Privacy on hypothesis testing in smart grids

In this paper, we study the problem of privacy information leakage in a smart grid. The privacy risk is assumed to be caused by an unauthorized binary hypothesis testing of the consumer's behaviour based on the smart meter readings of energy supplies from the energy provider. Another energy supplies are produced by an alternative energy source. A controller equipped with an energy storage device manages the energy inflows to satisfy the energy demand of the consumer. We study the optimal energy control strategy which minimizes the asymptotic exponential decay rate of the minimum Type II error probability in the unauthorized hypothesis testing to suppress the privacy risk. Our study shows that the cardinality of the energy supplies from the energy provider for the optimal control strategy is no more than two. This result implies a simple objective of the optimal energy control strategy. When additional side information is available for the adversary, the optimal control strategy and privacy risk are compared with the case of leaking smart meter readings to the adversary only.