Price Formation and Multi-Market Synergistic Strategies for Renewable Electricity under the Concept of Life Community
This paper constructs the price formation mechanism of renewable electricity with three pricing mechanisms, namely, system marginal price (SMP), zonal marginal price (ZMP) and nodal marginal price (LMP), on the basis of electricity price location signal. Through the objective function of the constru...
| Main Authors: | , , , , |
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| Format: | Article |
| Language: | English |
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Sciendo
2024-01-01
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| Series: | Applied Mathematics and Nonlinear Sciences |
| Subjects: | |
| Online Access: | https://doi.org/10.2478/amns.2023.2.01225 |
| _version_ | 1797340635720581120 |
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| author | Zhang Li Ren Xijun Song Zhumeng Shi Wei Wang Yixiao |
| author_facet | Zhang Li Ren Xijun Song Zhumeng Shi Wei Wang Yixiao |
| author_sort | Zhang Li |
| collection | DOAJ |
| description | This paper constructs the price formation mechanism of renewable electricity with three pricing mechanisms, namely, system marginal price (SMP), zonal marginal price (ZMP) and nodal marginal price (LMP), on the basis of electricity price location signal. Through the objective function of the constructed optimal dispatch model of renewable energy power, we calculate the minimum operating cost of each power plant under multi-market synergy and use the C&CG column constraint method to solve the price fluctuation caused by the uncertainty of wind and light. Finally, the multi-market synergy rate of the model is estimated by combining the 500 kV, 300 kV and 200 kV unified wind turbines invested by a provincial grid company in China. The results show that the multi-market coordination coefficients α of wind power and photovoltaic projects are 0.1148 and 0.2849, respectively, and the renewable electricity decreases from 0.355 Yuan/kWh to 0.298 Yuan/kWh in 2025 under the optimal dispatch model of electricity. This paper has certain theoretical value and practical reference significance for future renewable energy power price reform. |
| first_indexed | 2024-03-08T10:06:01Z |
| format | Article |
| id | doaj.art-b5d070c55f4946b182bc84ebef38c1f9 |
| institution | Directory Open Access Journal |
| issn | 2444-8656 |
| language | English |
| last_indexed | 2024-03-08T10:06:01Z |
| publishDate | 2024-01-01 |
| publisher | Sciendo |
| record_format | Article |
| series | Applied Mathematics and Nonlinear Sciences |
| spelling | doaj.art-b5d070c55f4946b182bc84ebef38c1f92024-01-29T08:52:40ZengSciendoApplied Mathematics and Nonlinear Sciences2444-86562024-01-019110.2478/amns.2023.2.01225Price Formation and Multi-Market Synergistic Strategies for Renewable Electricity under the Concept of Life CommunityZhang Li0Ren Xijun1Song Zhumeng2Shi Wei3Wang Yixiao41Economic and Technological Research Institute, State Grid Anhui Electric Power CO., Ltd., Hefei, Anhui, 230022, China.1Economic and Technological Research Institute, State Grid Anhui Electric Power CO., Ltd., Hefei, Anhui, 230022, China.1Economic and Technological Research Institute, State Grid Anhui Electric Power CO., Ltd., Hefei, Anhui, 230022, China.1Economic and Technological Research Institute, State Grid Anhui Electric Power CO., Ltd., Hefei, Anhui, 230022, China.2Shanghai Electric Power Design Institute Co., Ltd., Shanghai, 200025, China.This paper constructs the price formation mechanism of renewable electricity with three pricing mechanisms, namely, system marginal price (SMP), zonal marginal price (ZMP) and nodal marginal price (LMP), on the basis of electricity price location signal. Through the objective function of the constructed optimal dispatch model of renewable energy power, we calculate the minimum operating cost of each power plant under multi-market synergy and use the C&CG column constraint method to solve the price fluctuation caused by the uncertainty of wind and light. Finally, the multi-market synergy rate of the model is estimated by combining the 500 kV, 300 kV and 200 kV unified wind turbines invested by a provincial grid company in China. The results show that the multi-market coordination coefficients α of wind power and photovoltaic projects are 0.1148 and 0.2849, respectively, and the renewable electricity decreases from 0.355 Yuan/kWh to 0.298 Yuan/kWh in 2025 under the optimal dispatch model of electricity. This paper has certain theoretical value and practical reference significance for future renewable energy power price reform.https://doi.org/10.2478/amns.2023.2.01225tariff positional signalingrenewable energymarginal tariffsmulti-market synergies86a25 |
| spellingShingle | Zhang Li Ren Xijun Song Zhumeng Shi Wei Wang Yixiao Price Formation and Multi-Market Synergistic Strategies for Renewable Electricity under the Concept of Life Community Applied Mathematics and Nonlinear Sciences tariff positional signaling renewable energy marginal tariffs multi-market synergies 86a25 |
| title | Price Formation and Multi-Market Synergistic Strategies for Renewable Electricity under the Concept of Life Community |
| title_full | Price Formation and Multi-Market Synergistic Strategies for Renewable Electricity under the Concept of Life Community |
| title_fullStr | Price Formation and Multi-Market Synergistic Strategies for Renewable Electricity under the Concept of Life Community |
| title_full_unstemmed | Price Formation and Multi-Market Synergistic Strategies for Renewable Electricity under the Concept of Life Community |
| title_short | Price Formation and Multi-Market Synergistic Strategies for Renewable Electricity under the Concept of Life Community |
| title_sort | price formation and multi market synergistic strategies for renewable electricity under the concept of life community |
| topic | tariff positional signaling renewable energy marginal tariffs multi-market synergies 86a25 |
| url | https://doi.org/10.2478/amns.2023.2.01225 |
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