Chinese Natural Gas Giant Shanghai Gas, in partnership with VeChain Foundation, is ready to kick start a new chapter of a project aimed at building an “energy-as-a-service” ecosystem, as seen in a recent report published by a local Chinese media.
The collaboration which began in 2018 will lead way for a new phase of the project, dedicated towards improving grid activity and slashing of operating costs. The first phase of the project was completed in March 2020.
VeChain, Shanghai Gas and ENN Energy Holdings in 2018, partnered to launch a pilot project for the LNG storage and distribution center in Zhoushan.
However, the outcome of the pilot project thrilled Shanghai Gas into accepting to further collaborate with VeChain.
VeChainThor blockchain was used in storing LNG delivery data, and storage facility data that indicates the quality of LNG, in the first phase of the project.
The two companies are entering the second stage of the project, and this will feature research works on the enhancement of the activities of the energy giant which includes; logistics management, energy trading, processing of financial products and collaborations with other energy companies.
The blockchain-based LNG management solution project was designed to help the industry ensure the sharing of transparent and error-free data between stakeholders in the supply chain, this, would likely help China manage its growing consumer demand problem as the largest importer of LNG products across the world.
In the first stage of the project, emphasis was made on increasing the delivery of liquefied natural gas (LNG) products.
Earlier in March, NewsLogical reported that the Shanghai Gas Group declared successful culmination of the project, and that marked the end of the project’s first phase with the support of VeChain.
After the end of the first phase, Shanghai gas group, while operating the LNG storage tank, was able to upload information and search key data via blockchain due to the immutable and transparent quality of the technology.
The project make it easy for the Asian gas group to obtain information like gas quality, gas pressure, gas pick up quantity and more.
Stakeholders in the value chain industries, as well as logistics and insurance companies will immensely benefit from the initiative, the local Chinese media reported.
Nevertheless, it will be important to make reference to a speech by the Chinese President, Xi Jinping, in October, where he reiterated that China must “seize the opportunities” made available by blockchain technology, as China have been making judicious effort promote the use of blockchain.