A Blockchain Based Energy Management System for Microgrids

Abstract

The use of renewable energy sources is increasing, but their volatility makes it difficult to maintain a balance between energy generation and consumption. To address this issue, we propose a peer-to-peer microgrid energy market where consumers and prosumers can trade self-produced energy and keep the profits. This encourages investment in renewable energy plants and local balancing of supply and demand. To make this possible, we propose a blockchain-based microgrid energy market without central intermediaries. The permissioned blockchain framework ensures that only eligible participants can join, and each entity maintains its own transaction information while being able to retrieve information from other entities with permission. This model is distributed and promotes plug-and-play. We have developed a WebApp SET, which uses a blockchain wallet to sign in users and allow them to share their energy needs anonymously. The simulation results show that this method is feasible and suitable for privacy protection and P2P energy management in a decentralized energy system.