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Shell moves to the UK

The multinational oil giant Shell has sparked a political skirmish over the site of its headquarters after declaring it would shift to London abandoning “Royal Dutch” from its name in a corporate overhaul that has infuriated the Netherlands.

“Royal Dutch Shell” being a name the company had retained for 130 years.

Upon learning that Shell was relocating its headquarters from The Hague to the UK, Stef Blok, the Minister of Economic Affairs of the Netherlands, tweeted about the issue.”We are unpleasantly surprised by this. The cabinet deeply regrets this intention”. 

Shell will forage for shareholder’s approval for the reposition of its tax residence from the Netherlands to the UK, as well as cast aside its dual-class share structure for a single-class share structure, which will boost shareholder payouts not only in terms of speed but also flexibility. 

As a result of these changes, Shell is boosting its competitiveness while accelerating shareholder distributions and delivering its long-term strategy of becoming an emissions-free business. 

The goal being to slash its emissions by 2030. The instigation of this was due to a Dutch court ordering in April stating that the largest carbon emitter should reduce its emissions by 45% by 2030. This was hailed as a huge victory for climate activists. 

According to Shell, it will keep many of its divisions in The Hague, especially those dealing with technology and renewable energy.

In addition Shell has been in confrontation with Dutch authorities for quite some time over the country’s 15% dividend withholding tax on some of its shares. As a result, Shell’s shares are less attractive to international buyers. 

Furthermore, the country’s largest pension fund announced in October that it would cease investing in fossil fuel companies. However, the company will continue to list shares in Amsterdam along with London and New York.

Having cut its dividend, Shell has reduced its dividend payout for the first time since the Second World War. 

In July of last year, the company’s chief executive hinted that it might move its headquarters to the UK. At that time, two other large Dutch-English companies had already set an example. 

Unilever, a consumer goods giant, merged its Dutch and British subsidiaries in June last year to become a solely British corporation. 

This consists of UK-based Unilever plc and Netherlands-based Unilever NV – into a single company with British headquarters with the Dutch government having expressed dissatisfaction with the move. 

In Unilever’s case – and, it is presumed, in Shell’s case – the 15% withholding tax charged by the Dutch government on dividends paid by domiciled companies was one factor.

Although it may appear that this alteration may seem brash, it is the climax of a 10 year long undertaking (investors have been stipulating this for years). 

During his remarks, Sir Andrew Mackenzie, the chairman, noted: “At a time of unprecedented change for the industry, it’s even more imperative that we have an increased ability to accelerate the transition to a lower-carbon global energy system. 

 A simpler structure will enable Shell to speed up the delivery of its Powering Progress strategy, while creating value for our shareholders, customers and wider society.

gas boiler ban, gas hob

How to prepare for the 2035 gas boiler ban

Bright Utilities, Commercial Energy Services, business electricity

So what is the 2035 gas boiler ban, and how can you prepare?

As ambitious as it may seem, the government’s plans to reduce carbon emissions in the UK to zero by 2050 would make for a greener, cleaner country. One huge contribution to this will be the banning on gas boiler sales as of 2035. These plans would see an incredible 78% reduction on emissions from 1990.

Carbon Emissions are a worldwide problem, but it is the responsibility of the country to make a collective effort in improving the issue with our future generations in mind.

What does the boiler ban mean for me?

The term ‘Boiler Ban’ can have its misinterpretations. If you own property that uses a boiler, you won’t have to legally get rid of your boiler in 2035. It is the sale and installation of boilers that will be banned. This includes new builds too. So don’t worry about having to reinstall a new energy system into your home if you’re not in the best position to do so.

In saying this, you can expect the government to roll out incentives and funding to push property owners to make the switch in coming years. Find more information on these below:

Renewable Heat Incentive

Even at this early stage, incentives are being put in place for property owners who switch to renewable energy sources. Providing you stay within their requirements, you can actually earn money for the amount of renewable energy that you produce. You can calculate how much you could earn here.

 

gas boiler ban, gas hob
Government Energy Grants

There is support available for property owners who may struggle in one way or another to efficiently heat their premises. Carbon footprint reduction is kept in mind within these grants. These grants include free insulation and more installations which will help you save on energy. Many suppliers offer these grants, even more so than the government do.

What are the alternatives to a gas boiler?

Electric heating

By switching to electric, you will transfer your gas consumption over to your electricity. This obviously means higher electricity bills, but the overall cost of electric heating can be cheaper in the long run. Also be sure to factor in your installation fees. However, this of course is a fantastic way to prepare for the 2035 gas boiler ban.

Heat pumps

Probably the most eco-friendly alternative option is the heat pump. This involves installing a condenser outside of your property, which gathers heat from the air or the ground (depending on your type of heat pump) and compresses it into hot air to heat up your property. Installation fees can surpass £10,000 and requires you to have space for the condenser unit. But as the heat is sourced from the environment, it is the best way to make use of the renewable energy that the world has to offer. You may find that your bills are reduced in the long run too.

District heating

District heating involves the mass heating of properties in a vastly populated area. This includes flat blocks or industrial estates. Having just one main source of energy makes consumption rates easier to manage and can result in cheaper energy bills. Huge heat pumps are usually used for this.

Conclusion

With plenty of alternative options available these days, from solar power to heat pumps, it might be wise to make the fuel switch sooner than later. Whether you run a business or own a home, getting one step ahead of the Governments push to reach this goal in 2035 comes with its advantages. With gas prices currently at a record high off the back of the pandemic, switching now will result in you avoiding these increasing rates. While the initial costs of switching (such as installation fees) may seem a fairly large amount, you will likely benefit in the long run when you see your reduced energy bills every month. It’s very much a worthwhile investment, especially since the 2035 gas boiler ban isn’t as far off as you might think it is.

We are Bright Utilities and are here to help

If you wish to switch to a more environmentally friendly supplier, then we are here to help. Get in touch with us here at Bright Utilities. As a broker we will act on behalf of you to secure the best deal for you.

Securing the most cost-effective electricity contract for your business can be far from straight forward. This is due to the numerous additional charges recently introduced and the various length of the contracts available. Using an energy broker can alleviate these issues, especially one which has established a long-term relationship with a wide range of suppliers. This means they can provide a range of options and offer expert advice on the contract most suited to you.

If your current electricity supplier has given you a high-priced renewal, get in touch with Bright Utilities before going ahead with the renewal. Moreover, having an experienced broker like us in your corner could help you negotiate a much better business electricity deal. We will also even handle every last detail of switch business energy supplier. From all the paperwork to negotiating with electricity suppliers, the whole aim is to save your business money and get the best energy deal for your business electricity.

A few details

Before we start, grab a copy of your latest business energy bill. Make a note of your supplier and the amount of energy you use.

Compare in 60 seconds

Compare prices in 60 seconds with our smart online quick quote with over 30 suppliers on our panel.

Confirm and save

Once you confirm, we'll notify your new supplier for you. Leaving you free to run your business and enjoy the saving.

Our suppliers

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Save an average of 40%

gas pumps, thermostat

Introducing heat pumps: the eco-friendly alternative to gas boilers

Bright Utilities, Commercial Energy Services, business electricity

Renewable energy is all the rage these days, particularly for businesses. Environmentally conscious ethics within your business structure is a great trait to have with regards to corporate image, and will only grow in importance over time. As recent news suggests, the prices of gas is surging to record highs as 2021 Winter fast approaches. Now could be the very best time to invest in a cheaper, more eco-friendly alternative to the gas boiler – the heat pump.

What is a heat pump?

The heat pump allows you to generate your own heat, as it takes the air from outside your premises, and compresses it in order to make it warmer. While it requires electricity in order to run, it is designed to use less electricity than a boiler uses gas – making for a cheaper and greener way to heat up your home or office. There are various different types of heat pumps that serve different means. You have the air source heat pump that warms up the air, (as described above) and the air to water heat pump, which is used to heat up your water. You can also reverse this to cool down the air and water within your property.

The heat pump hasn’t received as much coverage as it deserves in recent times, such is the sweeping popularity that the boiler holds over UK businesses and homes. As heat pumps utilise outside air, you may have concerns that they will not perform as well in colder weather. Fear not though, as they also operate just as well in winter months, and function perfectly well into the minuses.

 

Advantages and Disadvantages

Good

  • Energy efficient and a great way to reduce your carbon footprint.
  • Government plans are in place to phase out gas heating, so you would be one step ahead by installing a heat pump.
  • You can actually earn money on the renewable energy that you produce through fuel saving incentives.

Bad

  • They can be more expensive to install than boilers, ranging from £9,000-£11,000 in costs, not including the cost of upgrading radiators and other appliances to handle the hardware. Saying that, you may save money on your overall energy bill, which could pay you back in the long run.
  • They require you to make space outside of your premises for a condenser unit.
  • Can take longer to heat up.

Costs of a heat pump

Costs can vary for the installation and running of your heat pump. They usually relate to a number of factors including how warm you want your home to be, how big your home is, and what insulation measures that you already have in place. Also, the better that your property is insulated, the more it will be able to retain the heat for longer inside the premises. Research shows that you could save up to £1,300 per year on your energy bills.

Other considerations

When looking to install a heat pump, it is important to bare in mind that you will need space outside of your property for a condenser system to fit. They are typically rectangular boxes that stand 2-3 feet high and about 6 inches wide. The fan inside of the heat pump can also cause quite a lot of noise so bare that in mind if it is near an office or bedroom.

Where can I get a heat pump?

Many suppliers offer heat pumps nowadays in a bid to prepare for the gas boiler ban in 2035. If your current supplier doesn’t have them available, then switching to a supplier that does has never been easier. Especially if you go through us here at Bright Utilities.

We will act on your behalf to negotiate the best deal on the market for a supplier that offers heat pumps as part of their service.

We understand that time is precious, which is why we’ve created our quick and easy online business comparison website, to help you compare the best commercial energy services on the market.

This offers a straightforward solution to acquiring the cheapest and most competitive quotes available today.

Bright Utilities will allow you to swap commercial energy supplier within a matter of seconds without any human interaction…of course if you’d like human interaction you just need to ask. Start a quote today!

Businesses use more energy than the average household, and so providing for energy costs can eat significantly into a company’s overheads. Businesses also require specialist customer support. If the power goes out at an office or an off-licence, it will directly impact on what work can be done and business costs.

Energy rates are constantly changing, so companies should regularly compare business energy rates and switch to the best possible deals. Suppliers are no longer allowed to lock businesses into automatic rollover contracts, where they cannot charge exit fees or include a sneaky no-exit clause. It has never been easier to switch business energy supplier.

Switch in 3 simple steps

A few details

Before we start, grab a copy of your latest business energy bill. Make a note of your supplier and the amount of energy you use.

Compare in 60 seconds

Compare prices in 60 seconds with our smart online quick quote with over 30 suppliers on our panel.

Confirm and save

Once you confirm, we'll notify your new supplier for you. Leaving you free to run your business and enjoy the saving.

Our suppliers

Compare now!

Save an average of 40%

energy broker

How to avoid being overcharged by energy suppliers

Bright Utilities, Commercial Energy Services, business electricity

Are you sick of being overcharged by energy suppliers?

Many energy suppliers out there see you as nothing more than a commodity. Your personal and financial situation therefore mean nothing to them. They are only in it to get as much money out of you as they can. We are however, here to help you avoid falling foul to extortionate suppliers, and also to help you with finding the best deals for you and your situation. Because whether you are a business owner or a homeowner, you have worked hard to get to where you are. And no one deserves to be overcharged by energy suppliers.

Recent newsreels report that some suppliers are fleecing their hard working customers out of up to £700 more than what they could be paying. They do this by locking uneducated customers into one or two year deals. They are then made to seem complicated to get out of, when they aren’t. Energy regulators Ofgem introduced a price cap in order to protect customers. They however, appear to have been disregarded by said companies. It isn’t just unknown providers who do this either, but some of your most popular names.

This poses the question as to just who can you trust in the energy supplier market? The stark truth is that the number is minimal. Unfortunately, most people in the industry are looking to make a quick buck. So it is important for you as a customer to have your wits about you, and maybe even take matters into your own hands if needs be. If you’re unsure how to do that, then continue reading this guide on how to avoid being overcharged by energy suppliers.

Gather proof of energy readings

First things first – it is important to identify exactly where and how you are being overcharged by energy suppliers. This is so that you have concrete information should there be any dispute between yourself and any overly challenging supplier. This can be done by reading your energy meter, and relating your consumption figures to average costs. This also rules out any guess work as to just how much energy you tend to use within your household or business premises. So they are unable to claim they are charging off of estimates. You can easily submit your energy readings online to most functionable suppliers.

In saying this, if you have a smart meter installed. This takes your readings and automatically informs your supplier, which minimises your efforts. While still providing concrete evidence of your energy consumption. It is expected that the vast majority of homes and establishments in the UK will have a smart meter by 2025. They are freely available online from many reputable energy companies.

Question your high bills

If you get a bill through the door that is a little higher than average, yet you haven’t done anything noticeably different, then it is time to start issuing queries. Contacting your supplier and asking why you have been charged more can sometimes give you a reasonable answer. They can pinpoint exactly why you have been charged more. It can sometimes be an honest misreading on their behalf which they are happy to correct.

But sometimes the answers can be vague and lines can be blurred. If this is the case, then you can take it further by speaking to higher management, or asking for someone to conduct an audit of your premises to ensure that there are no issues causing excess energy to be lost. If you do choose to pursue this route, then once again, make sure you have your energy readings as evidence! We cannot reiterate the importance of this.

avoid being overcharged by energy suppliers

 

Surf the supplier market regularly

A lot of suppliers rely on the fact that customers don’t take the time to surf the market, and just accept their bills as a given. However, by becoming a little more energy savvy and placing yourself in the know when it comes to energy bills, it will stand you in good stead, especially when negotiating with providers. If it is clear to them that you are well informed within the market, then they won’t try to pull any fast ones.

Switch supplier

One of the clearest actions to take when you are being mistreated by your supplier is quite simply to switch. This is always much more simpler than the supplier may make it seem, with complex forms and jargon which can make you feel bound to the supplier. When you inform your current supplier of your intentions to switch, it is typical of them to back track, and maybe even offer you a reduced bill to keep you on their books. Should this happen, it is up to you whether you wish to stay, but be wary of them significantly increasing the bill over time. If they do it once, they will most likely do it again.

If you have never switched before and would like some assistance, we are here to help. Find more info in the last section of this blog.

We are Bright Utilities and are here to help

If you have found this information helpful and would like any further assistance on your energy bills, then please don’t hesitate to contact us here at Bright Utilities. We can assist with switching providers, making it a smooth and simple process which will avoid all of the potholes mentioned above. Our experts have seen every trick in the book, so you can be rest assured that we will handle your switch with utmost authority and professionalism.

We can help you avoid any disputes as we communicate with all relevant parties on your behalf. Our experts will be sure to have your back every step of the way, and will negotiate a deal with your very best interests in mind. So get in touch by starting a quote today!

 

Switch in 3 simple steps

A few details

Before we start, grab a copy of your latest business energy bill. Make a note of your supplier and the amount of energy you use.

Compare in 60 seconds

Compare prices in 60 seconds with our smart online quick quote with over 30 suppliers on our panel.

Confirm and save

Once you confirm, we'll notify your new supplier for you. Leaving you free to run your business and enjoy the saving.

Our suppliers

Compare now!

Save an average of 40%

lightbulb, how to save energy throughout the year

How to save energy in different seasons of the year

Bright Utilities, Commercial Energy Services, business electricity

Different times of the year call for different measures when it comes to saving as much as possible on your energy bills. From the blistering heights of summer to the freezing depths of winter, here are a few tips on how to adapt your home to deal with the elements while saving as much money on your bill as possible.

Summer

Ice pops, beaches and BBQ’s mean that we spend the most time outside during the glorious summer months, so don’t use as much energy indoors. Longer days also means that we don’t use our lights as much. In saying that, we use our energy up in different ways. Air conditioning and electric fans are big consumers of electricity in Summer. One way to counteract this is by attempting to prevent the heat from entering your premises. This can be done by sealing up any gaps in your building. This makes sure that the cool air stays in, and the hot air out. Battery powered fans may be a good option instead of using up your internal electricity. You can buy battery multi packs on the cheap from any of your favourite local pound shops.

So when the first day of summer rolls around (June 21st), you now know how to save some pocket money for cocktails on the beach.

Autumn

Autumn is the middle ground where Summer starts to roll out and little hints of Winter begin to come around. The leaves fall off the trees, and you might begin to dig out your jumpers and big coats as you start to feel that noticeable chill in the air. That leads us to our first tip for saving in Autumn – making use of those woolly jumpers and blankets that you have neglected throughout the Summer months. If we are treated to the odd bit of sun, it is likely that the temperatures will still be fairly mild, so you could benefit from opening blinds and letting your sunlight into the house or office to make use of the heat, courtesy of mother nature.

Apply these tips and the leaves won’t be the only thing falling in Autumn, but your energy bill too!

Winter

Out of all seasons of the year, it is no surprise that winter demands the highest energy consumption rates, as temperatures plummet and homeowners/businesses across the nation ramp up their heating. Darker evenings also mean that more indoor lighting is required, thus further sapping electricity costs. It also costs more to use energy in winter, as demand for delivery means that the tax goes up.

Apparently, for every 1 degree that you turn down, you can save around 2.5% on your energy bill in Winter months. It is worth experimenting to see what temperature you are comfortable with, and trying not to exceed that limit. One that may not need repeating but is still extremely important, is to keep all doors shut as you pass through your office or home.

Have you ever thought about triple glazing? They’re like double glazing, but the extra layer gives out even less heat and noise within the premises. This is great for the winter chills (and maybe noisy Christmas parties).

Spring

As Winter fades, and you begin to start seeing a bit of light upon leaving work, it means that your energy bill will hopefully begin to reduce again. When you begin to notice these changes, it is time to once again switch up your energy saving habits.

While your premises will have likely been sealed shut for the past few months, it may now be time for you to open your windows again and embrace the fresh air. You might still have your fair share of crisp days as the winter cold says its goodbyes for another year, but you will naturally find yourself opening your windows more. As signs of summer start to shine through, then its time to get outside, invite some friends round and dust off your BBQ. Not only will this be the first sign of summery months, but will also save energy usually used when cooking indoors. Be sure to cook enough leftovers to last you a few more days to really reap the benefits!

Conclusion

So now that you know how to make the most of your energy no matter what time of the year, you’ll never be short of a quick cost effective tip on how to solve a temperature problem in the office or at home. In saying that, while all of this can hugely benefit what you pay, there is a chance that you may be paying over the odds for your energy bills for no other reason than your provider charging you too much – in spite of all of your energy saving efforts. So if you think that this may be the case, why not visit us here at Bright Utilities where we can help you switch provider easily?

We understand that time is precious, which is why we’ve created our quick and easy online business comparison website, to help you compare the best commercial energy services on the market.

This offers a straightforward solution to acquiring the cheapest and most competitive quotes available today.

Bright Utilities will allow you to swap commercial energy supplier within a matter of seconds without any human interaction…of course if you’d like human interaction you just need to ask. Start a quote today.

Switch in 3 simple steps

A few details

Before we start, grab a copy of your latest business energy bill. Make a note of your supplier and the amount of energy you use.

Compare in 60 seconds

Compare prices in 60 seconds with our smart online quick quote with over 30 suppliers on our panel.

Confirm and save

Once you confirm, we'll notify your new supplier for you. Leaving you free to run your business and enjoy the saving.

Our suppliers

Compare now!

Save an average of 40%

Business Energy Price Rise 2021

Business energy prices could rise in the coming months. But not to worry. Because at Bright Utilities we know how to save yourself precious funds that could be spent elsewhere within your business. However, first of all it is important to know exactly why energy prices are set to rise this year.

Why Are Prices Going to Increase?

  1. Wholesale Price Increases – Due to the covid-19 pandemic the demand for energy has decreased. Which you can imagine is not great for energy companies. However, as the demand has starting to rise again. So have gas prices. Electricity prices have also started to rise. This is simply because compared to 2020 there has been fewer electricity supplies that are predictable. Which in turn has caused an increase in electricity prices. 

2.Costs For Suppliers Have Risen – Distribution costs for suppliers have risen which means costs have now passed on to the customer. This accompanied with the fact that energy suppliers in the UK have had a levy put in place which states that they must source a portion of their energy from renewable sources, such as wind turbine farms or hydro-electric energy.

3. Inflation – According to the Guardian since April the UK has doubled inflation. Which means that energy prices amongst other commodities are set to rise. 

 

What You Can Do To Save Money

There are a number of ways in which you can reduce your business energy consumption and save yourself money.

 1. Turning off equipment this is the easiest and most obvious way in which you can reduce your energy consumption is to ask staff to turn off equipment when they aren’t using it. Of course this rule should be followed by yourself too.

2. Installing lighting timers – is also a brilliant way to reduce your business energy consumption. These automatic lights will help you save money by switching themselves off when no movement is detected. Allowing you to rest easy knowing people within your business are only using energy from lightbulbs when needed. 

3. Cutting Down Your Water Usage – This is a crucial step in reducing the energy consumption within your business and should not be ignored. A lot of businesses can overlook how much water they actually use. Depending on the type of your business, the savings could be absolutely massive. Installing low-flow taps into employee bathrooms and kitchens could reduce water consumption greatly. Bright Utilities can help you reduce your cost further.

4. Don’t heat unused areas – Again this is a pretty obvious way to reduce energy consumption. Although sometimes it is easy to overlook things like this when your day is spent trying to get your business to run smoothly. Only using heating in necessary areas and you will find that your energy bill will have decreased, making you massive savings over a prolonged period of time.

5. Switch To Energy Efficient lights  – Although LED lights can be expensive as an initial investment. The savings you will make over time will be phenomenal. According to the government businesses can save up to 80% on their lighting bills by making the switch to LED over traditional lighting. 

6. Turn the heating down – Lowering the temperature of your workplace by even 1 degree can actually help you trim down your energy usage by 8%. 

7. 

energy broker

5 Reasons To Use A Energy Broker

Bright Utilities, Commercial Energy Services, business electricity

At Bright Utilities, we understand that as a business owner your time is precious, therefore scouring the internet for hours on end trying to find the best business energy deal, doesn’t exactly sound attractive to most. Which is where a skilled and experience broker comes in. Why spend all that time trying to find a good deal when a broker can find a much better deal you didn’t even know existed? Here I will go over 5 fantastic reasons why you should be using a business energy broker to find the best deal for you.

Knowledge

Business energy brokers have vital knowledge about the business energy industry, which of course can help customers get the best deal possible since they have access to the most competitive business energy prices. Paired with strong negotiation skills. 

You'll Get The Help You Need In The Future

Just because you’ve switched energy supplier, doesn’t mean that your relationship with your business energy broker has to stop there. Any decent broker will still be there to help once your contract is complete. And if you have a skilled broker that you can trust. You could rest easy knowing they’re doing everything they can to save you money.

Independence

A fantastic reason to choose a business energy broker is simply because they are completely impartial, the only thing they are there to do. Is to get you the best deal possible. Therefore you can trust the deals that they offer. Because at the end of the day, if you are happy, then so is the broker. Especially if they are not directly linked to a specific supplier. 

energy broker

Lowering Prices

Business energy brokers are one of the sole reasons that energy companies compete with each other on price. This is because a broker will have access to all of the best deals on the market and energy companies understand that a major factor in peoples decisions when it comes to their energy supplier. Is price. Therefore in order to stay competitive, energy suppliers must keep their prices as low as possible.

Discounts

If you’re interested in making massive savings on your business energy bill. Then look no further. At Bright Utilities we have a number of highly skilled brokers who can get the best deal for you and your business. 

Interested?

As previously mentioned. Business energy brokers can find the best deal for you. Usually do to their in depth knowledge of the industry as well as having access to knowledge and tools that isn’t so easy for customers to obtain. Such as discounts and offers than certain companies provide, that may only be running for a certain period of time.

Switch in 3 simple steps

A few details

Before we start, grab a copy of your latest business energy bill. Make a note of your supplier and the amount of energy you use.

Compare in 60 seconds

Compare prices in 60 seconds with our smart online quick quote with over 30 suppliers on our panel.

Confirm and save

Once you confirm, we'll notify your new supplier for you. Leaving you free to run your business and enjoy the saving.

Our suppliers

Compare now!

Save an average of 40%

Blockchain And The Energy Industry, What Does This Mean?

blockchain

What Is Blockchain?

In order to be able to understand the impact that blockchain can have on the energy. It is important to know what blockchain actually is. 

In short. Blockchain is a type of database that collects information together in what could be considered groups. More commonly referred to as blocks. These blocks are used to contain little bits of information, and once a single block has filled its storage capacity it will be linked to the previous block. Which as you can imagine would visually look like some sort of chain. Hence the term “blockchain”.

The blockchain is different to a traditional database. Because it stores information in blocks instead of having to be stored on servers which can be compiled of hundreds of powerful computers.

 

Energy Communities

An Energy Community is a new concept that has appeared across Europe in recent years. In short, an Energy Community is

“an association, a cooperative, a partnership, a non-profit organisation or other legal entity that is controlled by local shareholders or members. Rather than being profit-driven, involved in decentralized generation and the activities of a distribution system operator, supplier or aggregator at the local level, including beyond its borders.”

What is brilliant about these communities is that it can create a local market. Which benefits people at a local level. Simply because of the optimisation of the supply as well as the demand. These groups are referred to as “prosumers” (consumer & producer).

Blockchain And Peer To Peer Energy Transactions

Deloitte has published a fascinating report detailing the uses of blockchain within the energy sector.  

The report details how the system which is currently dominated by energy suppliers. But now thanks to blockchain technologies, we could start to see a shift in power and could now see consumers producing energy themselves. 

The report also details how prosumers could use peer to peer trading on the blockchain, and due to the blockchain being decentralised and transparent. This removes the worry of manipulation that can occur on different kinds of databases. 

Solar panels and home wind turbines are becoming evermore popular across the globe. As is cryptocurrency trading. Therefore with the increase in use of both of these assets, we could soon be seeing a sharp rise in customers who actually produce their own energy, much like a small scale power station as users will be able to sell and buy excess energy from their peers on the blockchain.

Blockchain And Utility Providers

Although it is not just consumers catching onto blockchain technologies. Many energy companies are in fact trying to improve their services by using blockchain technologies. 

A serious benefit of using blockchain within the energy industry is that a lot of energy companies are far more willing to share information with each other. Especially regarding technologies which could be mutually beneficial. Because unlike banks and other industries, energy companies don’t tend to compete with each other in the same way. 

Energy companies could use blockchains to create an easier system in regards of transferring data. The easier this process is, the easier the distribution process will be.

New Ways To Pay For Your Energy

Blockchain technology enables the existence of cryptocurrencies. Which is why if the energy sector is being revolutionised with blockchain technology, why can’t how we pay for our energy be revolutionised too? There are already some places in the world allowing their citizens to purchase their energy through monetary payments using cryptocurrencies. Such as Bitcoin. Marubeni Corporation in Japan is a company who allows these kinds of payments in certain regions of the country. However, we can soon expect the rest of the country, and the world. To follow suit.

Another fantastic example of blockchain technology being implemented for energy payments across the world is a company called Bankymoon, partnered with Usizo, who are providing bitcoin smart meters in rural areas. Paying for energy in South Africa, especially rural areas. Is paid for upfront. Therefore if your energy runs out, there is no electronic or easy way for you to get energy for your home. Which is where these bitcoin smart meters come in to play. Allowing foreign donors to send money directly to the smart meters using blockchain technology, which is a fantastic solution to the previously mentioned problem. 

Should You Trust Blockchain Technology?

Any form of new technology can make people untrustworthy, therefore it is completely understandable as to why people might be sceptical of blockchain technology and cryptocurrencies in general. Due to the nature of blockchains, parties do not have to rely on each other to uphold the honesty of a transaction. This is because these computer protocols are designed to automatically execute the terms of a contract between two parties without outside human interaction. Therefore these transactions could be considered much safer than how a lot of business transactions are conducted today.

The transparency of the blockchain is also a massive benefit, as any transaction and or block. Is freely accessible and readable to anyone. Which in turn allows anyone to confirm the legitimacy of said transactions. 

The Benefits Of Blockchain Within The Energy Sector

Conclusion

To conclude. Blockchain technology is a fantastic tool that can help improve many different sectors across the globe. Although due to the nature of the energy industry, these technological advancements are much more exciting within this space. as well as this. It can help less fortunate people in ways that haven’t been possible before. As well as helping to create more self reliant communities like we are starting to see across Europe. These technologies can help improve the legitimacy of transactions by making everything on the blockchain available for anyone to read. Which then helps the auditing of transactions. It is safe to say that this is some of the most exciting and helpful technology that we will see in our lifetime

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