A Lightweight Incentive-Based Privacy-Preserving Smart Metering Protocol for Value-Added Services
arXiv:2508.14703v2 Announce Type: replace Abstract: The emergence of smart grid and advanced metering infrastructure (AMI) has revolutionized energy management.
AMI has enabled a wide variety of demand- and supply-side management utilities, including billing, outage detection, grid monitoring, load forecasting, and value-added services.
In AMI, meters deliver consumption values at predefined intervals to the utility provider (UP), and such readings can raise privacy violation issues. With such data, an adversary can deduce information about individuals' life patterns and the types of electrical and smart devices within their homes.
In this paper, we propose a lightweight, privacy-preserving smart metering protocol to provide incentive-based value-added services. The scheme employs temporal-based aggregation and local differential privacy to enable reporting of coarse-grained consumption values with adjustable granularity while limiting the information revealed to the UP.
Hash-chain credentials and blind digital signatures enable anonymous authentication of reported readings, while pseudonyms and anonymous overlay networks conceal the source of reports, providing anonymity and unlinkability between customers and their reported consumption values. This approach protects consumers' privacy while preserving data utility and enables automatic token redemption at the specified time.
Finally, we evaluate our protocol from two aspects: performance and privacy. With a 2048-bit RSA key size, a 7-day program duration, and four reports per day, our complete protocol implementation takes about 3.36 seconds and consumes an average of 4.5 MB of memory.
Our formal analysis demonstrates consumption-value privacy, participant anonymity, and issuance--reporting unlinkability against semi-trusted aggregators and utility providers, while resisting untrusted active and passive adversaries.