Ethereum smart contract-based automated power trading algorithm in a microgrid environment

A recently emerged microgrid system presents the concept of a prosumer that consumers can also become suppliers, instead of a one-way configuration with separate providers and consumers. The microgrid system allows users to produce electricity, sell it on demand, and purchase them from other users. Unlike conventional centralized power trading, this emerging system aims on providing decentralized, transparent, and secure power trading. In this paper, we introduce a transparent and safe power trading algorithm between users using blockchain. The proposed algorithm has been implemented with an executable distributed code (i.e., smart contract) in an Ethereum blockchain platform. It explores for the power trading with automated operations in a decentralized environment without user intervention. The proposed power trading algorithm is written in the Solidity language and tested on the Ethereum blockchain platform. We also provide the actual code of the power trading algorithm written in the Solidity language.