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Hi everyone and welcome. My name is Matias Sundine. I am the editor-in-chief of Warp News and the founder of Warp Institute, a foundation I started a few years ago. Warp Institute is part of Project Energy Society, and the goal there is to use the logic from how the internet is built and apply that to the energy system, the energy grid. This means you will end up with an abundance of energy, and not just any energy, but clean green energy. We think that will really shift the mindset of humanity because we are, of course, super dependent on energy. We have always been and we still are, because it is expensive or damaging to the planet. But that is changing now with technology.
If you put these things together and, as I said, borrow the logic from the internet, we think we can get to an abundance of energy. When you have an abundance of energy, when you do not have to think about the last drop of energy and how we are going to use it, that would shift how we think about things and the things we do. We will do many new things that we thought would be unimaginable today. The leader of this project is Yunas Spirishon and he and his team in Lund have been working on this. I heard this idea from Yunas three years ago and immediately understood this was really something, because when you have dropping costs on solar and batteries and all that, you see the components are already there but everything is getting less expensive. I immediately understood this was a really good idea and a really good theory, but so far it had been a theory. A good one, but still a theory. Now it is not a theory anymore. Recently in Lund, Yunas, you pushed a button and something happened.
Yes, exactly. Matias, thank you for having this call and thank you for supporting us over the last three years. We believe that Energy Society is really the next paradigm shift. This last Saturday we took a really important step because we now have the world’s first operational energy net, as we call it, between two different buildings. We have a freedom cable between them. They are two separate buildings owned by two different real estate companies. There is an office, some apartments, a gym, a lot of mobility spaces like parking spaces, and also a grocery store. They are connected with an independent parallel electrical grid, or as we call it, the freedom cable. There is an energy router in each building. There is solar and there are batteries on both sides, and they can now exchange electricity without paying for distribution, which today is the largest cost component of the Swedish electrical system and is planned to increase dramatically due to large investments in the traditional grid. Apart from the cable and the routers, we now also have the energy router operating system, or OS, because sharing energy is sharing love. It talks to the network management system, which then talks to the BSS OSS system. My company, via ROPA, is thrilled to become the world’s first Energyet operator, helping the real estate companies that make these investments not only with the project but also with running it daily, managing the system and the interactions between these local nodes and the traditional electrical grid. All the key components are here and we have verified them. Everything works and we are ready to start scaling this. One key aspect is exactly what you talked about, Matias: hyperscale. Everything we use is commercial off-the-shelf components. The critical thing that made this practical and financially viable is that the power electronics in the routers are the same components used in electric vehicles. These are the components that transfer energy from a charger to a car battery. They are price-effective and commercially available. By comparison, upgrading a transformer in the traditional Swedish grid can take five to seven years. If we are in a pinch and pay extra for transport, we can get these power electronic components in five to seven hours. The cost difference is about a thousand to one in distribution.
One story from the development team shows exactly what Warp News is about, the exponential development of hyperscale components. We started in the low-voltage space, which in the EU means one thousand volts and below, operating at 800 DC volts because that was the maximum of the components. During the process, a new generation of power electronics from chargers became available. Apparently, humans do not like to wait, so we now have 1500 volt DC components we can use. Even before serial production, the amount of energy we can transfer on the same freedom cable has basically doubled because we are on the right technical trajectory and price performance curve. As vehicles, chargers, buildings, neighborhoods, and cities adopt this, volumes increase and prices drop further. It is surprising that many people miss this. Battery costs have dropped 90 percent in ten years and will continue to drop as production increases.
If you compare this to the internet, we are at a stage similar to ARPANET. Instead of four university nodes, we have these two connected real estate nodes, but it is a full technology stack. The energy protocol is published, open, and free, just like IP. Anyone can build a compatible energy router. We believe hundreds or thousands of people should produce their own routers and let the best win. What is best varies. We can have diversity of vendors, local production, and independent energy systems that can still share resources with neighbors and larger networks without distribution cost if desired. In Sweden, which already has one of the best and cheapest grids in Europe, it is profitable to build this parallel architecture. If it works here, it should work in many places worldwide. In the US, more than 11,000 projects are waiting to connect to the traditional grid, which would double production, and 90 percent are wind, batteries, and solar because they are cheaper and easier. Energy net can also be built super robust. The traditional grid is too sensitive. With internet architecture applied to energy, there is no single point of failure. It becomes super resilient.
This has changed my thinking. At first, I saw abundance and positive effects. Today, with Russia’s war against Ukraine and geopolitical uncertainty, this project has become very important for security. Thousands of small networks are far more resilient than a centralized grid. Even if cut off, you still have some electricity, which makes a huge difference in crisis or war. It is important for Europe’s security and competitiveness.
Now that we are live with real deployments, the next step is to scale. Just as Sweden pioneered modern broadband and digital telephony by combining innovation with new infrastructure, we can break the gridlock in the traditional grid. Filling suitable Swedish roofs with solar could generate over 50 terawatt hours per year, while Sweden consumes about 150 terawatt hours annually. This clean, cheap, resilient local energy is market-paid, not subsidized. It frees capacity in the traditional grid for industrial and transportation transition. It is the cheapest, fastest, and most secure way to accelerate the green transition. If it works in Sweden, it can work even better in many other European grids and eventually worldwide with policy adaptations. Who does not love clean green energy that you can run independently in your backyard together with your neighbors?
If you want to follow developments in the Energy Society, we report on them regularly at Warp News. Sign up for our free newsletter at warpnews.org to receive updates once a week. Thank you very much, and thank you Yonas for chatting with us. Remember, Energy Society will be built by all of us together. Energyet is an open free standard and you can start building your own energy independence right now.
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