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IEEE Blockchain in Energy P2418.5 WG Standards (October 2019_Claudio Lima)

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The IEEE Blockchain Energy Standards, P2418.5 provides an open, common, and interoperable reference framework model for blockchain in the energy sector. It also covers three aspects: 1) Serve as a guideline for Blockchain use cases in the Electrical Power industry; Oil & Gas industry and Renewable energy industry and their related services. 2) Create standards on reference architecture, interoperability, terminology, and system interfaces for blockchain applications in the Energy sector by building an open protocol and technology agnostic layered framework. 3) Evaluate and provide guidelines on scalability, performance, security, and interoperability through evaluation of consensus algorithm, smart contracts, and type of blockchain implementation, etc. for the Energy sector.

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IEEE Blockchain in Energy P2418.5 WG Standards (October 2019_Claudio Lima)

  1. 1. IEEE P2418.5 Blockchain in Energy WG Chair: Claudio Lima, Ph.D. October 30th, 2019All rights reserved © 2019 IEEE
  2. 2. Disclaimer This presentation and the information it contains is a brief overview and shall not be construed as legal advise or exhaustive engineering recommendation as some are working in progress. The Blockchain Reference Models and Frameworks are currently under the Blockchain Engineering Council (BEC) ownership and development. This presentation is vendor technology or implementation agnostic and neither recommends nor endorses any specific technology. The generic frameworks, models and examples presented here serves only for the purpose of introducing and defining new topics and explaining generic concepts and are currently “working in progress” and “contribution to standards” only. All rights reserved © 2019 IEEE
  3. 3. Misconception 1: Blockchain is the technology behind Bitcoin and cryptocurrencies only; used by the financial sector.  Misconception 2: Blockchain applications are only based on mining and miner nodes, using customer’s wallets. Misconception 3: Blockchain is based on energy inefficient proof-of-work (PoW) consensus algorithm.  3 Misconceptions of Blockchain in the Energy Sector All rights reserved © 2019 IEEE
  4. 4. IEEE P2418.5 Blockchain in Energy Standards Charter Goals • Create domains and building blocks • Define/create sub-systems, key actors and interfaces • Define terminology, ontology and acronyms • Create grid segmentation • Classify, validate use cases • Create functional requirements • Create reference frameworks and architecture • Create interoperability frameworks • Harmonize with existing and future IEEE and other international blockchain DLT grid standards All rights reserved © 2019 IEEE
  5. 5. Classification of Blockchain/DLT Standards DLT/Blockchain Generic Framework Standards focused on reference guide, reference frameworks, architectures, terminologies, interfaces, ontology, classification etc. focused on client interfaces, ID management, data formats, consensus algorithm, token specifications, etc. focused on energy, health care, telecom/IT, manufacturing, supply chain, etc focused on Ethereum, Hyperledger, Corda, etc Global SDO-Standards Development Organization Country-based SDO Industry Consortium, Alliance, Special Interest Groups (SIG) DLT/Blockchain Enabling Technology Standards DLT/Blockchain Platform-Specific Standards DLT/Blockchain Vertical Industry-Specific Standards DLT/Blockchain Standards Categories source: BEC, IEEE IEEE P2418.5 All rights reserved © 2019 IEEE
  6. 6. P2418.5 Blockchain DLT Key Principles Key Principles ”Open” and Interoperable DLT/Blockchain Standards-Based Recommended Approach Open Standards Secure Technology Agnostic Future Proof Interoperable Scalable Modular Manageable Reliable Inclusive 10BestPrinciples&Recommendations P2418.5 All rights reserved © 2019 IEEE
  7. 7. P2418.5 Project Details Claudio Lima, Chair Blockchain Engineering Council, BEC Sherry Lee, Vice Chair GE Umit Cali, 2nd Vice Chair UNC Charlotte Johnny Lin, Secretary 0xSenses Corporation All rights reserved © 2019 IEEE
  8. 8. Methodology Define the Initial Reference Model Map the Reference Framework with Selected Use Cases Revise, Refine, Iterate, Improve Market Survey Run Industry Market Survey Blockchain Energy Framework Identify Key Grid Energy Use Cases Standards Draft DONE DONE IN PROGRESS NEXT NEXT DONE All rights reserved © 2019 IEEE
  9. 9. Defining Key BDLT Blockchain-DLT Layers Things Things Things Things Things NETWORK (connectivity, runtime, cloud infrastructure and/or P2P) DATA MODELS PROCESSES SERVICES APPLICATIONS TRANSACTIVE physicalandcybersecuritylayer DLT Layers IoT, OS, UID node, OS, VM/kubernetes, P2P messaging/discovery marketplace, monetization layer transactions/contract, tokens decentralized apps (Dapps) consensus algorithms block, chain structure, cryptography,hashing The building layers of Blockchain DLT systems need to be defined to categorize its key elements, independent of the DLT technology adopted All rights reserved © 2019 IEEE
  10. 10. Retailer/Prosumer Open Blockchain Energy (OBE) Framework API Retailer Energy Provider ProsumerDSO/ RTO residential, microgrid Operations API Wholesaler Energy Provider Decentralized Applications - DApps Regulator * PoA: Proof-of-Authority OBEBUS API: Application Programming Interface DSO: Distribution System Operators RTO: Regional Transmission Organizations Prosumer: Production-Consumption Energy User Open Blockchain Energy (OBE) Framework All rights reserved © 2019 IEEE
  11. 11. OBE Application Segmentation All rights reserved © 2019 IEEE Open Blockchain Energy (OBE) Framework Renewable Energy Certification EV Management P2P Transactive Energy Energy Trading Metering/Billing Grid Asset Management Energy Efficiency Home Appliances Regulatory Compliance Energy Payment Retailer/Prosumer API Operations API Demand Response source: Blockchain Engineering Council, BEC OBEBUS PERMISSIONEDBLOCKCHAIN/DLT An Open Blockchain Energy Reference Model is needed to help drive new grid services, improve and optimize the existing ones and eventually help new regulation in the Energy sector.
  12. 12. P2418.5 Blockchain Energy Segmentation Use Cases IEEE P2418.5 source: IEEE P2418.5 Blockchain in Energy WG All rights reserved © 2019 IEEE
  13. 13. All rights reserved © 2019 IEEE Grid Blockchain/DLT Task Force Groups Segmentation DLT MC T&D Assets transformer C&I Residential Load recloser capacitor bank/ volt-var/voltage regulator smart meter DER/ Renewable SubstationTransmission T&D DLT MC Grid Edge/Distribution Assets DLT Prosumer AMI: Advanced Metering Infrastructure EMS: Energy Management System DERMS: DER Management System DER: Distributed Energy Resource C&I: Consumer & Industrial PMU: Phasor Measurement Unit MC: Mission Critical T&D: Transmission & Distribution synchrophasor/ PMU network Generation distribution feeder EMS/DERMS AMI Enterprise Shall comply with 2P2S design principles (Performance, Privacy, Security & Scalabiluty (Performance, Privacy, Security & Scalability) TF 1: Grid Cybersecurity TF3: Transactive Energy Grid Edge Grid Prosumer TF 2: Utililty EV Management Energy Certificate Energy Forecast NEW
  14. 14. 3 Main Categories of Blockchain DLT (BDLT) Systems The first design criteria for permissioned DLT systems is to identify which BDLT category applies for a particular application There isn’t a “one-size fits all” solution in Blockchain design DLT operational DLT enterprise IT DLT customer facing mission critical assets and operation processes (control and automation) enterprise IT processes end customer interactions and behavior First Level of Interoperability interface All rights reserved © 2019 IEEE
  15. 15. Identifying the DLT Grid Customer-Facing Framework Category DLT Enterprise IT DLT Enterprise IT Layer DLTCustomer-FacingLayer DLT Operational Layer DLT operational DLT enterprise IT DLT customer facing enterprise IT processes interface DLT Domains All rights reserved © 2019 IEEE
  16. 16. Utility Grid DLT Domains and Interoperability T&D grid control, automation optimization (e.g. substation and feeder automation) Utility Enterprise (AMI, OMS, EMS, etc.) Consumer-Facing (smart meter, rooftop solar PV, HEMS, EV, loads, demand response,mobile app,etc) DLT Operational DLT Consumer DLT Enterprise interface All rights reserved © 2019 IEEE
  17. 17. Adding the Open Blockchain Energy (OBE) Transactive Layer Transactive Energy with Blockchain, Presentation NARUC Summer Policy Summit 2018 ma10/blockchain-transactive- energy-bec-july-15th-2018-pdf All rights reserved © 2019 IEEE
  18. 18. Blockchain DLT Transactive Energy System (DLT-TES) Framework (for IEEE P2418.5 standards) • Decentralized clearing data network • Trusted TE system • No Intermediaries involved • Data privacy (assets, customer ID, transaction) protection mechanisms All rights reserved © 2019 IEEE TE – Transactive Energy TMP – Transactive Management Platform
  19. 19. Categories of DLT-TES There are 3 main categories of DLT-TES: • Grid-connected DLT-TES tightly coupled • Grid-connected DLT-TES loosely coupled • Other Non DLT-TES (off-grid) source: BEC All rights reserved © 2019 IEEE
  20. 20. Smart Legal Energy Contract (SLEC) for Bilateral Energy Transactions (state regulation) Smart Legal Energy Contracts needs be uniform across states and countries as part of their DLT-TE regulatory policy All rights reserved © 2019 IEEE
  21. 21. IEEE Blockchain Energy Activities IEEE Future Directions/ Blockchain Initiative IEEE Blockchain Transactive Energy Project Standards P2418.5/TF3 Terminologies, Definitions, Clarifications Testbeds Reference Frameworks Regulation/Policies Aspects Interoperability Model Launched IEEE PES General Meeting/ EEE Smart Grid (Atlanta, August 2019) IEEE Blockchain Transactive Energy Initiatives IEEE Standards (SA) IEEE Smart Grid Events Use Cases Education Interoperability Framework P2418.5/TF3 IEEE Conferences IEEE PES Blockchain Energy 2019 IEEE NIST Blockchain 2019 Webinar Special Project All rights reserved © 2019 IEEE
  22. 22. Call for Contributions to IEEE P2418.5 • We seek industry collaboration, energy/utiity companies, SMEs and the technical community contribution to engage and help drive this standard • IEEE is a global standards • Bi-weekly calls Please send your interest to join or present to All rights reserved © 2019 IEEE