Selling Solar Power Directly to Neighbors
Sector: Tertiary sector · Industry: Energy utilities · Organisation: E.ON, Powerledger, lokale Stadtwerke · Maturity level: Pilot
Blockchain-based peer-to-peer solar power trading lets households sell surplus solar electricity directly to their neighbors — without a utility as middleman. Projects include Brooklyn Microgrid (New York, 2016, LO3 Energy + ConsenSys), Power Ledger (Australia, ASX-listed) and Electron (UK). Residents with solar panels become electricity providers for their street.
Documentation status
- Project status: Pilot
- Evidence: Evidence high
- Editorial review: Ufuk Avci, 15 April 2026
Description
Peer-to-peer solar power trading solves the fundamental problem of the energy transition: solar system owners receive little for their surplus power (feed-in tariff), while neighbours have to buy the same power expensively from the supplier.
Brooklyn Microgrid (New York, 11 April 2016): LO3 Energy and ConsenSys enabled the world’s first blockchain-based P2P energy transaction — a resident of President Street sold solar power to the neighbour opposite. The system: smart meters measure production and consumption; smart contracts on Ethereum automatically manage payments when power flows; power remains in the local microgrid (resilience). Power Ledger (Perth, Australia, ASX: PLT): commercially active in Australia, India, Japan, USA; deployed in several residential and commercial districts. Electron (UK): works with Ofgem (UK energy regulator) in the sandbox for P2P energy regulation. Germany: The Blockchain-Reallabor Hürth developed several energy P2P demonstrators; SoLAR projects in NRW. Regulatory challenge: In Germany, direct sale of solar power to neighbours is restricted by regulation — however, the tenant electricity model and energy communities (Renewable Energy Directive III) open new avenues.
Perspectives
B2B — organisations perspective
Housing associations and neighbourhood developers can sell solar power from rooftop PV directly to tenants via blockchain-based P2P energy marketplaces — higher revenues than grid feed-in, cheaper energy for tenants.