Emerging technologies will play a major role in the energy industry as it diversifies into renewables, hydrogen and biofuels in the face of challenges such as skilled labour shortage, lack of interoperability between different platforms and systems, physical risks to field employees, and the need for regulatory adherence across geographies.
The World Economic Forum predicts that over the next couple of years, energy stakeholders will intensify their utilisation of cutting-edge solutions such as the Internet of Things (IoT) and Artificial Intelligence (AI) across various facets of their operations.
For instance, IoT sensors can remotely monitor field equipment such as wind turbines, with data seamlessly integrated into AI-driven digital twins. Through automated predictive analytics, potential equipment failures can be identified proactively, enhancing both worker safety and operational efficiency.
Moreover, the implementation of virtual training in immersive environments will empower workers to hone their skills in technical repairs, equipment handling, and safety protocols before field deployment. The emergence of shared virtual spaces holds promise for fostering ecosystem-wide collaboration, facilitating the exchange of interoperable data among suppliers, partners, and other stakeholders, thereby enabling more informed decision-making.
Accelerating the journey towards a sustainable, net-zero future, technologies like Web3 and blockchain are being leveraged by energy companies to construct transparent and tamper-proof supply chains for ethically sourcing raw materials. Looking ahead, the WEF predicts that the tokenisation of carbon credits over the next five years will establish immutable marketplaces, enhance traceability, reduce fraud, and streamline the lifecycle of offsets—from registration to retirement—via automated processes.
Furthermore, the integration of smart contracts presents opportunities for automating contracts, invoicing, and payments, fostering deeper collaboration with external partners and stakeholders.
Fighting greenwashing with Tokenovate and the BSV blockchain
Greenwashing occurs when companies neglect to give precedence to internal emissions reduction, engage in double-counting of carbon credits, or invest in credits that lack verification. These practices constitute greenwashing as they mislead the public, creating a false impression of these companies’ dedication to carbon emissions reduction.
Tokenovate, a UK-based financial services technology company, aims to address these issues by providing distributed financial market infrastructure, and smart legal contracts, enabling programmatic lifecycle event management of the pre-trade to post-trade workflow for OTC and exchange-traded derivatives, including Voluntary Carbon Credits (VCCs).
Recently, the group forged a strategic partnership with GMEX Group, leading to a successful demonstration of a high-calibre, smart legal contract for waste-to-energy VCC trades, built on the BSV blockchain. These trades have their origins in the Bio-CNG Project AJS Fuels, situated in Gujarat, India, where cutting-edge biogas technology captures methane from animal waste.
This accomplishment was realised by seamlessly integrating Tokenovate’s dFMI into the ZERO13 Hub, a distributed orchestration layer that digitally links participants in the carbon market, as well as registries and exchanges across various jurisdictions. This interconnected ecosystem enables the trading, clearance, and settlement of VCC spot and derivatives contracts.
Notably, these trades were executed on the SECDEX exchange, a regulated marketplace intricately tied to the Universal Carbon Registry for voluntary carbon credits, all of which are seamlessly registered through the ZERO13 Hub.
eBook: Engineering a smarter and greener financial world with Tokenovate
We invite you to download our eBook – Engineering a Smarter and Greener Financial World with Tokenovate. In this eBook, we delve into the fascinating world of blockchain technology and its profound impact on the ESG (Environmental, Social, and Governance) landscape.
