Blockchain-Enabled Peer-to-Peer Energy Trading Framework for Prosumer Integration in Bangladesh's Emerging Smart Grid

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Abstract

The rapid growth of distributed renewable energy resources, particularly rooftop solar photovoltaic systems, has created unprecedented opportunitiesfor peer-to-peer (P2P) energy trading in developing countries. Bangladesh,with its ambitious target of achieving 30% renewable energy by 2040 and a current rooftop solar capacity of 245 MW as of June 2025, presents a compelling case for implementing blockchain-enabled P2P energy trading frameworks. This paper proposes a comprehensive blockchain-based P2Penergy trading framework specifically designed for prosumer integration inBangladesh’s emerging smart grid infrastructure. The proposed framework incorporates a consortium blockchain architecture with Delegated Proof of Stake (DPoS) consensus mechanism, enabling secure, transparent, and efficient energy transactions among prosumers. A novel game-theoretic pricing mechanism based on supply-demand ratio (SDR) dynamics is developed,utilizing Stackelberg game formulation to achieve Nash equilibrium in de-centralized trading scenarios. The framework integrates smart contractsfor automated order matching, price calculation, and settlement, ensuring transaction integrity while minimizing operational costs. Extensive simulations using real Bangladesh electricity consumption data demonstrate that the proposed framework achieves a 34.2% average cost reduction for consumers compared to grid prices, with prosumer revenue enhancement of 85% over traditional feed-in tariff models. The blockchain consensus mechanism achieves transaction throughput of 3,500 transactions per second with latency under 5 seconds for networks up to 100 prosumers. Sensitivity analysis reveals that the framework maintains stability across varying supply-demand ratios (0.3–2.0) and prosumer participation rates (10–100%). The findings provide actionable insights for policymakers and stakeholders in Bangladesh’s energy sector, contributing to the country’s sustainable energy transition and achieving Sustainable Development Goal 7.

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