Blockchain technology’s key functionalities can be harnessed to address a range of issues in different sectors, such as the energy and natural resources industry.
Some prominent use cases of the technology can be for the purposes of tracking and trading physical materials, and the recording of financial transactions across all energy commodities. The utilities sector, including gas and oil companies in particular, relies on the co-operation of an enormous number of stakeholders within the supply chain, from exploration and extraction, storage and transport to refineries and vendors. Blockchain technology can assist with streamlining data management, settlements and communications processes across the network while shielding commercially sensitive information via cryptographic protections where necessary.
Another potential benefit may be to improve regulatory reporting compliance of energy and resources companies, by providing regulators access to secure, tamper-proof, and up-to-date information.
A more ambitious application lies in the development of an entirely decentralised energy supply system, where, theoretically, smart technology (e.g., smart contracts, meters, and sensor technologies) can facilitate the delivery of power directly from the power grid to the consumer, therefore bypassing the various transmission and distribution intermediaries, while blockchain provides a secure record of the relevant transactions.