Inter-Provincial Electricity Spot Market Model for China

A new round of electricity market reform has been carried out in China since 2015. Due to the spatial mismatch of electricity supply and demand in China, inter-provincial electricity market will occupy an important position in the electricity market system in China. The experience of European unified electricity market provides inspirations for the construction of the national electricity market in China. In this paper, European unified electricity market is introduced, including the day-ahead market coupling mechanism and corresponding market clearing algorithm. The enlightenment of European experience to China is analyzed, from mechanism design to technique implementations. Then, an inter-provincial electricity spot market model is proposed for the national unified electricity market in China, and the market clearing algorithm is designed. Based on the proposed model, energy flow and cash flow of the national market are analyzed. Case study based on a 19-bus system shows the effectiveness of the proposed model.