<p>This paper presents a systematic review of ontologies in the energy domain, focusing on their applicability to knowledge representation in local electricity markets. Using a rigorous methodology aligned with the PRISMA framework, a comprehensive literature search was conducted across multiple digital libraries in which 78 works were read and 26 ontologies were evaluated in depth. The review examines ontologies from diverse application areas including smart grids, energy consumption and management, renewable energy, electricity markets and policy, as well as industrial and building systems. Key characteristics of these ontologies are analysed, encompassing conceptual coverage, reuse, modularity, formal representation, development tools, and reasoning support. Adoption rates and use cases are also discussed to highlight practical implications. The study identifies research gaps, limitations, and challenges in current ontology development, offering insights and opportunities for future work to enhance semantic interoperability and knowledge integration in local electricity markets. Finally we discuss advancing ontology engineering practices to the evolving needs of the electricity sector and supports the development of intelligent energy systems specially in local and community based markets.</p>