Decentralized Renewable Energy Pricing and Allocation for Millimeter Wave Cellular Backhaul

In this paper, a renewable energy powered millimeter wave (mmW) backhaul network is studied. In the considered model, the wireless operator must request renewable energy from multiple renewable power suppliers (RPSs) to serve the end mobile users using the mmW backhaul. The unit price of renewable energy depends on the RPS's production capacity/lead time for the corresponding backhaul node. A lead time-dependent pricing scheme is proposed thus enabling the operator to manage the traffic latency over the backhaul and co-ordinate independent RPSs' decisions on the renewable energy storage levels with uncertain wireless traffic demand. Toward this end, the problem is formulated as a Stackelberg game between the operator and multiple RPSs. In this game, the operator first specifies a pricing scheme for RPSs and each RPS should then make its own decision in stocking the renewable energy. Then, efficient distributed algorithms are proposed to find the operator's optimal pricing scheme, and the RPSs' Pareto equilibrium storage strategies, respectively. Our results provide useful insights for understanding the tradeoff between the benefit of energy savings and the cost of quality-of-service (QoS) reducing for the operator. Also, simulation results show how renewable energy production capacities affect the revenue of individual RPSs in decentralized renewable-powered backhaul systems. The results also show that the proposed scheme can enable the operator to achieve more profit compared to a centralized solution.