A Blockchain-Based Monitoring System for Oil Pipeline Distribution with IoT Technology

Abstract

In distributing crude oil from production wells to oil processing units, the pipeline network is considered the primary means of transporting petroleum products. However, in the process of distributing oil using pipes, several problems are currently still found, namely the discrepancy in the amount of oil sent from gas stations with the amount of oil arriving at oil processing refineries, the falsification of data and the occurrence of oil theft through pipes due to the absence of monitoring along the pipeline route. Pipeline monitoring is complex because pipelines are often located in remote areas and are difficult to reach. Therefore, to overcome this problem, this research proposes a solution by creating a prototype monitoring system to monitor oil distribution through pipes using blockchain technology and supported by sensor devices installed on pipes. This research was developed using Ethereum as a blockchain and the solidity programming language and a private blockchain network to maintain the privacy and security of oil distribution data through pipelines by data records from sensors along the pipe. Based on the results of designing a private blockchain-based oil distribution monitoring system through pipelines that have been proposed in this research, it is hoped that this system can help overcome problems that occur in the oil distribution process through pipelines and can help make it easier for parties to record data and monitor oil distribution in Indonesia.