Residents in Japan might be seeing a whole new application of blockchain technology in the power sector. The Japanese electric utility holding company, TEPCO Holdings, has formed a partnership to develop a blockchain electricity trading system that will enable Japanese households to trade excess power.
Japan households prepare to sell surplus power
The blockchain electricity trading system is being developed in partnership with ITOCHU, a Japanese corporation specializing in the trading of products. Following the report on Thursday by Nikkei, the blockchain system is expected to be ready for practical use to Japanese households within the next three years.
The basic idea behind the planned blockchain electricity trading system is probably to enable the residents to trade surplus electricity. While the system development lasts until 2023, the companies working on the project reportedly plan to team up with local governments, in order to begin a proof-of-concept (PoC) by next year.
Blockchain electricity trading system equipped with AI
Also, the companies said they would give out storage batteries equipped with artificial intelligence (AI), including solar panels to the households. The system will ensure the safety of communication using blockchain, while AI will calculate excess energy for trading.
Besides planning for the blockchain electricity trading system, TEPCO is equally pushing for a green power generation. Bloomberg recently reported that the company intends to advance green production by 70 percent over the next decade, with $18 billion.
Meanwhile, Japan might not be the only country that intends to establish a trading system for energy. Power Ledger, a DLT company, based in Australia, reached a partnership with a residential developer to establish a similar blockchain trading system for solar energy within the next three years.
Power Ledger planned to utilize blockchain technology to track energy consumption, while AI will be used to trade excess energy between residents in Australia.