Transactive energy is, according to the Gridwise Architecture Council:

“A system of economic and control mechanisms that allows the dynamic balance of supply and demand across the entire electrical infrastructure using value as a key operational parameter”

It is a sad indictment of humankind that we always seem to feel the need for an adversarial approach to life, particularly when it includes the future of our planet.   

We all recognise that there is an urgent need to develop a sustainable energy system, no longer dependent on finite fossil fuels. Given that, one might imagine that we would all be seeking the optimum solutions for each and every energy need, instead of insisting that our personally preferred technology should be used for every application.   

Delta-EE has been looking at blockchain for a while now but, despite the hype, has so far found little evidence that it is making any significant contribution to new energy.  

So why is there so much hype around blockchain?

Last week I wrote about the opportunity for energy communities to fund the green transition, based on the belief that there is a vast amount of consumer savings just waiting to be tapped into.   

A lot has happened since then. 

“Black Start” is the process by which the National Electricity Transmission System (NETS) would be recovered following a total system collapse. This is a not uncommon occurrence in some regions of the world but thankfully) unheard of in the UK; that does not mean we should not plan for such an eventuality.

However, the current approach, which requires the constant availability of a thermal plant on hot standby, is costly in both environmental and financial terms (around £50 million annually).

Energy is becoming more distributed and localised. We’re seeing the emergence of local energy communities, Microgrids and a whole plethora of potentially disruptive business models. To some this represents a challenge to their core business, to others it promises exciting new opportunities.

Today’s Distribution System Operators may fear the threat of grid defection. Even if there remain substantial income generating assets, these may become under-utilised and incrementally less profitable as new entrants cherry-pick the more profitable parts.