11.02.2020 // New standards and products
New ways in the electricity market using block chain and co.
Swiss «DLT-for-Power» initiative launched
The Swiss DLT-for-Power initiative has kicked off this week to explore new digital avenues for electricity sources of the future. The purpose of the initiative is to develop solutions for decentralizing and decarbonizing the supply of electrical power through digitalization solutions that use distributed ledger technologies (DLT). The first goal will be to foster a common understanding and lay groundwork. In phase two, the plan is to prepare a Swiss guideline (SNG) to ensure the compatibility and interoperability of various DLT applications in the system and to improve automation. Of course, energy consumption will also be taken into consideration.
Quantum leap for power supply
What will our power supply look like in the future? Will private households increasingly become autonomous energy producers and suppliers? If the electricity market continues to move in that direction, there will be a need for alternative, digital solutions throughout the entire system. The DLT-for-Power initiative that has been launched aims to promote seamless interaction between various DLT-based applications along the entire value chain of the electricity market. This would be a quantum leap towards digitalizing the supply of electricity.
Blockchain can provide the solution
One of the most well-known DLT systems is blockchain, which is also the foundation of cryptocurrencies. Blockchain has major potential for the electricity market. By combining this technology with automation, not only producers but also consumers can track all energy-related data (such as the source) and verify its integrity. These are key aspects when it comes to speeding up the shift towards a decentralized, renewable power system. The energy consumption of DLT solutions is also one of the main focuses. The proposed solution is designed to improve the energy efficiency of DLT applications and, in turn, ensure that DLT and the Energy Strategy 2050 of the Swiss Federal Office of Energy (SFOE) are not at odds with each other.
Standardization helps foster common understanding
The goal during the first phase of the initiative is to lay the groundwork and establish a common understanding of future issues and requirements for DLT applications in the power system. These are to be developed in the form of a Swiss guideline (SNG) under the auspices of the Swiss Association for Standardization (SNV). That in itself is an innovation. The results from this phase are then to be used to prepare a standard guideline that can be used to ensure the interoperability of DLT systems. That way, various applications can interact seamlessly with each other along the value chain of the power market.
More than 30 stakeholders involved in the initiative
The initiative is the brainchild of Alpiq Digital and the SNV. It was then developed in cooperation with other major energy providers and established with the support of the Digital Innovation Office at the SFOE. Thanks to its active participation, EnergieSchweiz has allowed 30 stakeholders the opportunity to collaborate as part of the DLT-for-Power initiative. For example, these include the Verband der Schweizerischen Elektrizitätswirtschaft, Swissgrid, Energie Web Foundation, Swisscom Blockchain AG, stakeholders in various segments of the value chain, digital start-ups, universities and other associations. Each of them is able to play an active role in the initiative. We invite stakeholders to bring their expertise to bear in the area of digitalization and DLT in the interest of promoting the Energy Strategy 2050.
Your cooperation is required
Are you also interested in being part of the Swiss DLT-for-Power initiative and contributing your own knowledge? Please contact Lukas Möhr.