Sonnen Group, a subsidiary of the oil and gas giant Shell, is creating a "virtual power plant" on the basis of the Energy Web Foundation (EWF) blockhouse in Germany.
The virtual power plant will be a distributed network of energy storage systems that will use surplus wind energy. As Germany plans to close down nuclear and coal-fired power plants in the next few years, the country is experiencing a "clean energy boom" and the number of suppliers is constantly growing to meet consumer demand.
However, the seasonal nature of "green energy" production and electricity demand leads to an oversaturation of supply, so much of the energy produced is wasted. For example, Germany reduced its renewable energy consumption by 5.4 TWh in 2018 and reduced wind power consumption by 3.2 TWh in the first quarter of last year.
To solve this problem, the Sonnen Group's virtual power plant will use surplus wind energy, which will be stored in a network of power systems interconnected by a distributed registry technology to form a distributed digital power plant. Transactions between the power systems and Sonnen will be done through smart contracts using DAI stakes.
Micha Roon, Technical Director of the Energy Web Foundation, and Jean-Baptiste Cornefert, Managing Director of Sonnen, believe that such a block-type power plant will contribute to the development of Germany's renewable energy sector, while "distributed batteries" will help to conserve surplus natural energy so that it can be used rationally in the future.
Blockchains are widely used by clean energy providers. Last summer, Clearway Energy Group launched a pilot program to trade in renewable energy in the Blockchain. In November, a similar pilot project was presented by the energy company GMP in Vermont, and in December the Japanese company Kansai Electric Power began testing a platform for tracking, trading and calculating energy generated by solar systems.
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