The Port of Rotterdam is focusing on blockchain technology with a pilot project

Blockchain is beyond the hype, but the technology can certainly add value to Dutch companies. In an industrial building in Rotterdam we speak with Aljosja Beije, one of the founders of Blocklab, a laboratory where blockchain technology is tested and applied in the energy sector and logistics.

By: Dimitri Reijerman

BlockLab is an initiative of, among others, the Port of Rotterdam Authority. During the upcoming PPA event, on January 29 in Hart van Holland in Nijkerk, Aljosja Beije, logistics and technology lead at the start-up, will provide more insight in the origins of this testing ground and the projects that BlockLab is working on.

According to Beije, it is not surprising that the Port of Rotterdam invests time and money in initiatives such as blockchain research: “If you look at the Port Authority, energy is initially a somewhat strange component. But Rotterdam is the largest port for the transhipment of fossil fuels in Western Europe. This will decrease rapidly in the coming years. The port will have to deal with the energy transition. People are already working very hard on this, including the transhipment of LNG, biofuels and heat.”

He continues: “Blockchain can be used to ensure that these energy networks from all these different sources are properly connected. Because you need a more complex coordination system than we have now. Electricity and heat currently still form a hierarchical whole, everything must be correct administratively. But we are moving towards a decentralized world, which cannot be properly automated centrally.”

Project with Samsung and ABN Amro

The blockchain technology for large-scale energy projects that Beije is referring to has previously been developed by BlockLab for logistics processes. In addition to the Port Authority, Samsung and ABN Amro are also participating in this pilot. The aim is to have the entire logistics chain between South Korea and the port of Rotterdam run via the blockchain. The first containers filled with Samsung electronics, which are tracked based on this technology, are now on their way to Europe.

Blockchain technology can potentially bundle numerous logistics-related flows, including digitally handling paperwork at the borders - especially CMRs (waybills) -, integrating a track & trace system and financing the products. Blockchain technology plays the role of a notary: all actions are recorded in the ledger. The software, called Deliver, runs on the public Ethereum network.

It is not surprising that BlockLab specifically focuses on the energy and logistics sectors: in addition to the role of the Port Authority, Beije and his colleague have years of experience in these sectors. Beije: “It is a combination of specific domain knowledge. My business partner Janjoost Jullens knows the energy market very well. I have twenty years of experience in logistics and IT, so I know how flows flow and where the problems are. Combined with talented developers and the strength of the Port Authority, we as BlockLab sit at the table with parties such as Samsung and Standards & Poor's.”

Blockchain for SMEs

With innovations in blockchain technology, BlockLab also hopes to attract other sectors to this decentralized technology, says Beije. Because companies can trade cheaper and smarter this way: “One of our objectives is to get SMEs involved in this development. You can only get that off the ground if they follow in the wake of large companies. They do not have the knowledge, skills and capital to make those investments themselves.”

The platform that BlockLab is building should therefore offer SME companies ready-made building blocks: “What we do with Deliver is, in addition to the notary role, also offer an app store. As an SME, you can, for example, purchase apps for supply chain management. This runs on the validated data made available by Deliver. This allows you to run your business more efficiently.”

Beije recognizes that blockchain technology still has a long way to go and in many cases still has to prove itself. For example, the system could not currently be used to, for example, handle trade between the United Kingdom and Europe after a Brexit: “Such projects must not fail. You don't want to do those kinds of projects under great time pressure with state-of-the-art technology,” says Beije.

Yet there are more 'big boys' applying blockchain in various sectors and chains. He mentions IBM, the IT giant that has also set up a project around the supply chain together with carrier Maersk. And he also sees plenty of opportunities in other application areas: “We are in discussions with Campina/Melkunie for food traceability in the supply chain, which also includes Rabobank. We are looking for the same cooperation with the Dutch government.

Concluding, Beije says that he is more than satisfied if BlockLab does not grow too big, leaving enough room to take on new projects: “And I hope that spin-offs will come from there.”

You can attend Aljosja Beije's lecture free of charge to sign up on the PPA website.