Integration of Blockchain and Internet of Things in Decentralized Energy Systems to Enhance Efficiency and Renewable Energy Sustainability

Abstract

The integration of Blockchain and the Internet of Things (IoT) in decentralized energy systems offers a promising solution to enhance the efficiency, transparency, and sustainability of renewable energy. This study aims to explore how the convergence of these two technologies can address the challenges faced by traditional energy systems. A qualitative approach through a literature review was adopted to examine existing research on the application of Blockchain and IoT in decentralized energy management. The findings indicate that Blockchain can provide secure, immutable records of energy transactions, ensuring transparency and trust among participants. Meanwhile, IoT devices enable real-time data collection and monitoring, allowing for the optimization of energy distribution and consumption. The combination of Blockchain and IoT facilitates decentralized, peer-to-peer energy exchanges, making renewable energy systems more efficient and sustainable. However, challenges such as scalability, security risks, and economic feasibility need to be addressed for the widespread implementation of these technologies. This paper concludes that while the integration of Blockchain and IoT holds significant potential, further research is necessary to overcome these challenges and unlock the full potential of decentralized energy systems in achieving global sustainability goals. The study contributes to the growing body of knowledge on smart grid technologies and offers valuable insights for future developments in renewable energy systems.