Soon the world will see blockchain in the energy sector
Over the past few years, many blockchain projects have been implemented in the world to achieve certain goals in various industries. This reinforces the belief that innovative technologies are really capable of offering something completely new to every industry. One of such organizations that announced a successful trial launch of the blockchain-based project was Repsol. It is an energy company based in Madrid. It used the blockchain platform to improve the quality of the overall safety certification of its products. And, fortunately, the result expected huge success.
Repsol was founded in 1987 and is one of the largest energy corporations. The company operates mainly in the oil and gas industry, which includes discovering and extraction of oil and natural gas. According to the Financial Times, Repsol’s net profit for the first nine months of 2018 was EUR 2.7 billion. This means that it has increased by 37% compared to 2017.
Blockchain in the energy sector
The blockchain project was a joint effort of Repsol Technology Lab (Tech Lab) research center and Finboot blockchain software developer. By the way, the latter is officially part of the Repsol Entrepreneurship Fund. The reason why the company decided to use blockchain technology was to improve the process of certification of petrochemical products and services.
Blockchain solution is expected to allow Repsol to classify and control samples and products throughout its production process. In addition, the company expects that the use of innovation will save up to EUR 400,000 per year due to the reduction in the frequency of errors. Regarding the possibilities of development of the project, Thomas Malango, Manager of Experimental activities of Tech Lab said, that these procedures involving a large number of samples often have to be reworked due to errors in labeling, loss or misinterpretation of data.
He also believes that effective results of tests conducted by the blockchain pilot Repsol can even be provided to other departments. As Malango points out, after the blockchain platform can prove itself, the technology will be expanded to other areas of the oil business, which annually generates trillions of US dollars. Since this is an area that is present at all levels of oil and gas business, it is finance.
Although blockchain is quite popular around the world, it has reached a wider spread in Spain. It is noteworthy that at the same time another Spanish company Iberdrola started to use blockchain software for monitoring renewable energy sources. In the course of the pilot, reportedly also successful, the company tracked renewable energy from a power plant and two wind farms to bank offices, located in the Basque Country and the city of Cordoba. In December, another representative of the ACCIONA Energía sector announced that it is going to launch a blockchain initiative to track electricity production to allow its customers to have a clear an idea of its origin.