Peer-to-Peer Energy Trading in a Micro-grid Using Internet of Things and Blockchain

Abstract

With advancements in renewable energy techno­logies, consumers are becoming prosumers, and renewable energy resources are being used in distributed networks. In an isolated distributed system, peer-to-peer (P2P) energy trading is one of the most promising energy management solutions. In this paper, we propose a P2P energy trading method for micro-grids using open resources and technology. The proposed setup comprises an Internet of Things (IoT) server to transfer energy amongst the peers without human intervention, and an Ethereum based private blockchain is suggested for money transfer in the form of cryptocurrency. The IoT server enables the peers to control and monitor self-produced energy. Arduino UNO, ACS 712 hall-effect current sensor, and a relay are the main components used in the hardware setup. The current sensor data is sent in real- time to Arduino for onward communication to the IoT server. A user-friendly interface has been developed on the server to perform various energy trading tasks. Peers have the choice to access the server remotely to perform energy trading tasks. The energy trading events can be shared amongst peers through e-mail notifications. For financial transactions, we utilized Ganache graphical user interface (GUI) a private Ethereum blockchain eliminating the need for financial institutions. The proposed peer-to-peer energy trading model has been successfully tested for energy trading between two peers. This paper provides details of the proposed hardware and software setup and explains how low-cost P2P energy trading can be achieved.