Role of Blockchain IoT in Smart Building for Distributed Renewable Power

Introduction

Blockchain is a decentralised ledger that may be used in any sector. Multiple users may keep and manage their own transactions in the system. Its immutability, security, and transparency make it suitable for use in any transaction-based application with several steps that need privacy, auditability, and transparency. By cutting out the middleman and establishing a direct connection between buyers and sellers, blockchain technology can significantly lower transaction fees and overhead.All trades made by market participants are recorded in blocks that are distributed across the P2P system. In this ledger, each transaction is authenticated and protected against manipulation by the owner's digital signature. Public, private, and consortium blockchains differ in terms of who may contribute data to the chain and who can access the distributed ledger.In decentralized renewable energy production, combining Blockchain and the IoT in smart buildings is revolutionary (Bhutta, 2017). The production, storage, distribution, and consumption of energy in smart buildings are all set to undergo radical change as a result of this merger, as discussed below:

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  Decentralized Energy Production: Solar panels and wind turbines are two examples of renewable energy sources that may be monitored and optimized by sensors and devices in smart buildings that make use of the Internet of Things (IoT). Securely recording this information on a blockchain creates an immutable log of energy generation and guarantees openness.

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  Peer-to-Peer Energy Trading: Using blockchain IoT, smart buildings may trade energy amongst one another. Extra renewable energy produced by a building may be sold or shared with nearby structures or the regional power system. To guarantee equitable pay for energy sharing, smart contracts on the Blockchain allow for automatic and secure transactions.

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  Energy Efficiency and Optimization: Internet of Things sensors in smart buildings continually gather data on energy usage trends. This information may be utilized for efficient energy management by reducing waste and increasing productivity. Because of Blockchain's immutability and the reliability of its data, optimization choices may be confidently made.

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  Grid Resilience and Stability: We can strengthen the grid's redundancy and stability by sprinkling renewable energy production over a cluster of smart structures. The extra energy from nearby buildings may assist in balancing the load if one building faces an energy deficiency, easing the burden on the central grid.

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  Energy Tracking and Certifications: The Internet of Things (IoT) blockchain may generate energy certificates or tokens for the quantity of renewable energy generated and utilized. These tokens may be exchanged on energy markets, enabling consumers and companies to verify the reliability and legitimacy of their power supplies via a transparent and decentralized system.

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  Billing and Settlements: Billing for shared and individual energy use may be automatically and accurately handled by smart contracts on the Blockchain. By cutting out the middleman, administrative expenses may be cut, lowering the overall cost of energy transactions.

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  Data Security and Privacy: Energy-related data in smart buildings are protected and kept private because of Blockchain's decentralized and tamper-resistant nature. Cryptographic hashing of all transactions and entries protects data integrity and confidentiality.

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  Grid Load Balancing: IoT devices in smart buildings may interact with one another and the central grid through the blockchain network. This paves the way for demand response and load-balancing appliances to operate in real-time, stabilizing energy consumption.

Finally, Blockchain and IoT in smart buildings for distributed renewable power production might transform the energy sector. It allows peer-to-peer energy sharing, optimization, and grid stability in a decentralized, transparent, and efficient environment. Smart buildings use these technologies to participate in a sustainable and resilient energy network, helping achieve a better energy future (Verma et al., 2019).