparent, efficient, and flexible for customers.