The Indian government will promote renewable energy through a P2P energy trading scheme.

In our previous article, we mentioned the Australian blockchain company Power Ledger, which has reportedly formed a partnership with the local government in India and has started testing a peer-to-peer solar energy trading platform in northern India.

Related Reading: Energy technology introduces blockchain applications in southern Australia

Power Ledger stated that the pilot project was drafted by the utility company UP Power Corporation Limited and the Indian New and Renewable Energy Development Agency, aiming to enable households with solar panels on their roofs to trade energy with their neighbors through a blockchain platform.

Power Ledger has also joined the India Smart Grid Forum (ISGF), a public-private partnership with the Indian government, which will lead the project. Power Ledger co-founder Jemma Green said:

We are working directly with government utilities to trial blockchain solutions in the Indian energy market. Through the pilot project with ISGF in one of India's largest states, we are gaining traction globally.

The first phase of the pilot is expected to be completed by March 2020

Green mentioned that the results of the pilot will help shape regulations and future markets, promoting P2P solar trading throughout the state of Uttar Pradesh. Additionally, the pilot project reflects India's efforts to reduce energy consumption generated from fossil fuels.

According to ISGF Executive Director Reena Suri, households will be able to track energy transactions and address solar surplus trades in real-time through smart contracts executed on the blockchain. P2P solar trading will be made possible through the integration of smart meters with the Power Ledger platform.

On the same day that Power Ledger announced the pilot project, India's Minister of State for Electronics and IT, Sanjay Dhotre, stated that the government is preparing to establish a national-level blockchain framework. Minister Dhotre mentioned in a statement:

The new framework will discuss the potential of distributed ledger technology and the need for shared infrastructure for various use cases to address issues related to blockchain research and adoption by the Indian Parliament Lower House.

Further Reading

• Following China's lead: Indian government announces support for widespread adoption of blockchain technology
• Cardano launches AdaPay, supporting up to 35 fiat currencies

Join now to receive the most comprehensive fintech information, blockchain insights, and industry examples!