How Blockchain Can Democratize Green Power
By Srinivasan Keshav
Imagine buying a solar panel from a hardware store, mounting it on your roof, then selling the green electricity you produce at a price you set.
Is this even possible? Some companies certainly think so. These startups are harnessing the power of blockchains to democratize green power.
Before you can understand how blockchains are part of the solution, you first need to know a few things about the green electricity market.
Today, independent auditors assess renewable energy producers and certify their electricity as "green." These producers can then sell Renewable Energy Certificates (RECs) to consumers who want to buy green energy.
This is how corporations such as Apple and Google can say they are 100 percent green. They aren't generating their own green electricity, but rather purchasing certificates from green-energy producers.
Of course, the actual energy they use is not always green. As long as every unit of energy they consume matches up with a purchased REC, green energy is displacing carbon-intense energy. A market for RECs creates a strong signal for investment in green electricity generation.
Some companies do power some or all of their operations using Power Purchase Agreements (PPAs). This commits them to purchasing a certain amount of energy at a certain price from renewable-energy producers over time-scales of about 20 years or so. PPAs reduce risk for generators by guaranteeing return on investment, thus creating a strong motivation for long-term investment in green generation.
Both of these approaches, however, discriminate against small generators of green electricity.
It's Not Easy Generating Green
The certification process for RECs is cumbersome and expensive, with physical audits, so it doesn't make sense for mom-and-pop green generators. Similarly, PPAs can only be negotiated by large green generators.
For these two reasons, small-scale green generators must make do with whatever price their local utility pays them. This price can be volatile due to meddling by legislators as well as by the utilities themselves. Thus, small generators are exposed to higher levels of risk than bigger players.
What if we could reduce the cost of certification, eliminate onerous auditing and avoid non-market price controls, so that even a small-scale green generator could de-risk investments?
This is what companies such as PowerLedger in Australia and LO3 Energy in Brooklyn provide. They use blockchains to store generation certificates that are created by tamper-proof meters attached to solar panels.
These blockchains also store transaction records when the certificates are traded, so that the same unit of generation cannot be resold. By eliminating auditors, transaction costs and price regulation, this solution makes renewable-energy investment attractive even for small players.
A Scaling Problem
Unfortunately, this approach has a scaling problem.
Today's blockchains cannot support the addition of more than a few hundred certificates or trades (we'll call them both "transactions") per second. This is because blockchain servers need to agree on the contents of each block, despite server and communication failure and the presence of malicious servers. This is the well-known and difficult "consensus problem." Because of this problem, the scale needed to support hundreds of millions of solar panels is beyond the reach of current blockchain technology.
For instance, BitCoin, the best-known blockchain, supports only about 10 transactions per second and HyperLedger, IBM's competing solution, under 1,000 transactions per second. A democratic REC system would generate transactions at a rate hundreds of times faster.
Blockchains can store generation certificates linked to green energy, but are currently unable to handle the volume that would be produced by a large-scale deployment of solar panels.Shutterstock
My colleagues at the University of Waterloo have recently devised a new solution to the consensus problem called Canopus.
Canopus takes a server's location on the internet cloud into account, minimizing communication between geographically-distant servers. By keeping most communications local and fast, blockchain servers can process far more transaction records each second than a traditional consensus protocol that doesn't take location into account. This improvement in scaling allows even mom-and-pop green generators to obtain certificates and participate in energy transactions.
One Million Transactions Per Second
We are currently building a prototype blockchain using Canopus that we hope will handle more than one million transactions per second. In our solution, smart meters attached to solar panels send RECs to brokers. Consumers can purchase these RECs using their own brokers.
If successful, our work will encourage homeowners and small businesses to invest in renewable energy technologies to become green generators. It would also encourage Ontario's electricity consumers to become 100 percent green, just like Apple and Google.
Indeed, since blockchain knows no boundaries, our system could allow green generators in sun-drenched developing countries to recoup their investment in green generation by selling RECs to consumers around the world. Of course, this requires placing blockchain servers in every region of the world, but this is easily done using existing datacenter infrastructure.
This would reduce the global carbon footprint, and would be more efficient—thus less costly—than deploying solar panels in sun-poor northern countries.
Blockchains Are for EVs Too
The development of a scalable, tamperproof and globally accessible energy blockchain would enable other energy transactions.
Emissions-free electric vehicles (EVs) allow consumers to use electricity instead of gasoline to meet their transportation needs. While consumers get incentives to purchase EVs, they receive none to operate them.
Blockchain makes it possible to reward EV owners for operating their EVs, or providing ancillary services to utilities, making the vehicles more affordable. EV owners could be further rewarded if they charged their cars with green electricity.
Close to Reality?
Although the technology for building scalable blockchains will soon exist, one problem is that some jurisdictions, including Ontario, give local distribution companies tight control on integrating green generation to ensure grid stability.
While this is certainly necessary, there is no intrinsic need for green generators to be tied into a provincially mandated pricing plan such as the microFIT scheme. The province should allow generators to sell their electricity to the highest bidder, just like any other producer.
We also need to build, deploy and critically evaluate small-scale prototypes of blockchain-based transactive-energy systems so that we can learn by doing.
As solar and wind costs continue to drop and energy storage technologies reach maturity, it is becoming possible to turn away from carbon-intense electricity generation and gasoline vehicles.
Democratizing the deployment of these technologies using scalable energy blockchains will, we hope, accelerate this important societal transformation.
Reposted with permission from our media associate The Conversation.
By Anne-Sophie Brändlin
1. My Octopus Teacher (2020)<span style="display:block;position:relative;padding-top:56.25%;" class="rm-shortcode" data-rm-shortcode-id="43d618cfe4dea9f32fdb2880868a6f5f"><iframe lazy-loadable="true" src="https://www.youtube.com/embed/3s0LTDhqe5A?rel=0" width="100%" height="auto" frameborder="0" scrolling="no" style="position:absolute;top:0;left:0;width:100%;height:100%;"></iframe></span><p>No person has ever gotten as <a href="https://www.ecowatch.com/my-octopus-teacher-movie-2647785692.html">close and intimate with a wild octopus</a> as South African filmmaker Craig Foster, who decided to head out to an underwater kelp forest in the Atlantic Ocean every day for an entire year to capture the life of the mesmerizing creature. An unusual, touching friendship develops that will likely change the way you see your relationship to animals and the planet.</p>
2. David Attenborough: A Life On Our Planet (2020)<span style="display:block;position:relative;padding-top:56.25%;" class="rm-shortcode" data-rm-shortcode-id="bab38965d072e9023c9c36b1ccf622c9"><iframe lazy-loadable="true" src="https://www.youtube.com/embed/64R2MYUt394?rel=0" width="100%" height="auto" frameborder="0" scrolling="no" style="position:absolute;top:0;left:0;width:100%;height:100%;"></iframe></span><p><a href="https://www.ecowatch.com/tag/David-Attenborough">David Attenborough</a> is the godfather of environmental docs. In his 94 years, the Briton has visited every corner of the world, documenting nature in all its variety and wonder. His latest film is a witness statement, in which he reflects upon the devastating changes he's seen in his lifetime. He also gives a vision of the future in which we work with nature, rather than against it.</p>
3. The Human Element (2019)<span style="display:block;position:relative;padding-top:56.25%;" class="rm-shortcode" data-rm-shortcode-id="f426ed5154f3133a6f8cb5d8d39cf211"><iframe lazy-loadable="true" src="https://www.youtube.com/embed/k34FhplukXQ?rel=0" width="100%" height="auto" frameborder="0" scrolling="no" style="position:absolute;top:0;left:0;width:100%;height:100%;"></iframe></span><p>This doc follows environmental photographer James Balog on his quest to portray Americans on the frontlines of climate change whose lives and livelihoods have been affected by the collision between people and nature. Balog captures how the four elements of earth, water, air and fire are being transformed by a fifth element — the human element — and what that means for our future.</p>
4. Before the Flood (2016)<span style="display:block;position:relative;padding-top:56.25%;" class="rm-shortcode" data-rm-shortcode-id="619d7c35d25e9cfc6e239bc1bd7d1ea2"><iframe lazy-loadable="true" src="https://www.youtube.com/embed/D9xFFyUOpXo?rel=0" width="100%" height="auto" frameborder="0" scrolling="no" style="position:absolute;top:0;left:0;width:100%;height:100%;"></iframe></span><p>In <a href="https://www.ecowatch.com/leonardo-dicaprio-before-the-flood-2057070140.html">this doc</a>, actor Leonardo DiCaprio teams up with National Geographic to travel the globe and witness the effects of global warming that are already visible, such as rising sea levels and deforestation. Featuring prominent figures such as Barack Obama, Ban Ki-moon, Pope Francis and Elon Musk, the doc offers solutions for a sustainable future and shows how we can challenge climate change deniers.</p>
5. Tomorrow (2015)<span style="display:block;position:relative;padding-top:56.25%;" class="rm-shortcode" data-rm-shortcode-id="8fdcf7de6bd422b6ab96134ce49366d9"><iframe lazy-loadable="true" src="https://www.youtube.com/embed/NUN0QxRB7e0?rel=0" width="100%" height="auto" frameborder="0" scrolling="no" style="position:absolute;top:0;left:0;width:100%;height:100%;"></iframe></span><p>Need an optimistic view on how to tackle the climate crisis? Then this upbeat French doc seeking out creative alternatives to our current form of agriculture, energy supply and waste management is for you. It introduces everyday sustainability innovators from across the world, such as urban gardeners and renewable energy enthusiasts, to inspire the rest of us to make local changes</p>
6. Racing Extinction (2015)<span style="display:block;position:relative;padding-top:56.25%;" class="rm-shortcode" data-rm-shortcode-id="6ec29ed8282004cb6ccc6e0eae7de1ae"><iframe lazy-loadable="true" src="https://www.youtube.com/embed/MwxyrLUdcss?rel=0" width="100%" height="auto" frameborder="0" scrolling="no" style="position:absolute;top:0;left:0;width:100%;height:100%;"></iframe></span><p>In this film by Oscar-winning director Louie Psihoyos, a team of activists expose the illegal trade of endangered species and document the global extinction crisis, which could result in the loss of half of all species. By using covert tactics and state-of-the-art technology, they take you to places where no one can go, uncover secrets and show you images you have never seen before.</p>
7. Virunga (2014)<span style="display:block;position:relative;padding-top:56.25%;" class="rm-shortcode" data-rm-shortcode-id="6922c47a9603f24dd431f6e5282f7cb5"><iframe lazy-loadable="true" src="https://www.youtube.com/embed/wxXf2Vxj_EU?rel=0" width="100%" height="auto" frameborder="0" scrolling="no" style="position:absolute;top:0;left:0;width:100%;height:100%;"></iframe></span><p>Virunga National Park in the Democratic Republic of Congo is one of the only places in the world where you can still find wild mountain gorillas. But the park and its inhabitants are under attack from poachers, armed militias and companies wanting to exploit natural resources. This gripping doc follows a group of people trying to preserve the park and protect these magnificent great apes.</p>
8. Cowspiracy: The Sustainability Secret (2014)<span style="display:block;position:relative;padding-top:56.25%;" class="rm-shortcode" data-rm-shortcode-id="9b7e7a93c26b3a3fc4f8a8374d98e2f2"><iframe lazy-loadable="true" src="https://www.youtube.com/embed/nV04zyfLyN4?rel=0" width="100%" height="auto" frameborder="0" scrolling="no" style="position:absolute;top:0;left:0;width:100%;height:100%;"></iframe></span><p>This crowdfunded documentary explores the impact of animal agriculture on the environment and investigates why the world's leading environmental organizations are too afraid to talk about it. The film has caused controversy by suggesting that animal agriculture is the primary source of environmental destruction and the main emitter of greenhouse gases, rather than fossil fuels.</p>
9. Years of Living Dangerously (2014)<span style="display:block;position:relative;padding-top:56.25%;" class="rm-shortcode" data-rm-shortcode-id="585f966df408ae57e3e31747a6c0a66b"><iframe lazy-loadable="true" src="https://www.youtube.com/embed/juXzfwvVHZQ?rel=0" width="100%" height="auto" frameborder="0" scrolling="no" style="position:absolute;top:0;left:0;width:100%;height:100%;"></iframe></span><p>In this Emmy-winning documentary series, celebrity correspondents travel the world to interview experts and scientists on the climate crisis and its effects. But rather than focusing on its star power, the two-season series also shines a spotlight on ordinary people affected by the climate crisis and shows how we can save our world for future generations.</p>
- 20 Instagram Accounts for Environmental Inspiration - EcoWatch ›
- Climate Champion David Attenborough Breaks Jennifer Anniston's ... ›
- 'My Octopus Teacher' Stuns Audiences, Reinforces Power of Nature ... ›
- 5 Must-Watch Documentaries for a More Sustainable Planet ... ›
EcoWatch Daily Newsletter
By Victoria Masterson
Using one of the world's problems to solve another is the philosophy behind a Norwegian start-up's mission to develop affordable housing from 100% recycled plastic.
Sustainable Homes<p>UN-Habitat says an <a href="https://unhabitat.org/un-habitat-aims-to-use-plastic-waste-to-support-housing-for-all" target="_blank">estimated 60% of people living in urban areas of Africa are in informal settlements</a>. At the same time, between 1990 and 2017, African countries imported around 230 metric tonnes of plastic, "which mostly ended up in dump sites creating a massive environmental challenge," the agency adds.</p><p>UN-Habitat deputy executive director, Victor Kisob, said the aim of the partnership with Othalo was to "promote adequate, sustainable and affordable housing for all."</p>
Artist's impression of an Othalo community, imagined by architect Julien De Smedt. Othalo<p>Othalo's process involves shredding plastic waste and mixing it with other elements, including non-flammable materials. Components are used to build up to four floors, with a home of 60 square metres using eight tons of recycled plastic. A factory with one production line can produce 2,800 housing units annually.</p><p>Following successful laboratory tests, Othalo's factory in Estonia has started producing components to build three demonstration homes for Kenya's capital, Nairobi; Yaoundé, the capital of Cameroon and Dakar, the capital of Senegal.</p><p>Othalo founder Frank Cato Lahti has been developing and testing the technology since 2016 in partnership with <a href="https://www.sintef.no/en/" target="_blank">SINTEF</a>, a 70-year-old independent research organization in Trondheim, Norway, and experts at Norway's <a href="https://en.uit.no/startsida" target="_blank" rel="noopener noreferrer">University of Tromsø</a>.</p>
Othalo founder Frank Cato Lahti. Othalo<p>Almost <a href="https://www.un.org/development/desa/publications/2018-revision-of-world-urbanization-prospects.html" target="_blank">seven out of every 10 people in the world are expected to live in urban areas by 2050</a>. More than 90% of this growth will take place in Africa, Asia, Latin America, and the Caribbean.</p><p>"In the absence of effective urban planning, the consequences of this rapid urbanization will be dramatic," UN-Habitat warns.</p><p>Lack of proper housing and growth of slums, inadequate and outdated infrastructure, escalating poverty and unemployment, and pollution and health issues, are just some of the effects.</p><p>Mindsets, policies, and approaches towards urbanization need to change for the growth of cities and urban areas to be turned into opportunities that will leave nobody behind, UN-Habitat says.</p>
Pioneers of Change<p>Reimagining cities and communities for greater resilience and sustainability was a key topic at the<a href="https://www.weforum.org/events/pioneers-of-change-summit-2020" target="_blank"> World Economic Forum's Pioneers of Change Summit 2020</a>.</p><p>The digital event brought together innovators and stakeholders from around the world to explore solutions to the challenges facing enterprises, governments and society.</p><p>Opening the summit, <a href="https://www.weforum.org/events/pioneers-of-change-summit-2020/sessions/opening-plenary-8f731cbc65" target="_blank">Stephan Mergenthaler, the Forum's Head of Strategic Intelligence and a member of the Executive Committee</a>, said: "We need to change the way we produce, the way we live and interact in our cities to make this transition to net-zero emissions a reality…</p><p>"And as this year has illustrated so dramatically, we need to make every effort that we keep populations healthy, if we want to avoid jeopardizing all this progress."</p><p><em>Reposted with permission from </em><em><a href="https://www.weforum.org/agenda/2020/11/un-africa-recycled-plastic-housing/" target="_blank">World Economic Forum</a>.</em><a href="https://www.ecowatch.com/r/entryeditor/2649069252#/" target="_self"></a></p>
- What Happens to Recycled Plastic? Researchers Lift the Lid ... ›
- This Eco-Village Is Being Built From More Than 1 Million Recycled ... ›
By Brett Wilkins
Despite acknowledging that the move would lead to an increase in the 500 million to one billion birds that die each year in the United States due to human activity, the Trump administration on Friday published a proposed industry-friendly relaxation of a century-old treaty that protects more than 1,000 avian species.
- Hundreds of Thousands of Migratory Birds 'Falling Out of the Sky' in ... ›
- Scientists at Work: Sloshing Through Marshes To See How Birds ... ›
Many people shop online for everything from clothes to appliances. If they do not like the product, they simply return it. But there's an environmental cost to returns.
- Are We Doomed If We Don't Curb Carbon Emissions by 2030 ... ›
- California Winery Cuts Carbon Emissions With Lighter Bottles ... ›
- Wealthy One Percent Are Producing More Carbon Emissions Than ... ›
By Dolf Gielen and Morgan Bazilian
John Kerry helped bring the world into the Paris climate agreement and expanded America's reputation as a climate leader. That reputation is now in tatters, and President-elect Joe Biden is asking Kerry to rebuild it again – this time as U.S. climate envoy.
Energy Is at the Center of the Climate Challenge<p>The <a href="https://science2017.globalchange.gov/chapter/1/" target="_blank">effects of climate change</a> are already evident across the globe, from <a href="https://theconversation.com/100-degrees-in-siberia-5-ways-the-extreme-arctic-heat-wave-follows-a-disturbing-pattern-141442" target="_blank">extreme heat waves</a> to <a href="https://science2017.globalchange.gov/chapter/12/" target="_blank">sea level rise</a>. But while the challenge is daunting, there is hope. Solar and wind power have become the <a href="https://www.irena.org/publications/2020/Jun/Renewable-Power-Costs-in-2019" target="_blank">cheapest forms of power generation globally</a>, and technology progress and innovation continue apace to support a transition to clean energy.</p><p>In the U.S. under a Biden administration, long-term national climate legislation will depend on who controls the Senate, and that won't be clear until after two run-off elections in Georgia in January.</p><p>But there is no shortage of <a href="https://www.bloomberg.com/features/2020-biden-climate-change-advice/" target="_blank">ideas for ways Biden</a> could still take action even if his proposals are blocked in Congress. For example, he could use executive orders and direct government agencies to tighten regulations on greenhouse gas emissions; increase research and development in clean energy technologies; and empower states to exceed national standards, <a href="https://www.reuters.com/article/us-autos-emissions-california/defying-trump-california-locks-in-vehicle-emission-deals-with-major-automakers-idUSKCN25D2CH" target="_blank" rel="noopener noreferrer">as California did in the past with auto emission standards</a>. A focus on a just and equitable transition for communities and people affected by the decline of fossil fuels will also be key to creating a sustainable transition.</p><p>The U.S. position as the world's largest oil and gas producer and consumer creates political challenges for any administration. U.S. forays into European energy security are often treated with suspicion. Recently, France blocked <a href="https://www.wsj.com/articles/frances-engie-backs-out-of-u-s-lng-deal-11604435609" target="_blank">a multi-billion dollar contract</a> to buy U.S. liquefied natural gas because of concerns about limited emissions regulations in Texas.</p><p>Strengthening cooperation and partnerships with like-minded countries will be critical to bring about a transition to cleaner energy as well as sustainability in agriculture, forestry, water and other sectors of the global economy.</p>
Creating a Global Sustainable Transition<p>How the world recovers from COVID-19's economic damage could help drive a lasting shift in the global energy mix.</p><p>Nearly one-third of Europe's US$2 trillion economic relief package <a href="https://www.bloomberg.com/news/articles/2020-07-21/eu-approves-biggest-green-stimulus-in-history-with-572-billion-plan" target="_blank" rel="noopener noreferrer">involves investments that are also good for the climate</a>. The European Union is also strengthening its 2030 climate targets, though each country's energy and climate plans will be critical for successfully implementing them. The <a href="https://joebiden.com/clean-energy/" target="_blank" rel="noopener noreferrer">Biden plan</a> – including a $2 trillion commitment to developing sustainable energy and infrastructure – is aligned with a global energy transition, but its implementation is also uncertain.</p><p>Once Biden takes office, Kerry will be joining ongoing <a href="https://www.un.org/en/conferences/energy2021/about#:%7E:text=The%20overarching%20goal%20of%20the,2030%20Agenda%20for%20Sustainable%20Development.&text=Accelerate%20delivery%20of%20United%20Nations,related%20issues%20at%20all%20levels." target="_blank" rel="noopener noreferrer">high-level discussions on the energy transition</a> at the U.N. General Assembly and other gatherings of international leaders. With the U.S. no longer obstructing work on climate issues, the G-7 and G-20 have more potential for progress on energy and climate.</p><p>Lots of technical details still need to be worked out, including international trade frameworks and standards that can help countries lower greenhouse gas emissions enough to keep global warming in check. <a href="https://www.carbonpricingleadership.org/what" target="_blank" rel="noopener noreferrer">Carbon pricing</a> and <a href="https://www.csis.org/analysis/how-can-europe-get-carbon-border-adjustment-right" target="_blank" rel="noopener noreferrer">carbon border adjustment taxes</a>, which create incentive for companies to reduce emissions, may be part of it. A consistent and comprehensive set of national energy transition plans will also be needed.</p><p>The global shift to <a href="https://www.irena.org/publications/2019/Jan/A-New-World-The-Geopolitics-of-the-Energy-Transformation" target="_blank">clean energy will also have geopolitical implications for countries and regions</a>, and this will have a profound impact on wider international relations. Kerry, with his experience as secretary of state in the Obama administration, and Biden's plan to make the climate envoy position part of the National Security Council, may help mend these relations. In doing so, the U.S. may again join the wider community of countries willing to lead.</p>
- 14 States On Track to Meet Paris Targets - EcoWatch ›
- Biden Vows to Ax Keystone XL if Elected - EcoWatch ›
- Biden Names John Kerry as First-Ever Climate Envoy - EcoWatch ›