Blockchain-enabling approaches to promoting the transition to renewables are finding their way into new territories.

On August 25, Australian blockchain company Power Ledger announced the upcoming launch of the Renewable Energy Certificates (RECs) trading market in Thailand and Southeast Asia.

The project is based on the long-standing collaboration between Power Ledger and Thai renewable energy company BCPG. Their closest joint venture dates back to 2018, when they conducted a peer-to-peer trade trial of renewable energies in a central district of Bangkok.

Since then, Power Ledger has worked with BCPG and Thailand Digital Energy Development (TDED) to develop a blockchain-based digital energy platform to drive the introduction of green energy sources in the country.

Building on their successful test in Bangkok, Power Ledger and BCPG plan to leverage the blockchain platform to support the leading REC market spanning the entire region.

BCPG plans to sell its RECs – based on meter readings from the peer-to-peer platform – to the REC market in Southeast Asia. The entire process of issuance, circulation, and withdrawal of certificates is recorded in the blockchain.

REC is a market-based tool designed to provide companies with an economic incentive to generate and consume electricity from green energy sources.

The international REC standard provides a global standard for tracking energy attributes: every REC issued is evidence that 1 MW of renewable energy has been created.

Proponents of REC claim that certification is an effective way to improve sustainability and encourage organizations and governments to meet emission reduction targets.

The key to buying and selling RECs is confidence in trading history and certificate transactions.

“The companies want to make sure they don’t use the REC that they’ve bought and get this deal done quickly,” said Dr. Gemma Green, co-founder and CEO of Power Ledger.

According to Green, blockchain technology can support transparent, secure and verifiable trading in the sector without the need for middlemen to act as middlemen.

Power Ledger has extensively developed blockchain-based tools that support energy trading, renewable asset financing, and more efficient carbon and renewable credit markets.

These tools have been used all over the world in projects in the USA, France, Australia and Japan.

A separate blockchain-based REC platform was created in South Korea last year under the supervision of the country’s science ministry.

Source: CoinTelegraph