Blockchain-Based Optimization of Distributed Energy Management Systems with Real-Time Demand Response

Design of distributed energy management systems composed of several agents such as factories and buildings is important for realizing smart cities. In addition, demand response for saving the power consumption is also important. In this paper, we propose a design method of distributed energy management systems with real-time demand response, in which both electrical energy and thermal energy are considered. Here, we use ADMM (Alternating Direction Method of Multipliers), which is well known as one of the powerful methods in distributed optimization. In the proposed method, demand response is performed in real-time, based on the difference between the planned demand and the actual value. Furthermore, utilizing a blockchain is also discussed. The effectiveness of the proposed method is presented by a numerical example. The importance of introducing a blockchain is pointed out by presenting the adverse effect of tampering the actual value.