Vietnam Electricity to pilot blockchain P2P energy trading
Vietnam Electricity Central Power Corporation (EVNCP) is partnering with Australian blockchain pioneer Powerledger in Vietnam’s first peer-to-peer energy trading project.
In the initial pilot, which is planned to run over six months, Powerledger’s technology will be used by ‘prosumers’ with rooftop solar in Da Nang and Quang Nam provinces in central Vietnam to sell electricity directly to consumers.
The aim is to demonstrate how technology can be used to reduce energy costs with improved price transparency by establishing a local energy market.
Vietnam has become a major producer of solar power – the world’s tenth largest – but this increase in renewables has created imbalances for the grid which has resulted in intermittency issues.
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With the local energy market approach there is a financial incentive to encourage energy usage that aligns with intermittent generation from renewables, increasing the utility and profitability of the renewable assets and reducing the peaks in energy demand.
This in turn should reduce stress and strain on the energy grid with a reduction of curtailment and maintenance efforts as well as increasing resilience.
“As the energy landscape evolves, EVNCPC is committed to exploring new ways to meet our climate goals and the changing needs of our customers,” says company spokesperson Cuong Do Minh.
“This pilot project with Powerledger is a demonstration of that commitment and will help to shape the future of Vietnamese energy in years to come.”.
Dr Jemma Green, Powerledger chairman, says the project should showcase how, with the right technology, issues of intermittency and grid congestion can be overcome whilst still growing renewables.
The trial should also help to design suitable price mechanisms for P2P networks in Vietnam, based on the existing tariff structures and secure blockchain transactions.
The outcomes of the trial will be shared with electricity regulators and policymakers in Vietnam, to inform future decisions about technology-led solutions that enable greater proliferation of renewable energy.
