(Montel) Several of Europe’s major gas traders will participate in start-up technology firm BTL’s project for the use of blockchain in energy trading, the company said on Monday.
“We look forward to expanding the scope to enable straight through processing through the whole settlement process as well as bringing wider participation from the industry,” said Francesco Romeo, Eni Trading & Shipping ICT vice president.
“Blockchain has great potential to increase automation and efficiency of our trading operation. Back office processes for confirmation, settlement and invoicing are ideal use cases for this emerging technology. We expect significant improvements in these processes by utilising BTL’s [platform],” said Frank van Doorn, Vattenfall’s acting head of trading.
The second phase of BTL’s European energy blockchain scheme – One Office – extends the use of the technology from trade reconciliation to settlement.
Last year, the company completed a pilot project with BP, Eni Trading & Shipping and Wien Energie which used its Interbit platform to streamline and cut costs in back office processes.
“Interbit, as a next generation blockchain platform, has the capacity to operate and interconnect many thousands of blockchains per server, in a secure, private and scalable manner,” BTL said.
The technology reduced risks, costs and provided better protection against cyber threats, said Dominic McCann, CEO of BTL.
BTL Interbit platform automates many back office tasks such as confirmations, invoice generation, settlement, audit, reporting and regulatory compliance.
“If a trade goes into a smart contract on the blockchain, any mismatch on the inputs (volumes, prices, date) will immediately be flagged up and resolved,” the company said last year.