Bitcoin Global News (BGN)

October 29, 2018 -- ADVFN Crypto NewsWire -- With the idea of distributed energy grid and marketplace having been around since the spread of solar panels, it was only a matter of time before a major power company got behind using the Blockchain to facilitate this at a large scale. In this case, the company in question is SP Group, which is an important energy provider in Singapore.

Today, SP Group specifically announced that they have launched a Blockchain powered REC or renewable energy certificate marketplace. If you are not sure what this means at face value, you are by no means alone is this respect. Even so, it is actually quite easy to understand what this type of online platform is built to do, judging by the company’s original press release, referenced above.

In the simplest possible sense, it seems to be like a stock exchange for RECs, except SP Group claims it will be fair in the sense that any business can join and trade in RECs, without some of them having advantages based on size or any other factor. Logically, some of you who are reading this might be wondering at this point what these certificates are and even why anyone would want to trade them like stocks. To understand this, it is of course, important to understand what an REC is. Each REC is a piece of hard evidence that a certain amount of energy has been generated from only renewable sources like solar panels. With this, it is important to understand that these are not really like awards or certificates proving a company or individual’s support of renewable energy. According to one source on the subject, they are actually like rights to generate power for consumers from renewable sources.

In an even simpler way, this means you buy the REC, the amount of power that you bought is generated by a company like a solar power provider, then this equivalent amount is sent to a major electricity provider, which then, of course, sends it on to their users.

All in all, using the Blockchain to facilitate the B2B trading of such certificates appears to have the goal of making it transparent who is really “going green,” as well as making it easier to do so, through involving renewable energy companies like Cleantech Solar Asia in the process.

As this offering accumulates some time on the open market, keep in mind that it comes on the heels of Skyledger, which is essentially the same thing, except it involves citizens and allows them to even provide renewable energy for other citizens.

 

 

By: BGN Editorial Staff

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