THE ROLE OF QUANTUM ENCRYPTION IN PROTECTING CROSS-BORDER ENERGY DATA TRANSFERS: A REGULATORY AND TECHNICAL PERSPECTIVE

ABSTRACT: In today’s globalized energy market, the need for secure, efficient, and scalable data transfers across borders is more crucial than ever. Energy data, including consumption patterns, grid performance metrics, and operational data, are increasingly being shared between nations and regions to optimize energy systems. However, with the increasing digitalization of the energy sector comes an expanding threat landscape, especially in the realm of cybersecurity. Quantum encryption, a nascent technology, holds significant promise for revolutionizing data protection, particularly for cross-border energy data transfers. This paper explores the potential of quantum encryption to secure energy data exchanges, evaluating its technical feasibility and examining the regulatory challenges that arise in its application. By assessing the current limitations of traditional encryption methods and comparing them with quantum-based alternatives, this research provides a comprehensive analysis of the role quantum encryption could play in the future of energy data security. Through a mixed-methods approach combining literature review, case studies, and expert interviews, this paper aims to offer insights into the regulatory frameworks needed to support the adoption of quantum encryption in global energy networks