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ARTICLE · 27 SEPTEMBER 2019

Blockchain in Energy: An Argument For A Regulatory Sandbox

Mintz, Levin, Cohn, Ferris, Glovsky and Popeo, P.C.
Mintz, Levin, Cohn, Ferris, Glovsky and Popeo, P.C.
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Mintz, Levin, Cohn, Ferris, Glovsky and Popeo, P.C.

Mintz, Levin, Cohn, Ferris, Glovsky and Popeo, P.C.

Mintz is a litigation powerhouse and business accelerator serving leaders in life sciences, private...

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The transactive energy grid is slowly changing in the United States as electrical generation and transmission move from the traditional hub-and-spoke model to a distributed energy system

United StatesTechnology
Mark M. Higgins
Mark M. Higgins
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The transactive energy grid is slowly changing in the United States as electrical generation and transmission move from the traditional hub-and-spoke model to a distributed energy system. Blockchain technology has the potential to facilitate the integration of distributed grid systems, which require ways to settle transactions and connect each of the various energy sources. As these systems scale, blockchains can securely settle these transactions and link the disparate sources in one central system. The current method of regulation in many places is not structured to incentivize incorporation of new technology quickly. This static system rewards certain actors and penalizes others. Particularly, in Massachusetts, municipal light plants tend to be old systems without capital to upgrade to the newest technology. Adapting the current structure of regulation to allow for regulatory sandboxes may solve this undercapitalization issue.

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