Faraday and Amp create Emergent joint venture to transform electricity market
August 30, 2017
Systems design company Faraday Grid and Amp, a Canadian developer of flexible clean energy infrastructure, have formed Emergent, a Scottish company that is creating a transactional grid operating platform to change how electricity is produced, distributed, bought and consumed globally.
Emergent has developed an integrated software platform designed primarily to operate on Faraday Exchangers, a patented technology that will balance electricity supply and demand across the entire energy system, using price as the key operational mechanism.
The platform combines multiple Faraday Exchangers to improve network flexibility and power flow efficiency, with the Emergent transactional layer to facilitate energy transactions between buyers and sellers at market-based, real-time pricing.
Emergent’s combination of hardware and software creates a system that allows any device or person to trade electricity and other related energy products with any other market participant.
“We are creating a new technology backbone for electricity grids that will stimulate innovation and change how we think about and use electricity,” said Andrew Scobie, executive chairman of Edinburgh-based Faraday Grid. “In the future, an electricity grid enabled by our platform will act as a communications network and marketplace, as well as a distributor of power to consumers, and will allow multiple users and technologies to interact seamlessly and in real time.”
He said that Emergent would facilitate a significant reduction in the cost of power for all consumers, from large global businesses down to individual in their own homes.
“Given the role that the energy system plays in global economic output, increasing its effectiveness and responsiveness will yield greater prosperity, greater investment, and greater competitiveness across the economy and our society,” he said.
This approach to the energy market is said to offer significant benefits to electricity users:
- It allows the electricity grid to provide better service and a wider range of buying choices to people and organisations that have different energy needs, at the lowest cost.
- Users, large and small, will be able to set the price they are willing to pay for electricity, and make choices about how the electricity they purchase is generated.
- It will allow the grid to evolve, enabling new technologies to fulfil their potential, in the same way that an autonomous common information sharing protocol underpinned the rapid growth of the internet and subsequently transformed how people live their lives.
- It will allow more, smaller-scale prosumers – whether residential, industrial or commercial – to participate actively in the electricity market. These prosumers will be able to feed electricity from their own renewable energy generation and storage assets into the grid at a price they choose and can change easily in real time.