AEMO will test blockchain to create a renewable energy market in Australia

Australia’s energy market operator is launching Project Edge, which will use blockchain to integrate renewable energy into the grid.

The Australian Energy Market Operator (AEMO), which operates the electricity market in Australia, is launching Project Edge, a pilot for grid integration of renewable energy. The goal of the project is to integrate distributed energy resources such as wind turbines and solar panels into the main grid. The blockchain system will become part of the project.

The DER Marketplace solution is being developed in partnership with renewable energy energy company AusNet, Mondo, and technology partners Energy Web Foundation (EWF), who will provide the “operating system” on the blockchain, as well as PXiSE and Microsoft for cloud hosting. EWF is an international organization that promotes blockchain adoption in renewable energy markets. The organization is supported by many large companies, including Siemens.

Traditional power grids are designed for one-way distribution of energy – from large power generators to households and businesses. According to Australian regulators, solar panels are installed on one in four rooftops and in 40% of households in some states. In addition to solar energy storage, some homes also have rechargeable batteries or batteries in electric vehicles that can store excess electricity before it is distributed.

AEMO testing aims to combine household renewable energies to create a market in which surplus electricity can be shared among households. Blockchain is being used to create a renewable energy market and distribute financial incentives to households. Testing will begin in April 2022 and end in March 2023.