A Review of Methodical Decentralisation of Energy and Energy Transactions Utilising Distributed Ledger via Transition Architecture Based Framework

Abstract

This paper is a review of literature, resources and advances in peer to peer ledger technology adoption and not just the evolution of ledger technology in power sector. It also introduces the concept of transition architectures from the field of enterprise architecture to fill the gap in adoption. It reviews the possibility of de-centralising energy optimally and the possibility of using an architecture roadmap of milestones (transition states) via transition architectures to enhance adoption rates. The paper evaluates features of distributed ledgers. It identifies the core features that can be introduced independent of each other, thereby making a minimal usable product in each transition state via transition architectures with a view of target state that would encompass all core features. It covers engaging the current participants (generators, transmission, distributors, metering, retailers, prosumers, banks, regulators and others); and how a gradual evolving nature via transition architectures would increase adoption due to smooth transition as the roles of current participants evolve while the market dynamics re-orchestrates. A discussion and proposal for a custom distributed ledger framework for energy domain balancing decentralisation, immutability, verification and transparency in a gradual manner; to address privacy, compliance, regulations and peer to peer trading is presented.