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Blockchain-based Negawatt Trading Platform: Conceptual Architecture and Case Studies

Demand reduction, also known as Negawatts or negative watts, has emerged as another commodity that can be exchanged. This paper discusses conceptual architecture of a blockchain-based negawatt trading platform implemented on Hyperledger. Two trading scenarios are discussed. The first scenario involves negawatt trading between a demand response aggregator and buildings. The second scenario discusses negawatt trading among buildings to meet the contract shortfalls of buildings in the first scenario. Participants, assets, transactions and transaction flows of both scenarios are described, together with the smart contracts that describe how buyers and sellers are compensated for their negawatt exchange. Case studies are implemented and compared.