DEER- Verifiable yet Privacy Preserving Data Exchange for Decentralizing Redispatch

Abstract:
Driven by the energy transition, the electricity grid is becoming increasingly decentralized. Therefore, to maintain grid security and to address the requirements for congestion management, the integration of small-scale assets like heat pumps, photovoltaic systems with battery storages, and electric cars, opens previously untapped potential for redispatch. This paper presents a novel approach that addresses the tension field between data privacy and data verifiability in the active integration of small-scale household owned assets. It describes the small-scale asset owners’ need to protect their highly sensitive energy usage data to prevent privacy breaches while ensuring grid operators the integrity of information through verifiable data exchange. Our approach leverages Self-Sovereign Identities (SSIs) and Zero-Knowledge-Proofs (ZKPs) to enable the integration of small-scale assets, empowering asset owners to market flexibility through addressing grid operators’ requirements for transparency and fraud prevention. At the same time, it ensures households’ data privacy is maintained. To this end we propose our trust diamond framework, which is currently being validated through a field test, offering a scalable blueprint for the Redispatch 3.0.