GridExchange
 

Alectra’s GridExchange pilot project aimed to engage 21 residential households and 4 local businesses in managing distributed energy resources (DER) through a peer-to-peer energy trading platform called the GridExchange App. Launched in collaboration with Natural Resources Canada, Sunverge, the University of Waterloo, FLO, and Savage Data Systems, the project enabled participants to buy, sell, and share locally produced energy within their community, while also receiving financial compensation for their contributions.

The project utilized blockchain technology to facilitate secure energy transactions and allowed Alectra to balance energy supply and demand through automated systems. By participating, residents were able to reduce greenhouse gas emissions, lower their energy bills, and support the development of decentralized energy systems.

Project Information
 
City, Country
Eight communities in Ontario, Canada (Vaughn, Markham, Richmond Hill, Barrie, Hamilton, Maple, Woodbridge, and Thornhill)
Duration (Start/End Dates)
2019-2022
Funding Source
Natural Resources Canada (Smart Grid Program)
Project Lead (Organisation)
Alectra
Project Partners
Natural Resources Canada, Sunverge, University of Waterloo, Savage Data Systems, FLO

Parameter

As designed

As built

No. of participants

25 (21 residential customers and 4 local businesses)

25 (21 residential customers and 4 local businesses)

Generation (kWp)

0 (the project did not introduce new generation)

0 (the project did not introduce new generation)

 

Storage (kWh)

0 (the project did not introduce new storage)

 

0 (the project did not introduce new storage)

 

Unit price ($/kWh)

n/a

n/a

Project cost ($)

$5,624,573 CAD

$5,624,573 CAD

As found in project documents and our own research (Lopez & Walker), the major impacts of the GridExchange project included:

  • Unlike traditional energy systems, where there is a one-way flow, participants in GridExchange were actively engaged with the grid due to the gamification structure of the project, and included rewards and credibility scores
  • Regular events and constant notifications created by Alectra kept participants engaged. The project used a user-friendly interface to facilitate interaction
  • Participants were willing to alter their behaviour to support grid management
  • The project enhanced participants’ environmental awareness and understanding of energy consumption patterns
  • Participants viewed themselves as role models for sustainability (for other people and communities). This increased a sense of pride amongst local customers who participated
  • Most participants were driven by climate change motivations (i.e. lowering greenhouse gas emissions with renewable energy solutions). Many felt confident participating since Natural Resources Canada was a partner (gave the pilot credibility for participants).
  • All participants were happy with the product and platform, and they enjoyed ability to profit off DERs and interact through real-time exchange on the app.
  • What problem(s) does the case study aim to resolve?
    • In Ontario, the reliance on increasingly expensive forms of mainly fossil-fuel based energy is contributing to climate change and energy poverty amongst many residents. Additionally, as more intermittent renewable energy gets introduced to Ontario-based grids, there grows a need to better store and manage energy. By introducing a novel blockchain software application pilot project aimed to increase grid flexibility and resiliency, increase the use of renewable energy, and lower emissions associated with electricity generation, home heating, and transport.
  • What were the social objectives (if any)?
    • The primary social objectives of the project included allowing customers to become prosumers. The project also aims to reduce costs for participating households, and increase feelings of comfort, pride, and independence.
  • What were the environmental objectives (if any)?
    • The environmental objectives were to lower emissions across electricity generation, home heating, and transport
  • To what degree were participants actively involved in design or operation?
    • Participants did not play a significant role in designing the project but provided insights into its complexities and usability. – Participants were not directly involved in designing the pilot. The design was based on agreements between Alectra and the technology provider. Feedback from regular interviews with participants sometimes influenced project design adjustments.
  • Was participation financially or socially incentivised or both?
    • Participation was incentivized through both financial (i.e. cost savings and rewards) and social (i.e. sense of pride, environmental stewardship, comfort and independence) means.
  • What degree of demand response flexibility was provided?
    • Demand response flexibility was provided mainly through the gamification of energy management and use (i.e. via the app, where customers could save money and earn rewards in real-time)
  • Provide images of, and participant quotes from the case study.

“GridExchange exceeded my expectations after I used it. I thought it was going to be more “test like”, but it was a very nicely finished product.”  – GridExchange Participant

If you were repeating the pilot project: what would you have done differently, what are your key lessons learned and key takeaways?

Key takeaways

Based on what we saw in the GridExchange project, a novel and relatively complex blockchain software platform can help better utilize clean energy resources, lower energy costs and emissions, and through an easy-to-use app, be fun for participants. There were a range of other, unexpected benefits including increasing environmental awareness and instilling a sense of pride in those participating.

Success in this project was likely due to a combination of factors such as the right project partners, participant selection/recruitment, and the introduction of local businesses where customers could use their rewards.

Pilot projects interested in mirroring successful elements of GridExchange should ensure that there is a range of energy system and participant benefits as were seen here.

 

What outcomes are anticipated from the pilot?

  • The outcomes that were anticipated from the GridExchange project were: increased levels of ‘prosumerism’ from customers, increase the amount of clean energy produced and used, lowering energy costs and emissions, and adding grid resiliency.

What outcomes were delivered by the pilot?

  • Yes, the outcomes listed above were delivered by the pilot.

 

For more information on the Case Study
Contact Person: Dr Chad Walker (Assistant Professor of Low-carbon transitions, School of Planning, Dalhousie University)
Copyright Statement
agree that the case study information of GridExchange can be shared under CC BY-NC-ND 4.0 license. This license allows others to download your works and share them with others as long as they credit you, but they can't change them in any way or use them commercially.