At Civic Ledger we often get asked where are blockchain technologies likely to deliver significant value in Local Government?
Although potentially very wide in their scope of application, blockchain technologies are more likely to deliver significant value when deployed in situations involving one or more of the following business needs for local government:
Reconciliation of data: such as where there are multiple department or functional area participants whose separate stores of data require periodic reconciliation.
Reduction in duplication: for example, where parts of the same Council maintain multiple records of the same data for use in various aspects of the lifecycle of a single transaction or for use in different transactions e.g. payments, receipts, customer transactions.
Auditability: where record-keeping of immutable records is required (whether for regulatory purposes or otherwise) e.g. issuing of entitlements and benefits i.e. licences, permits and approvals.
Authentication: where proof of the identity of the counterparty and verification of the origination of transaction are essential for commercial or regulatory reasons e.g. procurement, contract management, tendering.
Case Study: Local Government exploring blockchain technology to solve the problem of residential parking.
Go on Facebook and you are likely to find somebody has set up a page to trade Council entitlements such as waste or parking vouchers. Whilst enterprising for the person who wants to trade, it leaves Councils not only in the dark about who has what entitlement but also without an income.
To solve this problem, an Australian city council is using blockchain to enable residents to trade surplus parking entitlements. Blockchain will enable peer-to-peer markets for customers that can legally trade Council issued entitlements. By enabling customers to self-service and self-manage their transactions with council, there are wins for both customer and council including:
Increased transparency for council
Speed of transaction for customers
Reduced fraud and counterfeiting
Addressing the social challenges with parking
Is parking just the start?