Towards Decentralized Governance in Microgrids: A DAO-Based Framework

Abstract

This paper introduces a novel decentralized autonomous organization (DAO) framework for microgrid governance, specifically targeting diverse stakeholder ownership. It integrates principles of decentralization, democratization, and digitization to streamline the just energy transition. The multifaceted model synthesizes key DAO mechanisms with microgrid elements by incorporating tokenomics, fund management, actor reputation, decision-making, tender selections and dispute resolutions. Preliminary conceptual validation in Python case studies demonstrates the feasibility of the approach. However, further research and validation are needed to pave the way from centralized structures to a more empowered, equitable and resilient future.