Today, March 8 European aggregated energy leader Energy2market announced a strategic partnership with blockchain-based renewable energy data and incentive platform. As the announcement suggests, a series of tests of Swytch blockchain protocol was conducted by e2m across its assets in Germany from January 2018. And the results indicate that Swytch platform and its protocol that is designed to verify and track renewable energy production, is ready for the Proof of Concept test - the main purpose of the partnership.
The idea behind Swytch is accelerate the adoption of the renewable energy. It uses ERC20 token to facilitate exchange of production data rights, a Proof-of-Production protocol to verify the data all the way from the source and an open source 'oracle' to collect the data and distribute awards based on the environmental impact. For larger energy producers such approach of tokenized awards poses tangible potential.
We firmly believe that blockchain technology can be used to unlock long-term value for Europe’s renewable energy assets. Today, renewable energies represent 31,5% of the total energy market in Germany but we have a goal of reaching 70% within 2050. Government-based incentive programs can only do so much, and a more dynamic option is needed. Additionally, some countries, like Germany, will begin phasing out their incentive programs in the next few years. We need to prepare for the future and identify new subsidy instruments and trading mechanism.
With Swytch as a partner e2m hopes to learn more about the blockchain platform and diversify its portfolio of existing programs with innovative alternatives. Upon that, Swytch is the kind of non-governmental organisation that can aid subsidizing new and existing assets in the renewable market. Overall, a competitive advantage is the direction e2m is taking with Swytch team-up.
Generating more than 3.5 Gw, e2m is one of the biggest direct marketers of energy in Europe. Swytch’s blockchain system is the only technology tested in gigawatts rather than megawatts allowing us to seamlessly integrate with e2m’s infrastructure. This gives Swytch the unique ability to verify production directly from the source. When compared to existing programs this will drastically reduce administrative costs and open up incentive mechanisms to residential properties which are the key to accelerated adoption of renewables. This positions Swytch as a central player in the global grassroots movement to reduce carbon emissions.
Co-Founder and Managing Director, Swytch