Government of Minas can use blockchain in solar energy project

Cryptomotic and solar energy companies in Minas Gerais study partnership for blockchain use and possibly tokenization of energy assets

The Minas Gerais State Government would be studying the use of blockchain and even tokenization to leverage the state’s energy potential.

According to information obtained by the Cointelegraph recently entrepreneurs in the cryptoactive sector were with representatives of the state visiting several solar power plants.

The talks would still be at an early stage but the proposal is to leverage the state’s photovoltaic production with blockchain and, possibly, with the endorsement of regulators such as the Securities Commission, CVM, the tokenization of energy assets.

The idea is to elaborate a development proposal and ‚fit‘ within the project Projeto Sol de Minas is part of the strategic planning of the Government of Minas Gerais, whose main objective is to leverage the state’s role in the photovoltaic energy sector.

Therefore, the initiative aims to diversify the energy matrix by increasing photovoltaic power generation projects together with the deployment of companies supplying goods and services for this sector.

„There is still nothing closed but there is the intention of both parties to promote the development of solar energy generation and distribution in the region. It will be necessary to align the objectives and the business model, but there is a very great potential for the State to ‚unite‘ blockchain technology,“ said one of the sources who attended the meeting.

Energy Marketplace with blockchain

An unprecedented partnership between ANEEL, CPQD and Copel Distribuição, announced in 2019, has been developing a system for buying and selling energy in Brazil using blockchain technology.

The objective is to create a new virtual environment for the direct commercialization of electric energy between consumers and prosumers (who produce their own energy), in the environment of distributed generation (GD).

The project is conducted by Copel Distribuição, an energy concessionaire that operates mainly in the state of Paraná, for which CPQD is developing a solution based on Blockchain to enable the implementation of a decentralized marketplace for transactions of this type.

Started in August 2019, the project has resources from the research and development program regulated by the National Electrical Energy Agency (ANEEL) and is scheduled to last 21 months

The use of Blockchain technology will allow the commercialization of electric energy in the marketplace in a safe, fast and without intermediaries, between consumers and prosumers (residential, commercial, industrial, etc.) that are not known.

„This is a new commercial relationship that disruptive technologies like Blockchain make possible. In this case, the prosumers have more economically attractive options to remunerate the excess of energy injected in the distribution system, which tends to drive the expansion of GD“, explains Frank Toshioka, project manager for Copel Distribuição.