P2P Energy Trading
From being central generation to decentralized power generation, the energy systems are undergoing a rapid transition nationally and internationally. With the proliferation of rooftop solar system, electric vehicles and energy storage, grid based electricity is slowly becoming a backup supply. Further this decentralized approach has opened up numerous opportunities of trading and transfer of electricity between sources of distributed generation, load points and grid companies. Regulatory provisions such as net metering and open access are instrumental in facilitating such transactions through proper accounting and settlement mechanism. The proposed segregation of wire and supply of electricity will change the way electricity sector functions bringing in much needed competition and choice for buyers. However peer to peer trading will also lead to challenge of handling a very large volume of trades every minute. This challenge can be addressed using block chain technology, which is an open and decentralized ledger that allows users to get into instant contracts, track fulfilment and process settlements instantly. With increasing penetration of distributed power sources, the grid is being transformed like never before.