Energinet

BLOCKCHAIN TO ENSURE GREEN ELECTRICITY IN EUROPEANS’ SOCKETS

Blockchain ensures a green guarantee of origin for every single watt-hour

The growing awareness of green conversion, especially among Danish electricity consumers, is unmistakable. Energinet has set out to provide the guarantee in Denmark that no one else can yet: A guarantee of origin for each watt-hour.

The project is based on measurement data from Energinet’s DataHub, and together with developers from Energinet, a Digital Designer, a UX expert, and a software developer from Mjølner have created the first Proof of Concept for an open source blockchain platform for the purpose. The system is called ElOprindelse.

Industry:

Utility & Energy Services

We delivered:

Software consultants

Technology:

Data insights, Digital transformation, Interface design, User experience

With blockchain technology, Energinet will give electricity consumers a green choice. The goal is to ensure a differentiation between green and black energy all the way from the origin of the energy, through the complex energy network, to the Danish sockets. Energinet hopes it can become a model that can inspire throughout Europe.

For what good is the conversion to electric cars if the electricity is black?

Blockchain Ensures Green Guarantee of Origin for Every Single Watt-Hour

The growing awareness of green conversion, especially among Danish electricity consumers, is unmistakable. Energinet has set out to provide the guarantee in Denmark that no one else can yet: A guarantee of origin for each watt-hour.

The project is based on measurement data from Energinet’s DataHub, and together with developers from Energinet, a Digital Designer, a UX expert, and a software developer from Mjølner have created the first Proof of Concept for an open source blockchain platform for the purpose. The system is called ElOprindelse.

Energinet’s ElOprindelse project provides Proof of Concept that blockchain’s information security benefits can be used to create guarantees of origin at watt-hour level. With blockchain technology, the necessary energy source information follows the individual watt-hour all the way from manufacturer to consumer.

Open-Source Data Solution for a Sustainable European Electricity Market

Energinet is an independent state-owned company that maintains and supports the operation and development of the electricity market, including guarantees of origin for electricity.

With ElOprindelse as time certificates, the guarantees of origin are taken to a new level. The goal of ElOprindelse is to make an open platform available to companies, organizations, and other parties who can see value and opportunities in creating their own business solutions on the platform. Several market participants have participated in tests of the prototype, which so far have shown promising results.

With a user-centric design approach, we conducted a sprint to design and develop a third-party Proof of Concept that demonstrates the possibilities from a business perspective.

Transaction Focus Became the Key to an Effective Proof of Concept

Together with representatives from Energinet, we recorded Energinet’s technical and economic cycles. The aim was to gain an in-depth understanding of the users’ context and the challenges and opportunities they face.

The energy life cycle consists, among other things, of licensed transactions from production through intermediaries to the energy providers, who ultimately provide the energy of the energy consumers. In order to best visualize the value of ElOprindelse, we chose to focus on trades.

The Proof of Concept solution, with the security of blockchain technology, gives partners an overview of each watt-hour’s origin, trades, and consumption, as well as the ability to exchange energy licenses.

“Our collaboration with Mjølner on a Proof of Concept has been very positive. We have come from some abstract business opportunities to a concrete and realizable prototype – and Mjølner has greatly contributed to this. We are now in the process of testing the prototype in the market, where we invite players and the rest of Denmark to participate. So far, it looks promising.”

Martin Lervad Lundø, CEO, Energinet DataHub

Green Transition for a Better World

Energinet develops and owns the Danish electricity and gas network. It is thus Energinet’s responsibility, as an independent public company under the Ministry of Climate, Energy, and Supply, to ensure security of supply in Denmark.

“Green transition for a better world” is the vision for a number of ambitious initiatives at Energinet that will ensure a more sustainable future.

According to Signe Rosted, Director of Business & Markets at Energinet, we in Denmark must succeed in securing infrastructure and access to the electricity market, so that Energinet can continue to support Denmark’s high ambitions for green conversion. Already today, renewable energy accounts for 60% of the total Danish electricity consumption.

According to Signe Horn Rosted, increased access to data and digitization must ensure flexibility in the Danes’ electricity consumption, as an important next step into a green and sustainable future. ElOprindelse is a step in this development.

We are happy to be a part of that journey.

THE CLIENT

Energinet is an independent state-owned company that maintains and supports the operation and development of the electricity market, including guarantees of origin for electricity. DataHub is a central and independent IT system owned and operated by Energinet. In addition to gathering billions of information about customers, consumption, and prices, DataHub handles all data communication between the players in the electricity market.