Peer-to-Peer Trading in Electricity Networks An Overview
📝 Original Paper Info
- Title: Peer-to-Peer Trading in Electricity Networks An Overview- ArXiv ID: 2001.06882
- Date: 2020-01-22
- Authors: Wayes Tushar, Tapan K. Saha, Chau Yuen, David Smith, and H. Vincent Poor
📝 Abstract
Peer-to-peer trading is a next-generation energy management technique that economically benefits proactive consumers (prosumers) transacting their energy as goods and services. At the same time, peer-to-peer energy trading is also expected to help the grid by reducing peak demand, lowering reserve requirements, and curtailing network loss. However, large-scale deployment of peer-to-peer trading in electricity networks poses a number of challenges in modeling transactions in both the virtual and physical layers of the network. As such, this article provides a comprehensive review of the state-of-the-art in research on peer-to-peer energy trading techniques. By doing so, we provide an overview of the key features of peer-to-peer trading and its benefits of relevance to the grid and prosumers. Then, we systematically classify the existing research in terms of the challenges that the studies address in the virtual and the physical layers. We then further identify and discuss those technical approaches that have been extensively used to address the challenges in peer-to-peer transactions. Finally, the paper is concluded with potential future research directions.💡 Summary & Analysis
This paper explores the impact and importance of peer-to-peer (P2P) trading techniques on electricity networks. P2P trading enables direct energy exchange between producers and consumers, providing economic benefits while enhancing network efficiency. The central issue addressed is the inefficiency in traditional centralized power grids due to imbalances between energy production and consumption.The solution involves a system that allows for direct sales of energy from producers to consumers, increasing economic gains through P2P transactions. Various technological approaches are used to model these transactions across virtual and physical network layers.
Key outcomes include evidence that P2P trading can effectively reduce peak demand times, lower reserve requirements, and decrease network losses. The paper also identifies and discusses various technical solutions applied in addressing the challenges of P2P transactions within energy networks.
The significance of this research lies in its demonstration of how P2P trading could play a crucial role in future energy systems by improving grid efficiency, reducing dependency on traditional power grids, and promoting the spread of renewable energy sources. This technology holds promise for creating more sustainable and efficient energy management practices.