Post on 01-Jan-2021
Energy and Innovation:
Blockchain in the Energy Transition
Blockchain & Digital Ledger Services
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Confidential information. For client presentation only.
Content
Introduction to blockchain01
02 Why is blockchain relevant?
03Blockchain in the Mexican Energy
Sector: Preliminary Results
04 Discussion Panel
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Introduction
to blockchain
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Bitcoin
A distributed ledger with
applications beyond Bitcoin
– Enables trust-less
counterparties to engage
in a direct transaction,
without requiring third
party intervention.
– Uses distributed
technology to register
transactions, granting
information transparency
and traceability.
Blockchain
– Bitcoin has provided
the foundations for
blockchain technology.
– Since 2008, in a trust-
less environment,
Bitcoin has shown that
blockchain is secure,
resilient and has not
yet been hacked.
InternetInformation
transfer
BlockchainValue transfer
Text Images Programs Videos
Money Contracts Patents Assets
Cryptocurrencies represent
only a part of blockchain’s
full potential
A cryptocurrency that leverages
blockchain technology
Blockchain vs Bitcoin
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Blockchain Fundamentals
Distributed
Anonymous
Time-Stamped
Unanimous
Immutable
Trust
Programmable
Blockchain
Secure
Basic Concepts:
Blockchain is a permanent record of transactions in a de-centralized network. Features such as immutability, encryption, unanimity
and time-stamping make it secure and transparent.
Characteristics:
It uses distributed ledger technology, i.e. the
information is owned by everyone on the network.
Smart contracts are self-executing protocols that work
within blockchain when specified conditions are met.
Blockchain is a chain of blocks that contain information
linked chronologically, using cryptographic hash (code).
Information is time-stamped and cannot be
edited/deleted from the chain. It is tracked and updated
in real-time.
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Why is blockchain relevant?
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Media
CPG
Utilities
Chemical
Construction
High Tech
Pharma
Retail
Insurance
Agro
Finance
Oil & Gas
1. Understanding 2. Initiating 3. Escalating 4. Integrating 5. Transforming
24h
Digital adoption curve by industry
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Disruptive Technology Radar
The following radar maps out the relative position of emerging technologies within multiple axes for a successful digital transformation:
– Information transparency
and traceability
– Data integrity and
immutability secured
in a distributed ledger
– Development of
distributed and
decentralized ecosystems
– Fraud and Inconsistency
detection through
enhanced monitoring
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Blockchain
Nascent Dawn Strategic Bets Mature Downfall
10
15
5
6
7
13
12
11
16
4
RPA
Data and
analytics
Digital Marketing /
Social Networks
Cloud
14
9
8
Internet
of Things
Tecnología
móvil/aplicación
Digital payments
Cybersecurity
Online
Website
ERP Systems
Robotics & Drones
2
Open Banking
3
Augmented/virtual
reality
AI / ML
1
Quantum
Computing
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Emerging trends & business models with blockchain technology
Traceability & Transparency
Data management Renewable energy traceability
Origin certification Carbon footprint credits
Grid management Distributed generation monitoring
Asset management Predictive equipment maintenance
Document digitalization Digital contracts and signatures
Market Decentralization
Peer-to-peer trading Renewable energy traceability
Wholesale/OTC trading Carbon footprint credits
Decentralized
marketplacesDistributed generation coordination
Micro/community grids Predictive equipment maintenance
Finance & Payments
Billing and settlements Prepaid and subscription models
Project financeCrowdfunding for small-scale
projects and infrastructure
Smart contract payments Payment automation
Cryptos, tokens
and stablecoinsEnergy/utilities tokenization
IoT & Smart Devices
Electric Vehicles EV charging stations
IoT/Smart devices Smart meters
Smart homes/buildings Data control for connected devices
Energy storage/batteries Grid flexibility
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Emerging trends & business models with blockchain technology
Traceability & Transparency
Data management Renewable energy traceability
Origin certification Carbon footprint credits
Grid management Distributed generation monitoring
Asset management Predictive equipment maintenance
Document digitalization Digital contracts and signatures
Market Decentralization
Peer-to-peer trading Renewable energy traceability
Wholesale/OTC trading Carbon footprint credits
Decentralized
marketplacesDistributed generation coordination
Micro/community grids Predictive equipment maintenance
Finance & Payments
Billing and settlements Prepaid and subscription models
Project financeCrowdfunding for small-scale
projects and infrastructure
Smart contract payments Payment automation
Cryptos, tokens
and stablecoinsEnergy/utilities tokenization
IoT & Smart Devices
Electric Vehicles EV charging stations
IoT/Smart devices Smart meters
Smart homes/buildings Data control for connected devices
Energy storage/batteries Grid flexibility
11
Confidential information. For client presentation only.
Blockchain in the
Mexican Energy Sector:
Preliminary results
12
Confidential information. For client presentation only.
General survey overview
Which of the following best describes your current role and functional area?
Founder/Owner/Parter Board member
Executive level (director, VP, SVP, etc) C-suite
Management level Other
Founder/Owner
/Partner
31%
Executive level
(director, VP,SVP, etc.)
25%
Management
level
18%
Other
22%
Which of the following best describes your current role and functional area?
Blockchain Both Energy Other
Blockchain
16%
Both
27%
Energy
53%
Other
4%
Board member
4%
C-suite
0%
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General survey overview
Which are your areas of expertise?
Energy Generation Energy and electric equipment provider
Energy services Renewable Energies
Digitalization (blockchain, Iot, IA, etc) Regulation
Research & Development
In which of the following sectors does the organization you work for primarily opérate in?
Public Sector/Government Private Sector/Corporate Entrepernuship/Startup
NGO Asociation/Foundation Academic/Research
Renewable
Energies
21%
Energy
services
13%
Energy
Generation
11%
Research &
Development
15%
Regulation
11%
Digitalization
(blockchain, lot,
IA, etc.)
25%
Academic/
Research
15%
Public Sector/
Government
21%
Association/
Foundation
11%
Private Sector/
Corporate
35%
Entrepreneurship/
Startup
14%
Energy and electric
equipment provider
4%
NGO
4%
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Opportunities & Challenges
in the Energy Industry
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What are the most relevant challenges and problems in the energy
sector today?
0% 10% 20% 30% 40% 50% 60% 70% 80%
Non-response
Other
Uncertainty
Transition to clean energy
Regulatory terms
New market players
Need of investment in new peojects
Lack of transparency
Lack of modernization in infrastructure
Geopolitical factors
Energy and fuel theft
Cyberattacks
Complex and unifficient processes
1 2 3 4 5
Rating from 1 to 5, 1 being the highest and 5 the lowest
1
2
3
4
5
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What benefits does your organization expect from investing in
new technologies?
Rating from 1 to 5, 1 being the highest and 5 the lowest
0% 10% 20% 30% 40% 50% 60% 70% 80%
Non-response
Other
Accessibility
Cost Savings
Eliminate Human Errors
Greater efficiency
Increase Productivity
Realiable information
Security
1 2 3 4 5
1
2
3
4
5
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Digitalization in
the Energy Sector
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Technologies your organization is currently considering within their
digital strategy?
Internet of
things/Smart objects
(Smart meters)
14%
Mobile connectivity
(Wireless, 5G, etc)
14%
3D printing
20%
Artificial intelligence/
Machine learning
8%
Blockchain (DLT’s,
cryptos, tokens, etc.)
16%Digital Twins
of products
16%
Data analytics
/Big Data
1%
Cloud
computing
5%
Robotic Process
Automation (RPA’s)
1%
Robotics
and Drones
2%Virtual/
Aumented reality
3%
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Strongly agree Agree Disagree Strongly disagree
Do you believe current regulatory frameworks in your
country enhance the digitalization of the sector?
Disagree 58%
Agree 42%
Strongly
agree
19%
Disagree
48%
Agree
23%
Strongly
disagree
10%
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Opportunities & Challenges
in the Energy Industry
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Confidential information. For client presentation only.
0% 10% 20% 30% 40% 50% 60% 70% 80%
Non-response
Other
We don´t identify significant barriers/risks
The current infrastructure and the lack of modernization (required hardware)
Technology is unproven
Regulatory Issues
Potential security threats
Not currently identified as a business priority
Lack of skills and understanding
Lack of compelling application of the technology
Implementation
Data privacy issues
Added value/ROI uncertainty
1 2 3 4 5
What are the main barriers/risks in adopting blockchain
within the energy sector?
Rating from 1 to 5, 1 being the highest and 5 the lowest
1
2
3
4
5
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0% 10% 20% 30% 40% 50% 60% 70% 80% 90%
Non-response
Robotics and Drones
Robotic Process Automation (RPA's)
Mobile connectivity (wireless, 5G, etc)
Internet of things/Smart objects (smart meters)
Digital Twins of products
Data analytics/Big Data
Cloud computing
Artificial intelligence/Machine learning
3D printing
1 2 3 4 5
Which technologies do you believe add the greatest value
to blockchain?
Rating from 1 to 5, 1 being the highest and 5 the lowest
1
2
3
4
5
?
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Discussion Panel
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What are the main barriers towards investing in new initiatives?
Rating from 1 to 5, 1 being the highest and 5 the lowest
0% 10% 20% 30% 40% 50% 60% 70% 80%
Non-response
Other
Regulatory barriers/issues
Market uncertainty
Lack of skills, capabilities and understanding (information barriers)
Inneficient financing models
Infrastructure/System stability
Implementation difficulty
High cost/Business priority
Geographical barriers
Added value/ROI uncertainty
1 2 3 4 5
1
2
3
4
5
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Which best describes the relevance of digitalization for
your organization?
Critical Important Not relevant Relevant but not a strategic priority
Low 10%
High 90%
Important
27%
Critical
63%
Relevant but not a
strategic priority
8%Not
relevant
2%
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Which of the following blockchain associated benefits do you
expect to cause the greatest disruption in the energy sector?
Rating from 1 to 5, 1 being the highest and 5 the lowest
0% 10% 20% 30% 40% 50% 60% 70% 80% 90%
Non-response
Other
Transparency
Traceability
Speed
Security
None of the above
Efficiency
Decentralization
Data Immutiability
Cost savings
Automatization
1 2 3 4 5
1
2
3
4
5
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kpmg.com.mx
01800 292 KPMG
kpmg@kpmg.com.mx
José Luis GonzálezBlockchain Specialist
KPMG Mexico
josegonzalez7@kpmg.com.mx
Tel: +52 55 3677 6770
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Thank you!
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