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HiFi-Gas: Hierarchical Federated Learning Incentive Mechanism Enhanced Gas Usage Estimation
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Reports the design and deployment of HiFi-Gas, a hierarchical federated learning incentive mechanism (HFL among gas companies plus VFL between companies and heating stations) with contribution-aware rewards for gas usage estimation at ENN Group.
Problem
Gas usage estimation with federated learning requires incentives so that self-interested gas companies and heating stations contribute high-quality data and compute, while ensuring fairness and resisting low-quality contributions.
Approach
A hierarchical FL framework combining horizontal FL among gas companies with vertical FL between each company and its heating stations, plus a multi-dimensional reward function that splits rewards between data quality (correlation-based score) and model contribution (SMAPE-based leave-one-out style contribution), with a cheaper marginal-contribution estimator than Shapley values.
Key results
- In deployment, average gas usage estimation accuracy rose from 81.1% to 93.0% (+14.67%) for Company A and its heating stations, and from 78.6% to 86.7% (+10.31%) for Company B.
- Offline on ETTh1 without noise, HiFi-Gas took 5.76 s versus about 43.5 s for GTG-S/WT-S/WTDP-S, but its cosine distance (2.69e-2) was worse than the Shapley variants (WTDP-S 4.08e-6).
- Average daily data quantity was reduced by 17.61% under HiFi-Gas, which the authors attribute to participants cleaning their data.
Measured effects reported in the paper
| What was changed | Where | Measured | Effect |
|---|---|---|---|
| Deploy HiFi-Gas for gas usage estimation | Company A and affiliated heating stations · Company A and affiliated heating stations | gas usage estimation accuracy: 81.1% -> 93.0%; +14.67% | Helped |
| Deploy HiFi-Gas for gas usage estimation | Company B and affiliated heating stations · Company B and affiliated heating stations | gas usage estimation accuracy: 78.6% -> 86.7%; +10.31% | Helped |
| Use HiFi-Gas instead of MC for contribution evaluation | ETTh1, different data quantities without noise · ETTh1, different data quantities without noise | cosine distance: 1.31e-1 -> 2.69e-2 | Helped |
| Use HiFi-Gas instead of MC for contribution evaluation | ETTh1, equal data quantity with noise · ETTh1, equal data quantity with noise | cosine distance: 1.70e-1 -> 9.74e-2 | Helped |
| Use HiFi-Gas instead of WTDP-Shapley for contribution evaluation | ETTh1, different data quantities without noise · ETTh1, different data quantities without noise | time (sec): 43.53 -> 5.76 | Helped |
| Use HiFi-Gas instead of WTDP-Shapley for contribution evaluation | ETTh1, equal data quantity with noise · ETTh1, equal data quantity with noise | time (sec): 53.03 -> 5.76 | Helped |
| Use HiFi-Gas instead of WTDP-Shapley for contribution evaluation | ETTh1, different data quantities without noise · ETTh1, different data quantities without noise | cosine distance: 4.08e-6 -> 2.69e-2 | Hurt |
| Use HiFi-Gas instead of WTDP-Shapley for contribution evaluation | ETTh1, equal data quantity with noise · ETTh1, equal data quantity with noise | cosine distance: 9.44e-4 -> 9.74e-2 | Hurt |
| Apply the HiFi-Gas incentive mechanism | ENN Group gas companies and heating stations · ENN Group deployment | average daily data quantity: 17.61% | Hurt |
Surprising findings
- HiFi-Gas was slower-accurate tradeoff: it ran about 7.5x faster than Shapley variants but had higher approximation error than WTDP-Shapley on cosine and Euclidean distance.
- Daily data quantity dropped by 17.61% after deployment, suggesting incentives led participants to prune noisy data.
Limitations
- Offline evaluation uses only 5 clients on the public ETTh1 dataset, not the industrial data.
- Approximation accuracy against the MR Shapley reference is worse than Shapley variants on several metrics.
- Resilience to malicious participants and fairness are left as future work.
Experimental setup
Datasets: ETTh1 ENN gas usage data (historical gas usage, weather, actual usage)
Benchmarks: ETTh1
Metrics: time (sec) cosine distance euclidean distance maximum difference average gas usage estimation accuracy
Baselines: GTG-Shapley WT-Shapley WTDP-Shapley MC
Builds on: FedAvg FedOBD GTG-Shapley WT-Shapley WTDP-Shapley
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