Applications of Blockchain Methodologies for Microgrid Energy Transactions While Maintaining User Privacy and Data Security – A Review

Abstract

To overcome design and integration challenges of microgrids with the legacy grid, the future power grid needs careful application of information and communication technologies. Additionally, to meet local needs and for better control, decentralized microgrids may be a realistic solution with controls that integrate communication, smart metering, and cogeneration. The real time information processing capability leads to a robust, cost-effective, and scalable solution. Next, to establish an efficient transaction infrastructure which will be transparent for select data and information types, while simultaneously keeping users’ information private, a blockchain-based mechanism may be an acceptable approach. In this paper, we review research efforts and protocol implementations in this area. We contend that most prior work has focused on market-making aspects without sufficient focus on control system engineering for user privacy and system security in diverse possible blockchain energy grid redesigns.