Blockchain Architectures for P2P Energy Trading Between Neighbors

Abstract

We consider blockchain architectures for P2P energy trading of surpluses and demands between prosumers and consumers in the neighborhood without any intermediaries. We identify key elements comprising the P2P energy trading platform based on blockchain. The software architecture of our energy trading platform is provided with example codes. We build smart contracts on Ethereum for determination of trading price as well as matching between prosumers and consumers in such a way to balance the surpluses and the demands. At the start of each trading period, the prosumers and consumers send their respective amounts of surplus or demand. And the smart contract for price determination automatically evaluates the price in a predetermined way to balance surplus and demand within the neighborhood. Another smart contract performs matching between prosumers and consumers using this price. Authenticated and private messaging called `whisper' is employed for prosumers and DSO(Distributed System Operator)s to notify injection of surplus energy to the DSO and verify the ownership of the injected energy. Each participant interacts with Ethereum virtual machine through web server built with Node.js, Web3.js and Geth. We build a small experimental setup with 4 Raspberry-Pis in a private Ethereum network to provide proof-of-concept for our blockchain based P2P trading architecture between neighbors.