Leveraging Blockchain Technology to Combat Electricity Theft: A Decentralized and Secure Approach

DOI

10.2991/978-94-6463-872-1_54How to use a DOI?

Keywords

Blockchain; Electricity Theft; Smart Contracts; Energy Distribution; Decentralized Ledger; Fraud Prevention

Abstract

Electricity theft poses significant challenges worldwide, resulting in substantial financial losses, operational difficulties, and hazardous working environments. The management of electricity theft is often inadequate, primarily due to the complexity of power grids and reliance on traditional monitoring methods that depend on manual inspections and legal actions. This research explores the potential of blockchain as a decentralized and secure system to combat electricity theft. By utilizing blockchain-based smart meter networks, utilities can achieve autonomous monitoring, allowing for real- time surveillance and immediate detection of fraud, all while adhering to regulatory protocols without the need for extensive human intervention. The study implements a Proof of Stake (PoS) and Proof of Authority (PoA) consensus mechanism to facilitate blockchain transactions and optimize computational tasks. It presents outcomes from a machine learning anomaly detection analysis alongside blockchain- based fraud prevention measures, demonstrating that blockchain can ensure the integrity of energy transactions. Furthermore, the research examines the impact of blockchain systems on the social and economic aspects of grid theft operations. It suggests that such systems can reduce the need for inspections and enhance security measures by creating trans- parent electric network systems. The paper also summarizes the key implementation challenges, which include scalability limitations, regulatory constraints, and system integration issues, before proposing future advancements through artificial intelligence for fraud prevention.

Copyright

© 2025 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Mrinmoy Aich
AU  - Diganta Sengupta
AU  - Srinath Chandramohan
PY  - 2025
DA  - 2025/11/04
TI  - Leveraging Blockchain Technology to Combat Electricity Theft: A Decentralized and Secure Approach
BT  - Proceedings of the 2nd International Conference on Sustainable Business Practices and Innovative Models (ICSBPIM-2025)
PB  - Atlantis Press
SP  - 877
EP  - 889
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6463-872-1_54
DO  - 10.2991/978-94-6463-872-1_54
ID  - Aich2025
ER  -