The Prosume Platform
The future is PROSUMErs – individual consumers, energy communities, businesses will exchange and sell energy at a cheaper price and in a more sustainable way, maximizing the use of renewable sources locally produced.
Decentralized, decarbonized, digitalized prosumed policy is the only possible future for energy!
This document is a technical whitepaper (the “Whitepaper” or “Paper”) setting out and illustrating the current and future projects (the “Project”) of Prosume Company (“Prosume” or the “Company”) and in connection with the de- velopment of its platform (the “Platform”) to potential token holders in connection with the proposed Prosume token (the “PEF Token” or “Token”).
Unless expressly specified otherwise, the Company, the Project and the Platform set out in this Paper are currently under development and are not currently in deployment. No warranties or representations are made as to the success- ful development or implementation of the Company, the Project and the Platform and of the subjacent technologies and innovations, or achievement of any other activities described in the Paper, and any warranties implied by Law or otherwise, are disclaimed and waived to the extent permitted by Law. No person is entitled to rely on the contents of this Paper or any inferences drawn from it, including in relation to any interactions with Prosume or the technologies mentioned in this Paper.
All liabilities for any loss or damage of whatsoever kind (whether foreseeable or not) which may arise from any person acting on any information and opinions relating to Prosume, the Platform or the Project contained in this Paper or any information which is made available in connection with any further enquiries, notwithstanding any negligence, default or lack of care, are disclaimed and waived.
Certain statements, estimates, information and opinion contained in this Whitepaper constitute forward-looking statements or information. Such forward-looking statements or information involve known and unknown risks and uncertainties which may cause actual events or results to differ materially from the estimates or the results implied or expressed in such forward-looking statements.
The information contained in this Paper derived from data obtained from sources believed to be reliable is given in good faith, but no warranties, guarantees, or representations are made with regard to the accuracy, completeness or suitability of the information presented. It should not be relied upon, and shall not confer rights or remedies upon, you or any of your employees, creditors, or any other person.
Any opinions expressed in this Paper reflect the current judgment of its authors and do not necessarily represent the opinion of Prosume and may change without notice. There is no obligation whatsoever to amend, modify or update this Paper or to otherwise notify a reader or recipient thereof in the event that any matter stated herein, or any opinion, projection, forecast or estimate set forth herein, changes or subsequently becomes inaccurate.
Prosume, its directors, employees, contractors and representatives do not have any responsibility or liability to any person or recipient (whether by reason of negligence, negligent misstatement or otherwise) arising from any state- ment, estimates, opinion or information, expressed or implied, arising out of, contained in or derived from or omission from this Paper. Neither Prosume nor its advisors has independently verified any of the information, including the expectations and projections contained in this Paper.
Each recipient has to rely solely on its own knowledge, investigation, judgment and assessment of the matters which are the subject of this Paper and any information which is made available in connection with any further enquiries and to satisfy itself as to the accuracy and completeness of such matters. It is recommended to obtain advice from experts such as legal or tax advisors.
Whilst every effort is made to ensure that statements of facts made in this Paper are accurate, all estimates, projec- tions, forecasts, prospects, expressions of opinion and other subjective judgments contained in this Paper are based on assumptions considered to be reasonable as of the date of the document in which they are contained and must not be construed as a representation that the matters referred to therein will occur. Any plans, projections or forecasts mentioned in this Whitepaper may not be achieved due to multiple risk factors including, without limitation, defects in technology developments, legal or regulatory exposure, market volatility, sector volatility, corporate actions, or the unavailability of complete and accurate information.
Prosume may provide hyperlinks to websites of entities mentioned in this Paper, however the inclusion of a link does not imply that Prosume endorses, recommends or approves any material on the linked page or accessible from it. Such linked websites are accessed entirely at recipient’s own risk. Prosume does not accept responsibility whatsoever for any such material, nor for consequences of its use.
The Whitepaper, written in English language, is the primary official source of information about the PEF Token. The information contained herein may be translated into other languages or used in the course of written or verbal communications with existing and prospective customers, partners, etc. In the course of such translation or commu- nication some of the information contained herein may be lost, corrupted, or misrepresented and, in any case, the accuracy of such alternative communications cannot be guaranteed. In the event of any conflicts or inconsistencies between such translations and communications and this official English language Whitepaper, the provisions of this English language original Paper shall prevail.
The advent of the blockchain technology has introduced the world of decentralization and is challenging our precon- ceived perspectives of the current social, political, and economic systems. The rapid advancement of this technology has begun to blend the world borders and statute, providing glimpses of an improved, alternative future. Yet, the tech- nology is still at its infancy and is plagued with shortcomings in terms of performance, ease of use, and service quality.
Generally, the majority of blockchain projects place emphasis on their decentralization methodology and lack evidence of adoption in the real world.
2.0 PROSUME Foundation
Company’s Project is aimed to develop a blockchain-based Platform to allow users to buy and sell electricity and gas from renewable and fossil energy sources using smart contracts.
The Platform will deal with many of current issues related to energy sector, like support for regulation frameworks, fair policy pricing and new business models and opportunities.
The Platform aims to be the most reliable energy community dealing with the real Levelized Cost of Electricity (LCE) and b.u.t. (thermal), in order to buy and sell energy with an approach based on:
In particular, the Platform will:
- connect electricity producers (the “Producers”) and consumers (the “Consumers”) to trade and exchange energy in a decentralized on-line market, combining an energy trading platform to a monitoring system;
- provide a decentralized, autonomous, independent and digitized smart marketplace, allowing the trade of different energy sources, as well as promoting and accelerating decarbonization actions;
- maximize the efficiency of fossil fuels, minimizing their impact on our environment.Communities, grid-operators, utility companies and energy services companies’ (the “Operators”) will administer their own local energy platforms using a permissioned blockchain, that can be linked to federated zones.
PEF Tokens will enable Producers and Consumers (collectively, the “Prosumers”) to buy electricity and gas assets delivered by various sources and providers through the Platform.
3.0 PROSUME’s Platform
3.1 Platform Description
The Platform is a blockchain enabling peer-to-peer energy trading platforms to build transactive energy networks into a decentralized energy market, fostering the transition to a new economic model for energy production, distribution and storage.
The Platform will be used by utility companies, grid-operators, system integrators and communities to easily build local ecosystems and on-line marketplaces.
3.2 Platform Functioning
The Platform connects independent Producers, Consumers, innovative utility companies and energy communities in a locally shared market where each peer is free to sell and buy energy in a multi-tenant ecosystem.
The Platform allows Prosumers to directly trade electricity and gas from renewable and fossil energy sources in a market where the final price and quantity are determined by trading algorithms based on auction clearings on the blockchain.
Producers and Consumers will determine the bid and ask price of electricity while the trading algorithms and smart contracts will do the matching and the settlement.
The minimum and maximum prices of electricity are determined by standard contracts as established by local regulators and actual players (DSO/TSO/Utility/Authority).
The Prosume mobile App will provide access to the Platform allowing to choose and match different profile presets for:
- the best offer;
- the most green;
- the most customized;
- the nearest local offer.
Consumers will choose according to their needs, possibilities and ethics.
Producers and Operators will provide offers within their capacity and they will compete with other players on the digitized on-line market.
Producers and Consumers will have to join and register on the platform and trade energy using PEF Tokens.
4.0 Project and Platform Advantages
The Project, using a blockchain-based Platform, is aimed to:
- promote the self-consumption and self-sufficiency of energy, and a local energy storage community process;
- enable independent renewable energy players to sell energy at a fair price (according to the local legislative framework);
- foster Consumers freedom to choose available energy sources;
- enable energy Producers to find new Consumers and develop smarter energy policies and business opportunities using the Platform for market analysis;
- improving the reliability of rural and off-grid areas’ access to energy;
- create transparent transactions through smart contracts;
- improve energy sources traceability;
- increase decentralized energy competitiveness.
5.0 Project Features
The Project aims to empower:
- Consumers’ flexibility to choose power sources;
- small independent Producers (better price and bigger market segment);
- utilities with new market opportunities (utilities can serve a niche market);
- Prosumers (individual Producers can sell their extra energy at the best price to other Prosumers);
- reduction of grid maintenance costs (physical traceability and implement forecasted production of intermittent renewable energy sources);
- local community storage (the Platform makes it more convenient to store energy in a shared neighbourhood battery system;
- trustworthy deals through smart contracts;
- local energy communities (the Platform promotes local energy community development policies).
Furthermore the Project aspires to:
- educate Consumers (traceability of the energy sources);
- provide safer and reliable payment method;
- deregulate through market demand;
- digitize of energy assets;
- promote environment vs fossil mix policy approach;
- reduce and preserving fossil fuels.
6.0 Platform Applications
The Platform will be flexible enough to integrate the Operator application needs. The following proposed applications will be provided on a B2B model to the partners managing the local infrastructures and installed capacity.
6.1 CRYPTO-EQUITY FOR RENEWABLE ENERGY PROJECTS
With the Platform, Prosumers are incentivized to participate in the promotion, use and exploitation of renewable energy plants and storage assets owned by the community. This will reduce the cost of production and the implementation of neighbourhood storage and power plants.
6.2 Peer-to-Peer ENERGY EXCHANGE PLATFORM
The Platform provides its users with a simplified payment method to acquire energy (by different tools) receiving a direct benefit on transaction costs and reliable data forecasts.
6.3 SMART COMMUNITY ENERGY AGGREGATOR DEVELOPMENT
The Platform will empower people to participate in specific aggregators’ requests of energy demands, where Consumers can choose from different energy sources with specific criteria: green; local; fossil; sustainable, reducing intermediary costs and receiving benefits by participating in local energy community incentives.
6.4 SMART METERING / BILLING / ENERGY (Sustainable Behaviour)
The Platform will digitize and empower Consumers with autonomous, independent, and reliable data. Data analysis functionalities and production and consumption forecasts will promote virtuous and sustainable energy Consumers’ behaviour.
6.5 STORAGE + TRANSMISSION EXCHANGE (Load Balancing)
The Platform will empower the production of renewable energies to be used during peak periods. With the use of storage systems and blockchain technology it is possible to forecast and manage load balancing more profitably, thus reducing grid costs and promoting a better energy-mix policy, independently and reliably. Consumers will boost the electricity grid balancing through demand response.
6.6 ELECTRIC VEHICLE PLATFORM
The Platform enables electric vehicles management, data collection and identity management in a fast and reliable way, empowering electric vehicle rentals with energy barter systems.
6.7 TRADING AND MANAGING OIL & GAS ASSET WITH BLOCKCHAIN TECHNOLOGY
7.0 Technical Overview
Platform provides a modular solution that enables local communities to share internet and energy peer-to-peer while optimizing the complexity and cost to build and manage micro-grids and local community networks.
It is based on blockchain technology, IoT devices, opensource software and standard protocols making it compatible with existing infrastructures.
The use of the blockchain technology provides a crypto-currency and “wallet” to manage easily, transparently and safely the value generated.
The Platform allows the sharing of data and energy on a peer-to-peer basis by drastically simplifying the adoption of decentralized and distributed technologies.
Main features of the services provided by the Platform consist of:
- integration of Power-Plant and Micro-Grid management on the ESCO model (Energy Sharing Company);
- peer-to-peer exchange of electricity;
- blockchain technology with crypto-currency and crypto-equity assets (with the option to convert this “energy-currency” into other “local currencies” and/or fiat money);
- Platform’s (and Project’s) aim is to improve efficiency while reducing time and costs in building and managing network and energy infrastructures. Combining the network and the energy layer to build an internet of energy, the Platform will reduce points of failure and the need for additional hardware because of its adaptability in integrating with available and installed technologies. It spreads the intelligence on the devices that manage the energy, the data exchange and the gateways that acts as metering devices, managing the exchange of energy related assets. A more resilient and reliable infrastructure that supports the IoT deployment through the adoption of common standards (no lock-in effect) and providing higher levels of security and granular privacy definitions.
- The Platform will introduce the TFT (Transaction Fee Token) Token to support the development of the peer-to-peer energy exchange system for Prosume’s P2P solutions and interconnect different permissioned blockchains.
The Platform will introduce the TFT (Transaction Fee Token) Token to support the development of the peer-to-peer energy exchange system for Prosume’s P2P solutions and interconnect different permissioned blockchains.
The TFT Token runs on each of the private permissioned blockchains installed in each project and empowers users to use the system, giving the local project the fee needed to maintain the system.
PEF Tokens exchange function will be implemented on the Platform allowing the Prosumers to exchange their PEF Tokens into local TFT (Transaction Fee Token) Tokens on any wallet in any Platform installations around the world. The TFT Token will be used in all the Platform transactions (Energy read, Meter read, etc).
8.0 PROSUME Roadmap
The Project includes the realization and implementation of:
- a Private Locked Trading Platform (PLTP) that is a platform that can be deployed in energy communities, where prices will be locked (albeit changeable over time) and where utilities will provide the service and peer-to-peer is not permitted by country legislation;
Private Unlocked Trading Platform (PUTP) that is a platform that can be deployed in energy communities where the legislative framework allows to exchange energy peer-to-peer. The price will be managed by a platform exchange system with ask/bid orders and prices will be decided by the community in a “free market”;
a Public Trading Platform that is a public platform where peer-to-peer will be allowed even between different regional platforms and where Prosumers will be able to sell (and buy) energy from any other Prosumers on the Platform (with a raising fee mechanism based on geographical distance and type of energy token).
Additional functionalities will be added and upgraded to the Platform to provide services such as flexibility market operation, assets visualization across the value chain (substations, lines, EV chargers), integration of the business process in the regulatory framework.
Once the successful implementations in pilot sites are completed, Prosume will export the model throughout strategic partnerships across the value chain.
The roadmap of the project:
- September 2016: Developing of the Exchange Platform Concept
- January 2017: Utility and Energy Community
- March 2017: First Pilot Project with E-Steiermark (Austria) in Europe
- June 2017: Delivery First Pilot Test Project
- February 2018: Completion of the Pilot Project
- June 2018: e-Prosume: JV between Evolvere & Prosume
- January 2019: Beta Release of the Private Unlocked Trading Platform
- Q1 2020: Beta Release of the Public Trading Platform