A Novel Bitcoin and Block Chain Based Energy Exchange in a New Microgrid Design

Abstract

We are proposing an approach employing microgrid through which community can efficiently fulfill each other needs of energy. This model will allow micro-grid prosumers to produce, consume and trade energy deprived of any barrier. At present, such a system is not accepted because it requires the “collaboration” of central energy distributors. In our solution, we visualize the use of a blockchain system with the support of smart contracts to provide decentralization. The energy is sent to the central energy storage from the prosumer and is stored there until the consumer claims it. Using smart energy (electricity) meters the flow of electricity can be tracked accurately in both ways, neighbors can purchase spare electricity using tokens rather than paying money. As blockchain takes care of the accounting part, it records the terms of the contracts, tracks how many energy credits have been sold, by whom and to whom. The micro-grid is facilitated by its own smart contract and it can share a desired amount of energy to a connected energy consumer. The customer is aware of how much consumption energy is available at any time in the central storage. The smart contract of the micro-grid takes as input HECs (helios coin) or a bit coin and then releases the energy that corresponds to the calculated amount of HECs or bit coin received by the sender in form of the payment. The test is to monitor these exchanges and repay purchasers and dealers likewise. This project is an effort to utilize blockchain methodology for the trade of sun-based power among members effectively, without any need of third party vendors.