The global pursuit of sustainable energy solutions has led to the exploration of innovative technologies aimed at revolutionizing energy management and distribution. This paper presents integration of Blockchain and Internet of Things (IoT) technologies in decentralizing energy management with a focal point on transmitting power data from small-scale renewable power stations to a central power plant. IoT devices strategically monitor energy production from renewable energy sources, such as wind turbines, solar panels, and microgrids, enabling real-time data analysis to maximize efficiency. These transactions, which are automated by smart contracts, ensure trust. Interoperability, data security, and user interfaces are all covered as the technical architecture required for seamless integration in this paper. It is important that regulations need to be changed to make room for creative energy solutions. This framework highlights sustainability, encourages energy independence, and lessens dependency on centralized power by supporting renewable energy sources. By combining blockchain technology, IoT, and sustainable energy practices, the proposed system aims to transform the way of energy distributing, improving security, resilience, and sustainability while giving to communities more control over how much energy they use and produce.