Implementing destructive technologies in energy sector

Introduction

This project focuses on The Brightline Initiative’s Guiding Principles #3 described as “Dedicate and mobilize the right resources.” and #6 described as “Promote team engagement and effective cross-business cooperation”. In order to implement destructive technologies to electric power industry, it is necessary to cooperate with various industries and to leverage and combine the participants’ knowledge, experience and technology. This allows for approaches that cannot be done by a single industry or company.

We are promoting this project by making full use of “right resources” from all aspects of Industry, Technology, Policy and Society, that is, “cross-business cooperation”. From viewpoint of Industry and Technology, companies from not only the electric power industry but also from many industries including digital industry or finance industry participate in the Internet of Energy social collaboration course which we organize. From viewpoint of Policy, Professor Tanaka joined the government’s technical committee. In order to achieve social implementation of new technologies, we point out legal issues and aim for improvement. From viewpoint of Society, we conduct public awareness activities by contributing to books and interviews by media in order to create social acceptability and citizen’s expectations of implementation of this technology to the society.

 

Research Projects

P2P energy trading platform using Blockchain


The outline of the project

The last decades has seen a huge increase of distributed energy resources. Managing this growing number of intermittent resources requires both a highly interconnected grid as well as distributed storage for balancing supply and demand. As the trend for decentralized infrastructure and hardware continues, so does the need for decentralized control systems and energy management software. We argue that market mechanisms will be key to incentivizing both consumer and prosumer to participate in electricity trading in order to alleviate peak demands and solving the demand-response problem. However, being able to conceive a secure and decentralized control and billing system adapted to such autonomous, peer-to-peer exchanges is one of the biggest challenges of this century. Blockchain is often denoted as a potential solution for scaling decentralized transactions in a trustless way, but the real value and applicability to full scale prototypes is still unclear.

We have been analyzing the applicability of Blockchain as new decentralized tool to enable P2P trading within prosumers of micro-grids. To test the feasibility of such a system, we used a real scale micro-grid in Urawa Misono, a city north of Tokyo, as underlying platform. It consists of 14 households and a shopping mall. Consumers and prosumers are equipped with blockchain enabled digital routers so that they can exchange electricity over a private power network. Each user can submit an energy bid (amount, and price) which is then matched using a continuous trading algorithm similar to the one used for spot markets. For this, 48 spot markets are implemented as Smart Contracts on a private Blockchain. In parallel, we investigate market mechanism such as continuous double auction model from a theoretical standpoint. This ongoing research is carried out in collaboration with industries using data sets from real world micro-grids.

2018 MIT SDM Conference 
Kenji Tanaka
Model-based research and demonstration of electricity trading platform using blockchain

Outcomes

  • 2018.7 – Kenji TANAKA, Rikiya ABE, Triet NGUYEN-VAN, Yuto YAMAZAKI,Tetsuya KAMITAMARI , Kazue SAKO and Toshio KOIDE, “A market based peer-to-peer energy grid with blockchain technology”, Proc. of the 25th ISPE International Conference on Transdisciplinary Engineering, Vol.7, pp. 976-983
  • 2018.7 – Kenji TANAKA, “Applying New Digital Technologies – A Case of Blockchain Based Energy Network”, Chief Strategy Officer Summit in Singapore

Back to outline of Brightline Initiative