Peer-to-peer energy sharing, also known as community solar, is becoming more and more popular in the U.S., and it’s not hard to see why. This type of solar service allows you to purchase clean energy from your local utility company and receive credits for the kilowatt hours that your panels generate; you can then use these credits to offset the electricity used in your home or business as much or as little as you want.
What Is Peer-to-Peer Energy Sharing?
In a nutshell, peer-to-peer energy sharing (or P2P energy sharing) is a way for individuals to sell or trade their excess energy with others. For example, if you have solar panels on your roof, you can sell your neighbor the excess energy you generate. In return, they can do the same for you when your solar panels aren’t generating enough power. Not only does this help save money, but it also helps reduce our reliance on traditional energy sources.
Why Consider P2P Energy Sharing?
If you’re looking for a way to save money on your energy bill, you may want to consider peer-to-peer (P2P) energy sharing. P2P energy sharing is a system where individuals with solar panels can sell their excess energy to their neighbors. This excess energy is then used to offset the amount of energy that the neighbor would otherwise have to purchase from their utility company. The selling party pays only for the cost of converting electricity into clean power (the electrician’s fee). For example, if a home has an electric meter that spins at 1000 RPMs while they are using 500 kWh per month, they will be billed by their utility company as if they had used 500 kWh in order to cover the conversion costs.
The 4 Stages of P2P Energy Schemes
1. In a peer-to-peer (P2P) energy scheme, individuals or businesses with solar panels can sell their excess electricity to their neighbors.
2. P2P energy schemes are usually managed by an energy company or a local government.
3. Solar panel owners can choose how much electricity they want to sell and at what price.
4. Once the electricity is sold, it goes into the grid, and the money goes into the solar panel owner’s pocket.
4 Best Examples of How People Are Saving With P2P Energy Sharing
1. A group of neighbors in Brooklyn, New York, are using P2P energy sharing to save money on their electric bills.
2. A Maasai community in Kenya, Singiraine village, has gotten electricity for the first time, powered by the blockchain.
3. Germany’s community uses P2P energy sharing to power homes and businesses.
3. A group of homeowners in the United Kingdom is using P2P energy sharing to reduce their carbon footprints.
4. A group of students in Australia is using P2P energy sharing to offset the cost of their tuition.