The government of Chile recently announced that it is set to use ethereum’s blockchain to track energy data or rather record statistics from the energy sector. The Ministry of Energy through the National Energy Commission said it was going to commit data to the public ethereum ledger so as to increase the level of security in the country and also restore confidence on public information.
The teasing project was conducted in February 2018 where the National Energy Commission said that it was going to integrate fuel prices, market prices, and marginal costs with renewable energy directly from blockchain.
The main reason why the commission took another approach was due to the fact that databases were being manipulated and also hacked. The approach that would help it was to go the ethereum way so as to help distributing records among large nodes.
Plans are already underway as to needs to be done but the commission has already gone further and committed certain portions of data to blockchain. Other important information that have been included: marginal costs, information on the installed electricity-generating capacity, hydrocarbon prices and compliance with the laws.
This is the first stage of the phase that has been commissioned by the National Energy Commission will study the results and thereby share them with other governmental bodies and companies or any interested party. Chile’s energy minister Susana Jimenez had the following to say:
“We are interested in taking this technology from a conceptual level to a concrete case, understanding that it’s considered to be the most disruptive technology of the last decade by world-class experts, and that it could part of day-to-day life in the next few years.”
Problems being faced
One big problem being faced by the government of Chile is the lack of transparency in their current system. With the entrance of blockchain technology, the government is hopeful that it will be able to certify all information that they provide in open data portal and to ascertain that it has not been altered.
The National Energy Commission of Chile executive secretary Mr. Andres Romero announced the following:
“The National Energy Commission has decided to join this innovative technology and we have decided to use blockchain as a digital notary, which will allow us to certify that the information we provide in the open data portal has not been altered or modified and left an unalterable record of its existence.”
How will the project work?
The main of the pilot project is to boost issues such as security of data relating to the energy sector and accuracy. The trial of this phase will require the National Energy Commission employees to take datasets from an existing platform called Energia Abierta.
The software is then used to verify the accuracy of the data then the data is hashed and then recorded using ethereum’s blockchain. This will then make it easy for members of the public to be able to access data through the public GUIs.
This is indeed a great step in the distributed ledger technology and helps to provide security and transparency.
There is light at the end of the tunnel
The ministry of Energy has high hopes on the pilot project that will help minimize any forms of hacks that may take place and any form of data manipulation. These reports already indicate the interest that Chile has on blockchain technology and it will be interesting to see how things develop and if they would be willing to diversify this technology to other forms of the government.
The commission’s decision to use blockchain technology such as ethereum is bold move that they made and will help in regulating the Energy sector.