A motivational game-theoretic approach for peer-to-peer energy trading in the smart grid

Abstract

Peer-to-peer trading in energy networks is expected to be exclusively conducted by the prosumers of the network with negligible influence from the grid. This raises the critical question: how can enough prosumers be encouraged to participate in peer-to-peer trading so as to make its operation sustainable and beneficial to the overall electricity network? To this end, this paper proposes how a motivational psychology framework can be used effectively to design peer-to-peer energy trading to increase user participation. To do so, first, the state-of-the-art of peer-to-peer energy trading literature is discussed by following a systematic classification, and gaps in existing studies are identified. Second, a motivation psychology framework is introduced, which consists of a number of motivational models that a prosumer needs to satisfy before being convinced to participate in energy trading. Third, a game-theoretic peer-to-peer energy trading scheme is developed, its relevant properties are studied, and it is shown that the coalition among different prosumers is a stable coalition. Fourth, through numerical case studies, it is shown that the proposed model can reduce carbon emissions by 18.38% and 9.82% in a single day in Summer and Winter respectively compared to a feed-in-tariff scheme. The proposed scheme is also shown to reduce the cost of energy up to 118 ¢ and 87 ¢ per day in Summer and Winter respectively. Finally, how the outcomes of the scheme satisfy all the motivational psychology models is discussed, which subsequently shows its potential to attract users to participate in energy trading.

A coalition formation game framework for peer-to-peer energy trading

“…• The utility received by each prosumer from Γ satisfies the rational economic, elaboration likelihood and positive reinforcement models of motivational psychology [56].…”

Leveraging Blockchain Technology for Secure Energy Trading and Least-Cost Evaluation of Decentralized Contributions to Electrification in Sub-Saharan Africa

“…However, operation and control of DERs from different prosumers may raise problems in storage and generation. In the literature, the game theory approach is used to model and coordinate individual prosumer within peer-to-peer (P2P) environment such that each entity hopes to maximize its payoff [27][28][29][30]. In P2P energy trading, fixed price mechanism becomes inefficient as the participants of energy trading need to set energy price based on negotiation, auction and sometimes through an analytical approach.…”

Economic and Climatic Impacts of Different Peer-to-Peer Game Theoretic–Based Energy Trading Systems

“…• Economic model: A model in which benefits can be improved and energy expenses can be minimized for users is classified as economic model. The P2P trading system ensures that, the peers can improve their revenue by sharing their surplus power with nearby users or the grid at specified rate and can reduce their expenses by getting energy at reasonable price from nearby active users [24]. These peers have independent energy profile for both energy generation and consumption [34].…”

“…In addition, It is also a challenging task to realize the peers that all energy management approaches are prosumer centric [23]. In [24], the authors have used a game theoretic-based approach for peers' energy trading without any storage systems and load management. They have also used motivational psychology to improve users' participation, however, more attractive motivational models have been introduced by us to improve desired results by using norm activation theory (NAT) for a peers' behavior control.…”