Energy Web Foundation (EWF) and PJM Environmental Information Services, Inc. (PJM-EIS) have announced a collaboration focused on developing a blockchain for renewable energy and carbon markets which promises to simplify and enhance the way in which customers procure renewable energy.
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“We are excited for the opportunity to collaborate with Energy Web Foundation and gain experience with a new technology,” said Ken Schuyler, president of PJM-EIS.
“Our customers have expressed interest in incorporating blockchain technology into our services, and we look forward to leveraging the technology where it can provide additional benefits.”
The pilot will allow PJM-EIS to investigate the potential benefits of blockchain technology to improve the security, transparency, and transaction costs of GATS, a paid subscription service that creates and tracks a generator-specific electronic certificate for every megawatt-hour of electricity produced by a generator.
“Blockchain will give some smaller users the ability to trade,” said Jaclynn Lukach, Vice President of PJM’s environmental information services unit.
“We’re also hoping it will reduce administrative costs.”
The system tracks the environmental and emissions attributes of generation, along with the ownership of credits as they are traded or used to meet governmental renewable-energy standards.
The collaboration will focus on the PJM region of the GATS market and aims to develop, test, and make available a full implementation of the blockchain-based EW Origin toolkit.
EW Origin helps unlock renewables investments by reducing administrative and transaction costs, modernizing user experience, and enabling greater access for renewable energy markets (including for smaller buyers and sellers below the megawatt-hour level).
“This collaboration between EWF and PJM-EIS is a major milestone for the adoption of advanced digital technologies in the energy sector,” said Hervé Touati, CEO of Energy Web Foundation.
“We are excited to partner with a leader such as PJM-EIS.”
PJM-EIS is a wholly-owned subsidiary of PJM Connext, L.L.C., itself a subsidiary of PJM Interconnection. PJM Interconnection is the power grid operator and wholesale market administrator for a 13-state region of the United States serving 65 million people.