Business Model of Peer-to-Peer Energy Trading: A Review of Literature

Peer-to-peer (P2P) energy trading is a promising energy trading mechanism due to the deployment of distributed energy resources in recent years. Trading energy between prosumers and consumers in the local energy market is undergoing massive research and development, paying significant attention to the business model of the energy market. In this paper, an extensive review was conducted on the current research in P2P energy trading to understand the business layer of the energy market concerning business model dimensions: bidding strategies and the market-clearing approach. Different types of game theoretical-based and auction-based market-clearing mechanisms are investigated, including a detailed classification of auctions. This study considers the possibility of employing the P2P technique in developing countries and reviewing existing business models and trading policies. The business layer of the P2P structure plays a vital role in developing an effective trading mechanism based on interactive energy markets.

Automated summary

Peer-to-peer (P2P) energy trading is a promising mechanism that is undergoing massive research and development. This paper extensively reviews the business layer of P2P energy trading, including bidding strategies and market-clearing approaches. The study also considers the possibility of employing P2P technology in developing countries and reviews existing business models and trading policies.