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Consumer Demand for Blockchain-Enabled Peer-to-Peer Electricity Trading in the United Kingdom: An Online Survey Experiment

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  • Michael J. Fell

    (UCL Energy Institute, London WC1H 0NN, UK)

  • Alexandra Schneiders

    (UCL Energy Institute, London WC1H 0NN, UK)

  • David Shipworth

    (UCL Energy Institute, London WC1H 0NN, UK)

Abstract

Peer-to-peer (P2P) energy trading could help address grid management challenges in a decentralizing electricity system, as well as provide other social and environmental benefits. Many existing and proposed trading schemes are enabled by blockchain, a distributed ledger technology (DLT) relying on cryptographic proof of ownership rather than human intermediaries to establish energy transactions. This study used an online survey experiment ( n = 2064) to investigate how consumer demand for blockchain-enabled peer-to-peer energy trading schemes in the United Kingdom varies depending on how the consumer proposition is designed and communicated. The analysis provides some evidence of a preference for schemes offering to meet a higher proportion of participants’ energy needs and for those operating at the city/region (as compared to national or neighbourhood) level. People were more likely to say they would participate when the scheme was framed as being run by their local council, followed by an energy supplier, community energy organization, and social media company. Anonymity was the most valued DLT characteristic and mentioning blockchain’s association with Bitcoin led to a substantial decrease in intended uptake. We highlight a range of important questions and implications suggested by these findings for the introduction and operation of P2P trading schemes.

Suggested Citation

  • Michael J. Fell & Alexandra Schneiders & David Shipworth, 2019. "Consumer Demand for Blockchain-Enabled Peer-to-Peer Electricity Trading in the United Kingdom: An Online Survey Experiment," Energies, MDPI, vol. 12(20), pages 1-25, October.
    • Handle: RePEc:gam:jeners:v:12:y:2019:i:20:p:3913-:d:276933
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    Cited by:

    1. Watson, Nicole E. & Huebner, Gesche M. & Fell, Michael J. & Shipworth, David, 2020. "Two energy suppliers are better than one: Survey experiments on consumer engagement with local energy in GB," Energy Policy, Elsevier, vol. 147(C).
    2. Siripha Junlakarn & Phimsupha Kokchang & Kulyos Audomvongseree, 2022. "Drivers and Challenges of Peer-to-Peer Energy Trading Development in Thailand," Energies, MDPI, vol. 15(3), pages 1-25, February.
    3. Büttgen, Marion & al.,, 2021. "Blockchain in Service Management and Service Research - Developing a Research Agenda and Managerial Implications," SMR - Journal of Service Management Research, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 5(2), pages 71-102.
    4. Ye-Byoul Son & Jong-Hyuk Im & Hee-Yong Kwon & Seong-Yun Jeon & Mun-Kyu Lee, 2020. "Privacy-Preserving Peer-to-Peer Energy Trading in Blockchain-Enabled Smart Grids Using Functional Encryption," Energies, MDPI, vol. 13(6), pages 1-22, March.
    5. Koo-Hyung Chung & Don Hur, 2020. "Towards the Design of P2P Energy Trading Scheme Based on Optimal Energy Scheduling for Prosumers," Energies, MDPI, vol. 13(19), pages 1-15, October.
    6. Mehdi Montakhabi & Fairouz Zobiri & Shenja van der Graaf & Geert Deconinck & Domenico Orlando & Pieter Ballon & Mustafa A. Mustafa, 2021. "An Ecosystem View of Peer-to-Peer Electricity Trading: Scenario Building by Business Model Matrix to Identify New Roles," Energies, MDPI, vol. 14(15), pages 1-22, July.
    7. Sophie Adams & Donal Brown & Juan Pablo Cárdenas Álvarez & Ruzanna Chitchyan & Michael J. Fell & Ulf J. J. Hahnel & Kristina Hojckova & Charlotte Johnson & Lurian Klein & Mehdi Montakhabi & Kelvin Say, 2021. "Social and Economic Value in Emerging Decentralized Energy Business Models: A Critical Review," Energies, MDPI, vol. 14(23), pages 1-29, November.
    8. Alessandra Chiarini & Lorenzo Compagnucci, 2022. "Blockchain, Data Protection and P2P Energy Trading: A Review on Legal and Economic Challenges," Sustainability, MDPI, vol. 14(23), pages 1-20, December.
    9. Hahnel, Ulf J.J. & Fell, Michael J., 2022. "Pricing decisions in peer-to-peer and prosumer-centred electricity markets: Experimental analysis in Germany and the United Kingdom," Renewable and Sustainable Energy Reviews, Elsevier, vol. 162(C).
    10. Watson, Nicole Elizabeth & Huebner, Gesche & Fell, Michael James & Shipworth, David, 2020. "Two energy suppliers are better than one: survey experiments on consumer engagement with local energy in GB," SocArXiv e9nyu, Center for Open Science.
    11. Anna Borkovcová & Miloslava Černá & Marcela Sokolová, 2022. "Blockchain in the Energy Sector—Systematic Review," Sustainability, MDPI, vol. 14(22), pages 1-12, November.
    12. Longze Wang & Shucen Jiao & Yu Xie & Saif Mubaarak & Delong Zhang & Jinxin Liu & Siyu Jiang & Yan Zhang & Meicheng Li, 2021. "A Permissioned Blockchain-Based Energy Management System for Renewable Energy Microgrids," Sustainability, MDPI, vol. 13(3), pages 1-19, January.

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