Blockchain technology is an innovative method of storing and validating data that permits direct transactions between energy producers and consumers. Transactions are trackable and tamper-proof on distributed systems without the need for centralized monitoring. Thanks to a cryptographic process and distributed storage, the possibility of manipulation is virtually eliminated. In addition, authentication processes guarantee the confidentiality of user data. As an example, the cryptocurrency Bitcoin uses the blockchain process in the financial world.The combination of a microgrid control solution and blockchain technology will make it possible for a provider of photovoltaic systems on the roofs of buildings in Brooklyn to feed its excess electricity back into the existing local grid and receive payments from the purchasers. Preliminary tests of peer-to-peer transactions between neighbors were successfully completed in April 2016. "Just as our partner LO3 Energy we are envisioning tremendous opportunities for the application of the blockchain technology, especially in microgrids with distributed and decentralized energy systems. Its big benefit is, that it permits transparent, efficient trading between multiple participating systems and various stakeholders while taking grid-specific requirements into account", said Thomas Zimmermann, CEO of Siemens' Digital Grid Business Unit. To increase the efficiency of the overall systems, the platform not only manages generated and stored energy, but also handles the consumers' flexibility options. In addition, the combination of TransActive Grid technology from LO3 Energy and microgrid control solutions from Siemens will simplify the temporary standalone operation of heterogeneous microgrids - for example, following a natural disaster - and optimize the use of existing resources within the grid infrastructure. The Brooklyn project thus also fully supports New York State's new energy strategy, "Reforming the Energy Vision" (REV). With the help of this strategy, the state's power supply industry is to be reorganized to increase grid efficiency, minimize the power supply system's susceptibility to environmental disasters, and improve this system's carbon footprint. Based on experience with the pilot project in Brooklyn, Siemens and LO3 Energy intend to implement additional blockchain-based microgrid and Smart City projects to test out various other business models and gain insights about the replicability of solutions on other regions of the world.
This press release is available at http://news.usa.siemens.biz.Siemens AG (Berlin and Munich) is a global technology powerhouse that has stood for engineering excellence, innovation, quality, reliability and internationality for more than 165 years. The company is active in more than 200 countries, focusing on the areas of electrification, automation and digitalization. One of the world's largest producers of energy-efficient, resource-saving technologies, Siemens is a leading supplier of efficient power generation and power transmission solutions and a pioneer in infrastructure solutions as well as automation, drive and software solutions for industry. The company is also a leading provider of medical imaging equipment - such as computed tomography and magnetic resonance imaging systems - and a leader in laboratory diagnostics as well as clinical IT. In fiscal 2016, which ended on September 30, 2016, Siemens generated revenue of €79.6 billion and net income of €5.6 billion. At the end of September 2016, the company had around 351,000 employees worldwide. Further information is available on the Internet at www.siemens.com. LO3 Energy is a technology and business development consulting firm with a focus on emerging decentralized business models and innovative technologies related to energy, cleantech and currency systems. The LO3 team excels at the ideation, architecture, development, prototyping and testing of cutting edge distributed energy, computing and peer-to-peer distributed consensus networks. The company builds tools and develops projects to support and accelerate proliferation of the distributed energy, utilities and computation sharing economy of the future. More information at: www.lo3energy.com.