109

7 ^{Blockchain Technology}

in the Energy Industry

A Review on Policies

and Regulations

Ridoan Karim and Imtiaz Sifat

7.1  INTRODUCTION: BACKGROUND AND DRIVING FORCES

In recent times, energy industries all over the world have become increasingly con­

cerned with environmental efficiency, reliability, transparency, accountability, social

responsibility, social inclusiveness, and so on and so forth. These points are now

more applicable than ever since COVID-19 wreaked havoc in the socio-political

world order. The world has been forced to contribute to social and environmental

causes and promote sustainability. Besides, many developing countries are carving

CONTENTS

7.1

Introduction: Background and Driving Forces..............................................109

7.2

Blockchain Technology in Energy Industry: International Usage

and Practices.................................................................................................. 111

7.2.1 Energy Trading on a P2P Basis......................................................... 112

7.2.2 Managing Energy Supply and Demand in Real Time....................... 113

7.2.3 Promoting Investments in Energy Industries.................................... 113

7.2.4 Increasing Energy Access in Developing Countries......................... 114

7.2.5 Regulatory Reporting and Compliance............................................. 115

7.3

Prospects of Blockchain Technology in Energy Industry............................. 116

7.4

Legal and Regulatory Challenges.................................................................. 118

7.4.1 Applicable Law.................................................................................. 118

7.4.2 Identity within a Blockchain.............................................................. 119

7.4.3 Liability and Responsibility............................................................... 119

7.4.4 Personal Data.....................................................................................120

7.4.5 Challenges with the Financial Market Regulation............................120

7.5

Policy Recommendations..............................................................................120

7.6

Conclusion..................................................................................................... 121

References...............................................................................................................122

DOI:  10.1201/9781003138082-7