The idea is that in a fully decentralized microgrid, prosumers engage in P2P trading, meaning they can sell any surplus energy directly to others in the network without central intermediation. This system is underpinned by two layers: the virtual layer, which is the secured connection for information exchange and transactions between prosumers, and the physical layer, which handles the actual transfer of electricity between seller and buyer after a transaction is completed virtually.
Blockchain technology is often used to support such decentralized systems by providing a secure, transparent, and immutable digital record of all transactions across multiple computers linked in a P2P network. This ensures a trustworthy environment for participants, removing the need for traditional intermediaries. As energy trading within microgrids advances, blockchain's role has become increasingly significant, offering benefits such as reducing transaction costs and losses, enhancing grid reliability, and enabling the effective allocation and management of energy resources.
These P2P microgrid projects align with broader energy transitions towards more sustainable and decentralized energy scenarios, focusing on local generation and consumption of renewable electricity, improved cooperation of distributed energy resources, and flexible demand management.