Can someone explain me in easy words how this project works.

My feeling is that it has a few problems.

In order to work they need to partner up with all the major Energy company to use their distribution network.

Why should those company accept, when they can directly buy the energy from the producer for a fraction of the price and resell it for the full price.

How much will it cost to use the Blockchain to store "near real time" report of usage, with the actual eth fee that will cost a lot i guess, and will impact in the energy price.

Please explain in details how this work, because i am interested in opening a quite big position but i still dont have answers to those 2 problems.