Virtual Power Collective Accounting for Fair Grid Compensation
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Solution Overview
Problem
The existing power distribution and accounting system unfairly compensates consumer-generated electricity, leading to economic limitations on the size of home or business solar panel installations, as corporations may reward contributions back into the grid at a reduced rate.
Innovation Solution
A method and system where each facility's power contribution is recorded, tallied, and time-stamped by independent auditing bodies, allowing the formation of virtual electricity suppliers and fair compensation based on actual contributions.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Adaptability or versatility
If corporations reward contributions back into the grid at a reduced rate, then the grid provider maintains economic control and profit margins, but consumer power generation capabilities are unfairly penalized and installation sizes are artificially constrained
Solution Approach 1:
The patent introduces an independent auditing body as an intermediary between power generators and grid providers. This mediator verifies actual power contributions through measurement and certification, enabling consumers to be compensated based on verified generation rather than corporate-determined rates. The auditing body acts as a neutral third party that establishes trust and enables fair compensation mechanisms.
Solution Approach 2:
The system implements feedback loops where power contributions are measured, verified by auditing bodies, and used to determine compensation. This closed-loop feedback mechanism ensures that consumers receive compensation reflecting actual generation amounts, creating economic incentives for larger installations without artificial constraints.
2Measurement precision
If independent auditing bodies record and verify power contributions, then fair compensation can be implemented, but system complexity and measurement requirements increase
Solution Approach 1:
The patent divides the accounting system into separate functional components: power generation facilities, independent auditing bodies, and grid providers. Each segment performs a specific function (generation, verification, distribution), which simplifies the overall system by assigning clear responsibilities and reducing the complexity any single entity must manage.
Solution Approach 2:
The system enables facilities to self-measure and report their power contributions through installed meters and monitoring systems. This self-service approach reduces the burden on central authorities to manually measure and verify each contribution, as the facilities themselves perform the initial measurement and reporting functions.
Data Source
AI summary
A method of accounting for electrical power contribution and consumption is presented. The method comprises receiving information, from a plurality of facilities, wherein the plurality of facilities is operable to generate and/or consume electricity, and wherein the data comprises information concerning electricity contributions to a power grid, and/or consumptions from the grid by the plurality of facilities. The method further comprises applying a robust system of cryptographic processes to said information concerning electricity contributions, and attest to the authenticity of the information, as well as to the correct attribution of the facility claimed. Finally, the method comprises tracking and accounting electricity contributions and/or consumptions from each of the plurality of facilities using decrypted and verified information in a manner that allows contributions to be independently verified through audits. The method can also comprise compensating each of the facilities based on the respective electricity contribution and/or consumption of each facility.