What is React
React is building the digital infrastructure layer necessary to turn the grid edge into a resource for the energy system.
Energy infrastructure is undergoing a once-in-a-generation transformation. We are quickly transitioning from an energy system based on large, centralized fossil fuel power plants to one based on clean, distributed renewable energy. While this will have significant benefits for society in the form of low-cost energy and the elimination of carbon emissions, our current grid is not designed to handle the proliferation of renewable energy. We are already experiencing the consequences of our failure to modernize the grid- the U.S. has more power outages than any other developed country.
Renewable energy sources are primarily intermittent, meaning energy generation is primarily from sources that do not have guaranteed availability due to external factors that cannot be controlled (e.g. sun and wind). Historically, the operation of the power grid has relied on the ability of power generation to be highly controllable and responsive, allowing it to be adjusted to precisely match demand. Without this balance between supply and demand, the grid fails. Intermittent generation from renewable sources means that we need to find new ways to balance the grid and ensure our energy system can decarbonize while remaining stable.
Distributed energy resources are essential for enhancing the reliability and efficiency of our new energy system. By incorporating real-time data and controllable load resources like smart thermostats and energy storage, we can improve and modernize the energy system by turning the grid edge into a resource. Individuals in the community can generate utility value while contributing to a cleaner and more optimized energy grid.
The protocol rewards individuals for increasing the flexibility of the grid by connecting data and smart devices to the protocol. As devices are deployed, the network is able to create value for the energy system, including:
- Grid forecasting optimizations through real-time, granular data
- Power quality monitoring
- Virtual power plant operations
- Offset the need for expanded transmission and distribution infrastructure
- Renewable energy exchange with corporations to meet ESG targets
- Local energy markets
React’s success will mean that value that was once reserved for monopolies can accrue to the community, while the energy system broadly benefits from being cheaper, cleaner, and more resilient.
As a decentralized system, React will be cooperatively governed by its community to ensure incentive alignment. Cooperative systems have a long history in the energy industry. In the 1930s, less than 10% of the rural U.S. population had access to reliable electricity, with investor-owned utilities not interested in serving sparsely populated areas. However, in 1937, electricity cooperatives were established to electrify rural areas through resource sharing. The developed world is largely electrified today, but the need for cooperative models only increases with the proliferation of a distributed energy system. React is building the next generation of energy cooperative - a network that is programmed to build a stable, sustainable, and abundant energy future for humanity.
Just as early electric co-ops that successfully delivered reliable, affordable energy were dependent upon the community’s ability to come together to create a collective impact, React’s decentralized community will be necessary for the proliferation of this new energy paradigm.