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The desire to overcome reliability issues of distributed energy resources(DERs) lead researchers to development of a novel concept named as virtualpower plant (VPP). VPPs are supposed to carry out intelligent, secure, andsmart energy trading among prosumers, buyers, and generating stations alongwith providing efficient energy management. Therefore, integrating blockchainin a decentralized VPP network emerged as a new paradigm, and recentexperiments over this integration have shown fruitful results. However, thisdecentralization also suffers with energy management, trust, reliability, andefficiency issues due to the dynamic nature of DERs. In order to overcome this,in this paper, we first work over providing an efficient energy managementstrategy for VPP to enhance demand response, then we propose an energy orientedtrading and block mining protocol and name it as proof of energy market (PoEM).To enhance it further, we integrate differential privacy in PoEM and propose aPrivate PoEM (PPoEM) model. Collectively, we propose a private decentralizedVPP trading model and named it as Virtual Private Trading (VPT) model. Wefurther carry out extensive theoretical analysis and derive step-by-stepvaluations for market race probability, market stability probability, energytrading expectation, winning state probability, and prospective leading timeprofit values. Afterwards, we carry out simulation-based experiments of ourproposed model. The performance evaluation and theoretical analysis of our VPTmodel make it one of the most viable models for blockchain based VPP networksas compared to other state-of-the-art works.

VPT: Privacy Preserving Energy Trading and Block Mining Mechanism for Blockchain based Virtual Power Plants