Distributed Proportional-Fairness Control in MicroGrids via Blockchain\n Smart Contracts

Abstract

Residential microgrids (MGs) may host a large number of Distributed Energy\nResources (DERs). The strategy that maximizes the revenue for each individual\nDER is the one in which the DER operates at capacity, injecting all available\npower into the grid. However, when the DER penetration is high and the\nconsumption low, this strategy may lead to power surplus that causes voltage\nincrease over recommended limits. In order to create incentives for the DER to\noperate below capacity, we propose a proportional-fairness control strategy in\nwhich (i) a subset of DERs decrease their own power output, sacrificing the\nindividual revenue, and (ii) the DERs in the subset are dynamically selected\nbased on the record of their control history. The trustworthy implementation of\nthe scheme is carried out through a custom-designed blockchain mechanism that\nmaintains a distributed database trusted by all DERs. In particular, the\nblockchain is used to stipulate and store a smart contract that enforces\nproportional fairness. The simulation results verify the potential of the\nproposed framework.\n